Live within one’s means

Har! Finally get to read something similar what I have blogged about in the local news media.

 

“MANY Singaporeans are still clinging on to a lifestyle of excesses, incurring debts they could have avoided, said an MP in Parliament on Tuesday.

Urging them to be prudent and to steer clear of excesses in these trying times, Mr Wee Siew Kim, MP for Ang Mo Kio GRC, said Singaporeans caught in financial bind must make the hard adjustments – a point which was raised in President SR Nathan’s address at the opening of the second session of Parliament last week.

In his speech during the debate on the President’s address, Mr Wee said on Tuesday that while the financial freefall seems to be over, the economy may drag at the bottom for some time.’Yes, there is always the temptation to talk up the market, and in the process spawn an upturn through a resurgence of confidence. But we need to be prudent.

‘Pay cuts, and worse still, job loss are entirely possible, especially if the economy is unlikely to rebound vigorously. Hence the advice to steer clear of excesses and live within one’s means bears repeating and repeating.’

Voicing his concern over some Singaporeans’ excesses, Mr Wee said: ‘In my interactions in the community, I sense that this has not sunken in for many Singaporeans. Many cling on to a lifestyle that is from a past that is fuelled by a bigger pay packet.

‘They continue to incur debts, living in bigger apartments that one could no longer afford, continuing to incur large utilities and phone bills and unable to see ways to reduce expenditure. Many hold out for good times to return. Their lifestyles must change.’

He called on the Government to make it easier for these people to make adjustments.

Giving examples of how such help can be given, Mr Wee said the government can make it easier for Singaporeans to downgrade from their large Housing Board flats.

‘Whether it is a third or fourth HDB loan, going forward, as they are prepared to live within their means, and take up the commitment of being self-reliant, why not relax some of the policies that were clearly appropriate in former better times, not so now.

‘In many cases, compulsory acquisition and its attendant loss through the discount to market deal them a double blow. Recognising that these are trying times – hope and assurance would go a long way to assuage the pain for many – and housing comes to the top of mind.’

Mr Wee made clear he was not asking the Government to open the floodgates but to relax certain rules for some families and create a clear way forward.”

http://www.straitstimes.com/Breaking%2BNews/Singapore/Story/STIStory_381903.html