Lowyat.NET: Latest topics by dreamer101

Lawyer collect 1% of the Estate?

dreamer101 — Mon, 26 Oct 2009 10:14:26 +0800

All,

My relative wrote a will. And, appoint the lawyer as executor of the WILL. Somehow, the lawyer get to collect 1% of the estate as part of the fee as executor of the WILL. Is this normal?? Can my relative appoint someone else other than a lawyer as executor of the estate??

I seem to remember there is a WILL writing company in Malaysia. Could someone please point me to their web site??

Thanks in advance.

Dreamer

How to make more Money by Dreamer

dreamer101 — Mon, 14 Sep 2009 10:23:06 +0800

Folks,

Actually, "Rich Dad Guide to Investing" is probably a lot better than what I can post here.

It is VERY SIMPLE:

A) You exchange you time for money -> Salary

If you want to earn more

i) Exchange more time -> do a few jobs

ii) Have higher and better paying skill -> better paying job.

B) Saving

You need to save money so that you have CAPITAL either for your

i) Business

ii) Investment

C) Business (active involvement)

-> Leverage

Use other people's money and other people's labor to make money

D) Investment -> passive income

-> Money make money.

There are ONLY 4 ways. There are NO COMPOUNDING in (A) aka salary. And, you have ONLY 10 to 20 years of earning good salary. So, you need (B) plus either © and / or (D).

So, choose your path wisely. Find out what make sense for YOU. But, it all break down into this 4 ways.

Dreamer

The Multiplier Effect

dreamer101 — Wed, 26 Aug 2009 07:28:20 +0800

Folks,

As opposed to hijacking the "Who will go further in life?" thread, I am starting this thread to explain the concept of multiplier and leverage in term of career.

The person that will go further in life is those people that know how to use leverage and multiplier to EXPAND their productivity and contribution.

Let me give you an example:

A solve a problem.

B learn from A on how to solve this problem and teach it to 15 other people in a class.

C learn from B and document the problem solving process spread it through out the company. So, now, 100 people know how to use this problem solving process.

Now, who is MOST productive in this example?? Who contribute the most to the WHOLE company??

A -> only help one person

B -> helps 15 person

C -> helps 100 person.

A solves a person's problem completely -> Let's call this 100% of X aka the person's productivity increases by 100%

B helps 15 person. Let's call this 10% of X per person aka each person increases productivity by 10% = 15 x 10% = 150% of X

C help 100 person. Let's say this increases 2% productivity of each person. Total = 2% X 100 = 200% of X

A, B, and C are doing roughly the same amount of works. But, for A, the multiplier is 1 and C the multiplier is 100. The end effect is DIFFERENT.

In summary, you DO something. Now, the people that can go further in life is those can use MULTIPLIER to MAXIMIZE the impact of their work. For people that do NOTHING, it does not matter. Multiply nothing with 100 is still nothing. So, you need BOTH.

Dreamer

Sustainable Life Style

dreamer101 — Mon, 18 May 2009 10:31:44 +0800

To moderator,

If you think this topic should be moved somewhere else, please do so. I just think that I can help the most amount of people by posting here.

All,

We have RECURRING questions on

A) Can I afford to buy this car??

B) Can I afford to buy this house??

and so on. So, it is useful to summarize the calculation and thinking on how to do make this kind of decision. And, if we are living in an unsustainable life style, maybe we can do something before it is TOO LATE. With recession coming and lasting for a while, we will find a lot of people in trouble soon enough.

The following are the BASIC RULE that I learned from reading books and my own observation. And, the FOCUS on this thread is on sustainable life style from financial standpoint. To get RICH, you have to do a lot more than what is quoted here.

The BASIC RULES are

A) If you cannot save 10% of your GROSS INCOME every month, you are spending too much.

B) If you do not have 3 to 6 months of expenses in savings / Emergency fund, you are AT RISK of financial disaster when facing financial emergencies. And, financial emergencies are COMMON and they are NOT all cover by insurance.

