Friday, 3 September 2021

Let’s talk about the hustle culture

A larger proportion of people are placing a lot of focus on hustling, earning side income or to work super hard to command a higher salary, hustling seems to be the way to success. Came across an article from The Woke Salaryman where it was about how the co-founder hustled in his 20s to slowly building up The Woke Salaryman and slowing down a little in his 30s.

Read more: Why I want to achieve financial independence | Short update on portfolio

The concept is pretty good in that you hustle and work hard in your 20s to build up capital and invest before taking it slower in your later years. For me, hustling hasn't been a thing for me as I tend to take things slow. I am usually average or even below average if we were to compare my 'achievements' with people in the same age category as me. So let's talk about the hustle culture.

"Hustle culture means overworking and pushing yourself past your limit to achieve a capitalist goal of wealth and success. In this day and age, hustle culture has become increasingly popular – where productivity, jobs and paychecks are prioritised over mental health, good relationships and happiness. With more people aspiring to become successful, workaholism has become heavily glorified, especially on social media." Taken from youthopia.sg

The Woke Salaryman also mentioned that everyone has their own pace, some take it slow while some wants to achieve their financial goals fast. I understand the concept of hustling when you are young because you are at the peak of your energy levels and you can also explore more areas of interest. Of course, building the different sources of income younger also allows compounding to happen earlier and experiment with different style of building wealth.

Why Hustle?

Hustle culture has become more prominent as the younger generation hopes to gain more wealth when they are young and be able to spend the remaining years to do what they want or to travel the world. At least that is in my opinion, I have seen the older generation work for 30 and even 40 years with some jobs being tough and demanding. As I see the older generation face work environments where they are not able to take control of their fate where the company can lay individuals off, not give a pay raise or even suppress their pay all just because they are loyal and need that pay check to survive.

Read more: Pursuing your passion and worrying about job prospects

Many of the older generation grit and work hard to provide for their family and as the younger generation like me see what they go through, we want to amass wealth while we are young so that we are not at mercy of corporations when we are older. Hustling seems to be a norm now as we realise how short span our careers might be with all the innovation and technological advances that take over physical and repetitive work.

Burnt out

In the midst of hustling, it is important not to burn out because you might push yourself too much and in turn hurt your body both mentally and physically. Working from home has in one way or another cause burnt out in many as work seems to eat in personal time but if you are able to properly segregate work and rest time, working from home is actually beneficial.

If having to work harder causes you to feel overwhelmed and emotionally drained, you should take a second look into your style of hustling. I have seen so many instagram posts advocating working in a 9-6 job and then working on a second or side project from 8pm onwards. Before doing so, I think it is important to know where you are heading and unless you 9-6 job is able to allow that, I would rather have a good sleep and sufficient rest.

What you do today determines your tomorrow

When I was working in the office previously, I had this colleague who would work pretty late and I always ask her why work till so late, she told me, "I am doing something today that the tomorrow me will be grateful or happy for" which is that she is clearing her work so that tomorrow will not be as hectic or she might have lesser things to deal with. I find that really meaningful after all, a dollar that we invest today might be worth more in 10 years. Same thing as the effort that we put into our career now might reward us 10 years down the road.

Working hard for a better future is what we are all achieving for, although I am someone who does not have huge aspirations for my career or rather no dreams but just wanting to cruise through life and enjoy myself, I understand the hustle culture. As long as you don't over exert yourself, I believe it is a good way to improve and challenge yourself. All right, back to hustling for me, bye! Just kidding, back to catching up on my K-dramas!

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Wednesday, 1 September 2021

How to combat inflation as you see your chicken rice & nasi lemak race towards being $10

Inflation is something everyone is concern about because it affects all of us and our wallets. I am concern as well but not very educated on how inflation works in the long term especially when 'experts' say inflation is temporary/transitory but InvestmentMoat had a simple and nice article explaining it. When I hear news on that inflation is temporary, I am confused because I remember when we had $2 chicken rice (breast meat) once upon a time when I was in primary or secondary school but now, $2 chicken rice is few and rare. So then, it's not like the food owners will raise prices and then drop them down again but after reading the article from InvestmentMoat, I understand what transitory means. The prices might increase more in the short term but over the longer term or in the future, the increase will be less sharp or high.

He also mentioned that inflation in the United States is often measured by the Personal Consumption Expenditure or PCE for short, the PCE increases at a pretty high rate. So then what can we do about it? Besides increasing your salary, I like to also share on how you can beat inflation using other ways!

Invest!

  • In Stocks

Stocks have a good inflation hedge over the long term with a positive return of about 7% (buying the S&P 500 index), this is of course for the long term as the stock market is volatile over the short term and your investments will fluatuate. But over the long run, if your stock investments returns turn out good, it should beat inflation but this of course, requires a substantial amount of capital and time horizon.

  • In Cryptocurrencies

Many have mentioned that Bitcoin is the best hedge against consumer prices because it is limited in quantity and this means it is valuable based on it's limited supply but of course, it might be a little early to say so but I do definitely find it to be so as we do see companies choosing to have Bitcoin in their balance sheet for example, Square, Tesla, Micro Strategy, Voyager Digital and Marathon Digital Holdings just to name a few. It definitely carries more risks so it really depends on your risk appetite and allocation.

  • In Yourself

Improving yourself is definitely what you have been hearing a lot nowadays, from the government to your company, upskilling or upgrading is the way to go to stay relevant or even to switch to a new industry. I am guilty of not improving myself but I like to try out new things which explains this blog and also my Youtube channel. Although I wouldn't say it is doing a great job nor is it worth the effort based on the small revenue I get from it but it forms as a small project that I do on the side. And also because we are staying home so often at home, it helps keep my time occupied.

If you're older and instead want a safer approach to beating inflation, you can also combine a variety of products besides investing in stocks, an annuity is also a great way to preserve your capital. There are definitely different products that can cater to the different needs of an individual and you will need to know your own risk appetite but taking on some risks is necessary, just make sure you have sufficient emergency funds put aside. Hope you guys enjoy today's video. Do hit the like button and subscribe to my channel. Thank you.

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References: https://www.investopedia.com/articles/basics/10/protect-yourself-from-inflation.asp
https://www.youtube.com/watch?v=CTxlBTIVQrw