Retire in Style in Thailand for Singaporeans- Bangkok n etc

Contributed By: The Big Fat Whale

After our previous article on retiring in Johor Bahru for Singaporeans, we bring to you the idea of retiring in Thailand for Singaporeans in style.

It has been a choice weekend getaway to Bangkok for some retail, massage and food therapy. Or we could laze around on the pristine beaches of Phuket or Krabi. Not forgetting the charm and rustle of Chiang Mai and Hua Hin.

I guess the usual mirage of chilling by the cafe and having a laid-back retirement in a paradise setting is just such a nice picture of how we want to retire.

If we are still on to some online gigs or even trading and investing in the markets, it would be a good source of additional income while retiring.

Not forgetting the cost of living would be much lower than Singapore, which this article will be looking to unravel through the subsequent sections of this article.

Thailand is just a short air flight but in terms of distance, it would not beat JB which is a short MRT ride. Therefore, to have a full-time job in Singapore while staying in Thailand would likely not be a viable choice for those under employment.

 

Retirement Visas for Thailand

Before we can apply for a retirement visa, you have to be 50 years of age. So for those who have FIRE in their 30s, you might have to explore other options to have a long stay in Thailand (30 days for a normal trip based on Singapore’s visa exemption).

The applicant has to meet one of the following financial requirements:

• Hold a deposit of no less than THB 800,000 in a Thai bank account for at least 3 months.
• Receive a monthly income (including pension) of at least THB 65,000. As proof of monthly income, an affidavit must be obtained from the applicant’s embassy or consulate in Thailand.
• A combination of bank deposit and a yearly income of no less than THB 800,000. As supporting evidence, an updated bank book or letter from both the applicant’s bank and embassy must be submitted

Other documents that may be required to be presented:

• • Police Clearance
  • Medical Certificate
  • Health Insurance

The visa is valid for 1 year and is renewable after that. There is also a report to be made to the immigration office every 90 days to update them on your residence in Thailand. To apply for the retirement visa, you must first apply for a 90-day visa and stay in Thailand for 60 days before you can submit your application.

Not too sure about yourself, but I certainly feel this process could be smoothen out as there seem lots of administrative matters. Moreover, it is just a 1-year visa unlike Malaysia which is granting a 10-year visa.

Click Here for the Full Article:

https://thebigfatwhale.com/retire-in-style-in-thailand-for-singaporeans-bangkok/

Retire in Style for Singaporeans in Malaysia- Johor Bahru

Contributed By: The Big Fat Whale

We believe that the escalating costs in recent times have really made us wonder if retirement is even possible. Do we have to work till much older than the legal retirement age of 63 years old? Are we able to retire in style?

Therefore, quoting from Bruce Lee, we should: "Be like Water", adapt to the conditions and be open-minded about the options available. We can create a greater lifestyle, lower our cost of living and embark on an incredible adventure.

With a lifestyle arbitrage, using the same amount of retirement funds, we could stretch our scarce funds or have an upgrade in living standards.

We decided to start a retirement series with Malaysia as our first coverage.

Our focus will be retiring on Johor Bahru as it might be one of the more viable options for Singaporeans. Other popular spots in Malaysia are Penang, Kuala Lumpur and Malacca.

 Malaysia Long Term Visa

So for a start, we will look at the requirements for a visa to have this sort of living arrangement.

For Singaporeans, there is no need for a visa if you do not intend to stay for a period exceeding 30 days. So in theory, you just have to clear the customs every month in order to renew your 30 days.

We are not sure if there will be issues if you keep crossing the border especially if you are still working. There could be a need for you to pop by your office a couple of days a week.

From the interviewees from this article by Channel News Asia, Work from home in JB: Some Singaporeans are relocating amid border reopening, hybrid arrangements, it seems there should not be too much of a problem with regards to not obtaining visas for Singaporeans intending to embark on this lifestyle.

Nonetheless, for those who want everything sorted out and be by the book, there are two visas that you could find applicable:

 

Malaysia My Second Home Program

To qualify for this program, the applicant must have liquid assets of at least MYR500,000, a monthly regular income of at least MYR10,000 and make a fixed deposit in a Malaysian bank of MYR300,000, half of which can be withdrawn to buy a house, purchase health insurance or pay for their children’s education.

