Comments on: Are You Good in Accumulating Wealth?

By: $1Million To Raise 2 Kids | Salary.sg - Your Salary in Singapore

$1Million To Raise 2 Kids | Salary.sg - Your Salary in Singapore — Sun, 04 Jul 2010 15:45:27 +0000

[...] as “assets” and include this cost as part of your wealth. So, add $1 million to your net worth if you have 2 children. $2 million if you have 4 [...]

By: How Much Do You Save? | Salary.sg - Your Salary in Singapore

How Much Do You Save? | Salary.sg - Your Salary in Singapore — Sun, 08 Nov 2009 08:56:11 +0000

[...] have been extolled as good “Asian values”, I personally believe that in order to be a good accumulator of wealth, you should also invest wisely. In this day and age, being able to save a lot doesn’t [...]

By: middleclass

middleclass — Thu, 01 Oct 2009 01:21:50 +0000

superman: i think the ratio will still be more important no matter what amount you are earning.
on a straight forward level it just shows how well you manage your money.
for example if i’m earning 5m/year and my net worth is only 10m then i would be very worried where all my money has gone to?
this ratio though does not take into many other factors since everyone is different.
also people probably would be better wealth accumulators at a certain stage of their lives.

By: superman

superman — Wed, 30 Sep 2009 21:40:02 +0000

the absolute amount is more important than multiple. I don’t mind have a multiple of 2 if my annual income is 5m/year and my net worth is 10m. what is the point of having say, multiple of 8 times, when your monthly income is 50k? I rather choose the former even though I am deem as a poor wealth accumulator.

By: broadmind

broadmind — Mon, 28 Sep 2009 12:26:56 +0000

Your wealth accumulation computation should take into account the age of the individual.

One measure of a wealth accumulator i’ve seen: Networth > (age / 10) * current annual income. So, someone at age 30 with 100K income should aim for a net worth of 300K.

By: 35

35 — Sun, 27 Sep 2009 15:03:32 +0000

I’m 35. My networth/income ratio is 5.2. No inheritance, no pay cut.

By: pay cut

pay cut — Sun, 27 Sep 2009 14:54:39 +0000

Good point. Additionally, if one’s just got a pay cut, his ratio would seem deceptively high. I suggest using “career-high” annual income.

By: inheritance

inheritance — Sun, 27 Sep 2009 13:40:30 +0000

I inherited a significant portion of my wealth, but I consider myself a good wealth accumulator even without help from the inheritance.

To be fair in this comparison, I suggest that participants do not include inherited wealth, as well as any wealth derived from such inheritance. That said, I must admit it’s easier said than done, cos if you have more to start with, you would be able to dabble in higher-yielding investments like property and commercial ventures.