C) If you do not have 3 to 6 months of emergency fund, you should not make one of those MAJOR purchases:

i) House

ii) Car

iii) Higher education

iv) Insurance

As per insurance, there are two different schools of thought in this. I am of the school that you should have EMERGENCY FUND first. Others think that, you should buy insurance first. So, make your own choice.

D) All monthly loan repayment (PTPTN, Car, House, Credit card) should be less than 33% of your monthly gross income.

So, the answer to the question like can I afford to buy X is

Can you satisfy condition (A) to (D) after you buy X?? If yes, the answer is yes. If not, it is NO.

Please note that if after buying a house, your monthly loan repayment increase by RM500, you need to have 3 to 6 months worth of emergency fund including this payment. Ditto, if you used up all your emergency fund for down payment on the house, you do not satisfy condition (B).

Now, why do we have all those rules?? Those rules were created to protect people from bankruptcy if they face any financial emergency.

Dreamer

How do you know if someone is BSing you?

dreamer101 — Sat, 11 Apr 2009 23:16:27 +0800

Hi,

Instead of posting another thread topic of how much salary, how to get a job, what career that I should in and so on... Let's get educational and talk about some job skills. So, I expect this to be interactive and people posting example and ask questions.

Let's get to the basic. When you work in REAL WORLD, you will come across many people. And, sometimes, you need to find out quickly whether the person in front of you, via e-mail, phone call, IM and so on are

A) Honest?? Aka, will tell you when they do not know something.

B) Smart aka really know what he/she is talking about?? Or, ignorance...

C) Useless

D) Careful or careless

In many circumstances, you are NOT expert in that area. But, you still need to assess (A) to (D) on that person. So, how do you do that?? And, how do you do that quickly?? Aka, if that person is USELESS, you do not want to waste more time on that person. You need to move on to someone else that can help you.

Basically, you need to know the LEVEL of the person that you talk to.

I was working on support for a long time. And, this is a required skill and so that I can tune my answer to the level of the person I communicate to.

I welcome any contribution and comment on this item. Let's make it educational.

Dreamer

Dreamer's advice to SPM and STPM Leavers

dreamer101 — Sun, 15 Mar 2009 23:18:28 +0800

This thread is to aggregate all my advices that applies to ALL SPM and STPM leavers.

Let's start with SPM. SPM is a VERY EASY exam.

So, if you get good result, it does not necessary say much about YOU. It is NICE but it does not necessary mean that everything is smooth sailing for you. Pat yourself in the back. Get some rest. More hard works are ahead. You will be facing a lot tougher challenge than this EASY exam.

Now, if you get BAD SPM result, this may or may not say SOMETHING about you either.

There are MANY factors around here. And, only YOU can answer the following questions:

Why are your results are SO BAD??

i) You did not study at all.

ii) Your schools and teachers are bad. Then, why didn't you try something else.

Is it LACK of effort?? Is it lack of intelligent?? Is it lack of MOTIVATION?? Your foundation is WEAK?? Your were SICK during the exam period??

You have to LIVE with yourself. Regardless of whether you continue study or go to work, it is GOING to be the same PROBLEM as per your SPM result.

So, you need to find someone that you RESPECT and TRUST. Someone that KNOW you. Get an honest assessment of WHY you get such a POOR RESULT.

Life is a marathon. We have a choice. Between success and failure, we have a THIRD options. We can CHOOSE to grow and learn from each challenge. SPM is just a milestone. Do not let IT define you.

Not of all of us are suitable for academic path. And, it is NOT the ONLY way. However, you cannot get any where in life if you DO NOT put in the effort.

Dreamer

What is loyalty?

dreamer101 — Mon, 22 Dec 2008 00:06:09 +0800

All,

I am looking for what is people's opinion on loyalty. In this case, I am NOT looking for who is right and wrong and so on. I am interested in YOUR personal opinion. To complete the picture, I would like to know

A) Sex - Male or female

B) Years of working experience

C) Any experience as manager??

D) Any experience as business owner? If yes, how many people do you employed in your business.

In my case,

A) Male

B) 20+ years.

C) 10+ years as manager

D) None.

