I Don’t Have Extra Cash. How Can I Even Invest?
This is the most common thing I hear from clients in their 40s: “I would love to invest, but I simply don’t have any extra money.”
It’s a fair concern. After all, between mortgage payments, tuition fees, utility bills, groceries, and sometimes even helping your own parents with medical costs, where exactly is this extra money supposed to come from?
But here’s the truth: You don’t need a lot of money to start investing. What you need is a smart plan, and possibly, a mindset shift.
Let’s Start With CPF
You already have money set aside in your CPF Ordinary Account (OA) and Special Account (SA). Did you know that your OA money, above the first $20,000, is eligible for investments? Instead of leaving it idle at 2.5% interest, some CPF-approved investments can potentially help you earn more — within your comfort level of risk.
For those with a low-risk appetite, you can consider conservative options like:
- Short-duration income funds
- CPF-approved endowment plans
If you can handle a moderate amount of risk, balanced or multi-asset funds can give you exposure to global markets, with a mix of income and capital appreciation.
Start Small, But Start Now
You don’t need to invest $50,000 right away. Even starting with a few thousand can make a difference over 10 years, thanks to the power of compounding. The important thing is to begin.
Think of it this way: Every dollar you put to work today is one less dollar you need to worry about tomorrow.
In the next post, we’ll talk about why investing isn’t just a nice-to-have, but a must for middle-income earners to retire comfortably in Singapore.
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Remember:
- Investing isn’t about taking wild bets. It’s about making smart decisions early.
Next Step: Let’s Talk — No Pressure
You’ve made it this far because you care about your future.
So let’s take the next step — together.
Book your free Savings and Retirement Review session with us
