~~Towards Barista FIRE~~

I have been tracking my income and expenses all the way since 2008.  However, all these while I have only been recording, but did not evaluate and analyse my expenses all these years.  Since I have the intention to begin my first phase of Barista FIRE next year, I think it is time for me to analyse my expenses, so I can estimate the minimum amount of part-time active income I will need to achieve next year in order for my cashflow to be healthy. Looking back at my expenses from 2022 to 2025, I am quite surprised at how my spending pattern evolved over these few years (and probably I have underestimated my expenses all these years).  I have always believed that being mindful about expenses is the foundation of financial independence and not just earning more, but also learning to live well within my means.  However, reality may be a little different from expectations.  Probably it is time for me to be more mindful of my spending. Four Years Of Data: The Story Be...

This will be a relatively short post, just to update on the transactions for the month. For the month of October, it was a eventful month for my portfolio.  In the first half of the month, attention was on the possible ignition of the US-China trade war as China started imposing more restrictions on the export of rare earth minerals, and implementing new controls on technologies used in rare earth processing.  This news angered Donald Trump temporarily, and he threatened to impose a further 100% tariffs on China.  This caused a short term blip in the markets, because soon after he TACO ("Trump Always Chicken Out") and declared such tariffs are not sustainable and he and President Xi are still on good terms. Another concern will be the frothy valuations in US Technology companies.  Although I no longer own any US stocks at the moment, the performance of the US markets will still have an impact on the performance of the SG market.  I am unsure if US big tech...

All these years, many financial gurus and YouTubers claimed that “there is no such thing as passive income”.  Their argument is simple- every form of income, whether from investments, property, or online ventures, requires some level of effort, attention, and maintenance.  To be fair, they are not entirely wrong.  However, from a Singapore context, I think it is worth taking a deeper look because to me, while no income stream is completely passive, some are sufficiently passive, and dividend investing fits that description quite well. The Naysayers’ View - No Such Thing as Passive Income Let’s start with the critics. Those who dismiss the idea of “passive income” often point to these realities: 1)      Initial Effort Required Every “passive” stream starts with effort, including but not limited to learning, research, and capital accumulation.  Whether it is building a dividend portfolio or buying a rental property, there is a steep learning curve...

Previously, I wrote about how compounding is the 8th wonder of the world.  When used wisely, it is the magic that helps me grow wealth quietly in the background, as long as I give it sufficient time, inject a big enough capital, and manage a sufficiently decent yield.  However what people often ignore, forget or dismiss, is how compounding does not discriminate.  It is just a force, and it can just as easily work against one, as it can work in one's favor. In my own journey, I have seen both sides of compounding. On the positive side, compounding has helped my dividend portfolio grow.  Every reinvested payout plants a seed that continues to bear fruit.  But on the negative side, I have also experienced how a property with negative cashflow quietly chips away at my finances.  Month after month, it drains resources that could have been building my future.  People often say mortgage debt is “good debt”, but I have come to realize that if it does not p...