In my opinion, LOYALTY is an out of date concept. It is an useless idea for business owner / Manager to squeeze more out of their employees. I was manager for 10+ years. I expect my people to do their job as paid. If they do not get paid overtime, they should not work overtime. If I need them to work 60 hours this week, I make sure that they work 20 hours less per week some other time. I expect my subordinate to work professionally and I should treat them fairly.

Now, if there is a better opportunity out there, they should pursue it. Now, if the business / team collapse because they leave, that means I am a lousy manager. Nobody is indispensable. And, if they are so indispensable, how could they take vacation? I have NO PROBLEM with people leaving.

Dreamer

Chinese HS Versus SMK

dreamer101 — Tue, 19 Feb 2008 10:49:52 +0800

All,

Looking for opinions on sending Children to Chinese HS versus National HS

1) Children will go to USA for college after HS/SPM. So, proficiency in Malay is irrelevant.

2) Very strong foundation in English. So, proficiency in English is not a problem.

So far, what I found

A) National HS -> No meritocracy and too much Islamication.

B) National HS -> Lazy and incompetent teachers

Only good National HS are

1) Mara HS which my children will not get in and don't bother

2) Kolej Islam -> forget it.

Dreamer

Insurance related product:equity indexed annuities

dreamer101 — Sun, 07 Oct 2007 23:36:55 +0800

http://www.washingtonpost.com/wp-dyn/conte...7100600106.html

Know what you are buying. If you don't, you deserves to lose money.

<< "Conceptually, the idea makes sense," said Moshe Milevsky, a finance professor at York University in Toronto and an expert in financial risk management. "In practice, they've destroyed a lot of the value."

Many buyers have come to regret buying on the promise without understanding the potential pitfalls. Regulators have issued repeated warnings about the way in which equity indexed annuities have been sold. >>

Dreamer

What insurance do young people need?

dreamer101 — Sat, 06 Oct 2007 23:55:02 +0800

All,

Let's have a rational and sensible discussion on insurance. If we take a young person that live with the parent and has NO dependent, does he/she needs insurance?? If yes, what kind of insurance that he/she needs and why??

In my opinion, the greatest financial risk to a young person in this situation is not dying. Nobody is dependent on his/her income for survival. So, his/her death represent no financial risk to anyone. The greatest financial danger is disability. Aka, did not die but cannot work and generate no income. That is the greatest financial risk.

In my opinion, the emergency fund is the first level of insurance. A person is protected for any kind of situation that he/she needs money. It is STUPID to buy TOO MUCH insurance until you have no savings to build up emergency fund. It is debatable whether you should wait until you have emergency fund before you buy any kind of insurance.

Dreamer

Roof tiles: Clay versus Cement

dreamer101 — Tue, 25 Sep 2007 09:54:02 +0800

All,

Could someone please tell me what are the pro and cons of clay roof tiles versus cement roof tiles??

Thanks in advance.

Dreamer

Zinc/Aluminium on Roof

dreamer101 — Mon, 24 Sep 2007 01:04:32 +0800

All,

The roof tile on my house need to be changed. The contractor is planing to put some aluminum and zinc in the roof to prevent leak from the rain. Does this void the fire insurance on the house??

I remember reading some where about aluminum on the roof will void the fire insurance. Is this the case or only applies to aluminuim wriring in the house.

Thanks in advance.

Dreamer

33% or 28% rule on loan

dreamer101 — Fri, 21 Sep 2007 07:09:06 +0800

All,

On other threads, I have observed that people that has monthly loan re-payment exceeding 33% of their gross salary. I thought that bank has a rule on not giving a car loan or a housing loan to someone if their monthly loan payment exceeding 28% or 33% of their monthly gross salary.

Has the rule change or people just lied and do not tell the bank about the other loans??

Dreamer

Dreamer's View on Personal Finance

dreamer101 — Mon, 16 Jul 2007 07:18:12 +0800

All,

I started this thread so that I can post my views on personal finance and let's others to post questions to me.

