Rate my Finance + Need Opinion

[erniedavid]

TLDR version:
Nett Income: RM11,400 p.m.
Total Commitment: RM9,400 p.m.
Cash Savings: RM2,000 p.m

Planning to buy a SUV, which has been a long time dream, by this year. Monthly installment roughly around RM1.5K++ and it comes with 5 years free service. But concerned with the removal of fuel subsidies and rising OPR. Should I buy now or wait?

Monthly Commitment Details:

A) Loans (RM):
House 1 : 1,700
House 2 : l,600 (awaiting VP, eventually to be rented for at least RM1.6K)
ASB : 500
Total : RM3,800

B) Bills (RM):
Maintenance Fees (2 houses) : 500
Electricity : 250
WiFi : 120
Quit Rent : 50
Sewage : 20
Water : 10
Total : RM950

C) Family Maintenance (RM):
Wife : 400
Kids : 250
Parents : 100
Total : RM750

D) Expenses (RM):
Personal Shopping : 100
Food : 300
Eating out : 400
Groceries : 700
School : 100
Household : 100
Fuel : 300
Touch n Go : 100
Car Maintenance : 200
Miscellaneous : 200
Total: RM2,400

E) Insurance & Savings Schemes:
ASB Savings : 500
SSPN : 500
Insurance : 500
Total: RM1,500

TOTAL COMMITMENT ( A+B+C+D+E) = RM9,400

 

[pmmg]

@erniedavid Net 11.4, commitment 9.4, and planning to buy a SUV. Your grade is F-

Please try again later.

 

[kate1989]

@pmmg How much to get a D? If ask for A then must be royal T20 1% group pulak

 

[pmmg]

@kate1989 Always A+ for you.

 

[mavis1950]

@erniedavid My goodness i earn pratically nothing at all but how yall live like this. Stacking up more loans and not having enough to spend end of the day. Giving yourself Rm100 for shopping with Rm11k salary is depressing. I mean if u dont consider the suv as shopping

 

[erniedavid]

@mavis1950 Yeah, 10 years ago when i just started working I thought I would live a lavish life with RM11K.

But reality is totally different. The fact that I'm paying more than RM2.1K a month in taxes still kills me. Taxes remain the biggest deduction from my salary. And yet, the government is further increasing the taxes and reducing the subsidies for ppl like me.

 

[dogsandlove123]

@erniedavid Saying taxes is the biggest deduction is being disingenuous. You're paying close to 4k per month on property (loans + maintenance + quit rent, misc. unaccounted).

 

[blurredcontours]

@erniedavid Then maybe buy a cheaper car?

 

[russman]

@erniedavid Because you have 2 houses, cut down on 1 house and you have extra 1.6k

 

[blackfriar]

@erniedavid So you are left with MYR 500 every month?

 

[erniedavid]

@blackfriar No, around RM2K

 

[kate1989]

@erniedavid What are you doing with it now? Pre-SUV?

 

[erniedavid]

@kate1989 Just keeping it in my bank account and use it for emergencies.

 

[blackfriar]

@erniedavid How? You have 2k now. Additional SUV cost 1.5k.

 

[erniedavid]

@blackfriar Owh u mean if I go ahead with my purchase? Then yes, only RM500 left in cash. For emergencies, may need to stop contributing to ASB or SSPN for certain months

 

[ant101]

@erniedavid 5y free service is Mazda rite.

Tbh, might be a bit tight cuz you already have 2 house loans and lotsa bills. Go for it if you got enough emergency funds sitting around.

And family maintenance is amazing.. i am unmarried and salary much less than yours but my parents maintenance is almost your whole family one

 

[erniedavid]

@ant101 I do give out lump sum cash to my parents from time to time but they are generally not dependent on me for day to day expenses.

 

[savasa82]

@erniedavid Can i suggest you to consider used SUV about 2-3 years of age?

You get to enjoy new-ish SUV with the manufacturer warranty still valid.

All the while, someone else had took the hardest car deppreciation losess for you.

 

[russman]

@savasa82 This, I kinda regret getting a new honda civic, when I can get a used lexus sedan for less, granted its a fairly old car

 

[savasa82]

@russman How was your experience with the new Honda Civic? Is it a fun car to drive?