Living in Malaysia, it is not really a great future ahead for a fresh grad. Too much commitment and needs, but too few money to spend. This is the truth! Before I tell you how much a typical fresh grad have to spend in Malaysia, let’s see what’s happening in United States.
I read Ramit’s recent article. He stated that a girl working for Google spends $1,200/month on rent, $1,000/month recreation (going out, vacation, Christmas gifts), $500 month misc (gas, unexpected medical, travel). As you can see, this is a really rough estimate that adds up to $32,400/year.
Now take a look at the expenditure of a typical Malaysian fresh grad engineer: (take note that US$1= RM3.40)
Rental of a small room – RM200/month
Recreation, entertainment, vacation – RM500/month
Car installment (MyVi or Waja) – RM800/month
Tolls and petrol – RM500/month
Food and meal – RM500/month
Total = RM2500/month
Sadly, the starting pay is also around RM2500/month. You will probably ask why he has to spend more than half of his earning for transportation alone?! Only Malaysian will know 
That’s why I said it is so crucial to get your first car free!
Technorati Tags: rental, car installment, free car, fresh grad
{ 8 comments… read them below or add one }
I think one day I would love to write an article on spending.
I for one, find many “needs” to be luxury, which is a waste of money (it is just my personal opinion)
I find that car is not a need. There are many many alternatives to car, and car eats your money through maintainance, tax, insurance, petrol etc.
I never use handphone and I find it an addiction. It is not a need. It waste a lot of your money.
This goes for unnecessary shopping, unwise traveling and many petty spendings.
@ Relax
You are really “somebody”!
thanks
well, I think I learn all these from experience and through reading.
In Europe, it is common to cycle to work. It would be better to rent a place near working place, or take a train to work. There are many options. I think Malaysians are too dependent on cars. Even when someone want to buy a newspaper, he has to use the car.
This is a situation here in Malaysia. People are not given any choice other than own a car.
That’s sad.
No wonder so many people want PROTON to die.
Hi Kc:
May i know if i can write to ask you advice on my retirement plan or education plan for my 2 kids ?
thanks
Hi Vuga,
sure! just use this link to send me email:
http://kclau.com/contact-us/
Of course not enough to spend la, see other people buy prada, gucci, LV cannot tahan ad. Nevermind, see friend got iphone4, bb, pda, also cannot tahan, buy la!
Now got beg, got gadgets not enough d. Want fancy car !!!? so ? take loan from bank lo. the longer the loan the better. Ok, Proton don1, want conti cars, good. BM lor. Thats the problem lo, cannot defeat their desire.