Tuesday, January 15, 2013

Kids are screwed in Singapore

Singapore, with COE for a small car around $90k, (I can buy a brand new Mercedes E550 Convertible for less in the US)

Monthly Rent, Luxury 2 Bedroom: $3,588 
Cup of Coffee: $5.18 
One Gallon of Gasoline: $6.55 
Daily International Newspaper: $3.59 
Fast-Food Meal: $5.66 
(yahoo report)

Tied for most expensive place to live as Zurich, Switzerland.
According with most press around the world, Singapore is in the top 10 most expensive place to live.

Sounds good?

However, if you look at salaries, 2011 Salary in Singapore: Median is $2700, Average is $4100 . 
Average salary in Zurich is close to $10,000

Income inequality is worse in Singapore than the US. 

HDB median resale price hits new high of S$455k

Public Housing at $455k?

If your income is $2700, it takes you 168 months of your income  or 14 years to pay for your 99 year lease hold home if you dedicate ALL your salary to your home.

Sure, there is an argument that land is scarce in Singapore, but why then bring in more foreigners and not raise productivity and increase automation?

HDB Resale Price Index shatters record with 2.5% hike

What happened to the "cooling down" measures by the government by incorporating more taxes?

Did it fail like all the other "I'll charge you more when you complain" measures? GST, ERP, COE...


If you have kids, they are screwed. Getting a degree does not guarantee them anything. Foreigners are here for "Nation Building" and can work for half the price of Singaporeans.

Unless you have a top tier university degree, or you are a scholar, owning a home would mean a possible 50 year mortgage?

Have you seen friends with rich parents get nice jobs while you work for long hours and get peanuts?

Follow the path they say, get good grades they say, go to a local university they say. I've friends who have their Masters degree from NTU teaching tuition and driving taxi... At least they are employed.

In summary, the “conventional path” has become so narrow, that it hardly even exists. You can’t just go to grad school and “become” anything: a lawyer, a banker, a doctor, a journalist, a manager. Some of these jobs are on hiring freezes, and some of them are so fraught with frustration that they are best avoided. I don’t know a single doctor who thinks that Medicine is the best career path for their kids. And the same logic is applying to more and more professions. The well has been poisoned. If your kids want to be a lawyer? Good luck.

You may say, I own a home from the good old days, a nice 5 room HDB worth $800k and I have 2 kids and they are all set. But wait, by the time your kids have grown up, the HDB flat would be 30 years old? 69 years left to go? 

If your kids get married, can they afford their own place? Can they live with you even after marriage?

Well, this is what Singaporeans choose when they vote.


That is why we don't have them.

-- Iron Bowl

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