Dreamer

[addedon]July 16, 2007, 7:49 am[/addedon]Layered cake approach of investment

Imagine that you have a cake and there are multiple layers to that. For investment products, there are various level of risk versus return and you put money into each layer accordingly.

1) I do not consider emergency fund as investment. That is the minimum level of safety before you take any kind of risk.

2) Insurance is for risk management. For insurance products that provide return, it needs to tested against other product as for it risk adjusted return.

In the foundation, you have low risk, lower return product. In that category, you put most of your money. You should have low or close to zero risk of losing your money. Safety first. In the foundation, you have slow and steady growth.

On the upper layer, you put in less money. You have chance to lose money here but the return should be high enough that if you win, you win big.

The problem in Malaysia is we have SOME but not many choice in the investment products.

In USA, my base foundation is based on USA stock index fund, world stock index fund, USA Real Estate Fund, World Real estate fund, and USA bond fund. This is where I put most of my money. The bottom layer is designed to grow 9% on the average in the long run. It is tested against 60 years of historical data.

I do speculate and gamble on some stock. But, it is less than 5% of my money. I only buy stock that may provide 3 to 10 times return. For that risk, I prepare to lose 100% of my money in stock. I do not buy any stock that promise less than that. It is not worth my effort.

Dreamer

A Business Idea -> Discuss

dreamer101 — Mon, 16 Apr 2007 07:07:37 +0800

To avoid annoying somebody further, I am starting this thread to discuss an idea. Malaysia for historical reason has access to very diverse Asian culture and languages. We can get people that under multiple different dialects of Hokkien, Hakka, Teochew, and Cantonese. We have access to probably different dialects of Malays, Indian language and Arab dialects and so on..

So, let's say we start a web site / company in USA to teach simple conversational skill in dialects. Where do you see the problems / challenges will be? Or, you have a even better idea.

I am open for criticism.

Dreamer

What to do if company refused to let me resign?

dreamer101 — Sat, 19 Aug 2006 20:56:29 +0800

Hi all,

I am posting this to help out a friend. Does anyone in the forum that know Malaysia Labor Law?? Can the company refuse your resignation eventhough you pay them to compensate for the lack of notice?? I have no idea??

The following is the glory detail...

Dreamer

<<"Recently I've been offered a job in a company that requires me to come in next month..1st September..They can't seem to allow me to come a month later (a month's notice i need to give my current company) because of some circumstance which they explained to me..

in my current company's contract it states that for notice of resignation : (4 weeks or 4 weeks salary in lieu)..
So does this mean i just work for my current company for free this august?
What should i do to avoid burning any bridges?
I really want the job at the new company badly because of the opportunies they offer.

What if my current company gets rowdy and somehow is reluctant to release me? Even though I can work for them for free this month? (Paying them back). What if they insists i stay for 2,3 months?
(Because I play an important role in the company, "programmningtically")
I want to leave my company in good terms but my boss I'm sure of it would be very reluctant. And he 's quite influential in a major industry which I woudln't want to get blacklisted in.

in the worst case scenario if my boss reject my compensation pay etc..
and refuse to accept my letter of resignation..what can i do?

>>

Some lectures/preachings from Dreamer

dreamer101 — Mon, 14 Aug 2006 01:17:48 +0800

Folks,

Looks like I will be signing off from lowyat.net real soon. So, I will be doing a series of condensed lectures and preaching posts. Please be warned that I have been known to be crude and sometimes cruel. So, if you are not comfortable with my style. Read no further.

For better or worse, pretty soon, you will not be hearing from me again.

Dreamer

FAQ/Useful Resources for Jobs/careers

dreamer101 — Fri, 12 Aug 2005 10:21:27 +0800

Hi,

I am starting a thread on useful resources, FAQ, useful on jobs/careers. Please post any hints/information relating find jobs, office politics and so on. For those people with plenty of job experience, please post information that will help fresh graduates to adapt to a working life.

The following web site is very useful:

www.asktheheadhunter.com

It has information on how to look for jobs, negotiating salary, how to resign and how to handle interview.

Dreamer

[Corrected]