SINGAPORE: “How much of your total finances is enough for you not to care what your bosses say and quit whenever you are unhappy with your job?” This was the question a burnt-out 32-year-old man asked Singaporeans in an online forum on Sunday (Mar 9).
“I’m a 32-year-old male earning $7.3k per month, and (I) have a combined net worth of about S$350k, including savings, investments, and CPF (Central Provident Fund). I’ve been feeling burnt out recently at work, but I don’t dare to quit yet as I’m unsure if it’s the right decision. For those who have accumulated finances, how much is enough to give you the confidence to quit and do things you like without being too stressed about finding the next job?”
Many Singaporeans responded to the writer, sharing their two cents on the matter. Others shared similar experiences they have gone through in the past and the lessons they learned from them. While he didn’t think his total finances were enough, others thought otherwise.
“You are still young with a decent salary,” said one. “S$350k savings is not enough. Life is all about perseverance. When you look back 10 years later, you will thank yourself.”
However, another pointed out, “Total finances is not the right metric. It’s cash flow. If you can have a free cash flow that meets your expenses, you are free to live life.” A third argued that if his current savings could help him generate a passive income, then it would be possible.
Still, another offered the writer a different perspective. “Let me give you a different point of view,” he said. “You can quit anytime as long as you don’t have any commitment. It’s not about how much you have; it’s how much you can give up. A lot of my retired friends survived with S$1K to S$2K… they either rented out their Singapore home and went somewhere else, or they tahan till 55 and enjoyed life for a while. As long as you have no kids, no commitment, nobody can tie you down.”
According to CNBC, there are several key bases you must cover before quitting your job. First, you must know your ins and your outs. Figure out how much money you need to live your life. Instead of being complacent with your savings to tide you over the next few months, it can help you find ways to make some money after your last paycheck. You can sell things you no longer use and cut down on unnecessary expenses such as old subscriptions and unessential restaurant meals.
It is also important to consider any unexpected and sudden expenses you might have to make. Whether it’s a medical procedure or your flatmate moving out, it is important to have an emergency fund in place. A popular principle is to have three to six months’ worth of your living expenses saved up in this backup fund. Furthermore, keep your future in mind before making any major decisions.
See also: 28-year-old considers getting a degree but wonders if it’s too late
Featured image by Freepik (for illustration purposes only)