After two years, part of the deposit may be withdrawn to use the car purchase concession, as long as a minimum balance of MYR150,000 is maintained during the entire stay in Malaysia under the program.

Click Here for the Full Article:

https://thebigfatwhale.com/retire-in-style-for-singaporeans-in-malaysia-johor-bahru/

Living to 100 Years Old- Is it a Curse?

Contributed By: The Big Fat Whale

It is like a miracle to live beyond the century mark in the past but it is no longer a rarity in today’s world. Japan have the tradition of giving a small swallow bowl made of silver (silver sakazuki) to celebrate those who have reached this grand milestone. It is meant for a ceremonial sip of the sake. Soon after, there will even be a letter of commendation sent to them from the Prime Minister.

Given the numbers reaching beyond 100, the government is looking to downgrade the award. Currently, the centenarian population stands at 86,510 in 2020 as compared to 153 when the records started in 1963. 

100 Year Life

Recently, we just completed reading the 100 Year Life by Lynda Gratton & Andrew Scott and have gained useful insights from their work. What is notable would be if you are in your 40s, there is a 50% probability you will live to 95 years of age. If you are in your 20s, there is a 50% probability you will live to 105 years of age.

What it signifies is that being a centenarian would be a norm rather than an outlier in the future. It brings us to a great paradox of what it entails to our life, society, economy and social structure.

Here is the link for the full article:

https://thebigfatwhale.com/living-to-100-years-old-is-it-a-curse/

Off Grid Living on $10 per year in Northern Thailand- Retirement Plan

In life, there are a few things that people would love to talk about. One of those is their ideal retirement plan and how they go about travelling and enjoying life in the latter part of their life. 

During my army days, I was doing guard duty during the weekend (Yeah got extra), we have a warrant officer who is known to be cranky and hard to handle. However, when I started diverting the conversation to his retirement, he really open up and tell me his grand plans. Life in the army was smooth sailing after that day for me, as I have established a great rapport with the warrant officer.

There is FIRE- Financial Independence Retire Early- movement going around especially in the US and Europe region. The goal is to accumulate a substantial amount of money- 500k to 1 million- by living frugally and investing well (In Index ETFs). Some are able to FIRE in their 30s.

Using the 4% rule, which entails withdrawing 40k annually on a portfolio of 1 million dollars, statistical studies have shown that you would never run out of money if you invest it in either a 60-40 (Equities and bonds mix) or all into equities. That is provided there won't be a great depression like 1929 which shed the index by 80%.

So it brings us to our title, Off-Grid Living on just $10 per year. Are you kidding me?

There was a recent video by the Retired Working for You channel, where he interviewed a Finnish guy who have settled down in an isolated mountaintop area in the north of Thailand- it is near Chiang Mai. I am not sure why but the video is now private and hence I am unable to share the link.

He spends around US$40k to build a house and acquired land to have its own greens for food. He also has his own solar panel and spare batteries for electricity use. There are half a dozen of huge water tanks that are used to collect rainwater for their water needs.

In a nutshell, he is able to self sustain no matter what happens to the world. The $10 per year is actually the cost for his cooking gas. That's all he needs from the outside world.

Life could be kind of extreme to live this way for city folk like myself- you have to do everything yourself and I believe there will be lots of manual and DIY work.

From my perspective,  I would rather just rent a condo unit for say US$350 per month and find meaningful things to work on (volunteering) or earn some income. 

Source: DD Property Website- This studio would cost US$350 per month and comes with a great pool and gym

Why earn some income?

In case the 4% rule fails, at least you have a backup plan to sustain your retirement lifestyle. You could be blogging or YouTubing and earning Adsense, and affiliate income. You could even set up a small e-commerce venture where Thailand is a good place to source products. Possibilities are aplenty.

If we add up the numbers, we could possibly live on an US$800 per month budget. If you owned a property in your hometown, you could rent it out and finance your lifestyle in a less expensive yet nice country with good food and nature.

Looking at the 4% rule, we will cater for contingency and round our monthly expenses at US$1500, which will be US$18k a year. You would need a nest egg of US$450k to retire stylishly in Northern Thailand. 

However, for those with kids, I guess it won't be so easy to uproot and hence this calculation is more for singles and couples.

So I hope you are as delighted as my warrant officer with this post that could set you thinking about your retirement.

Till the next blog post, stay safe and happy.