Part 1:Public Speaking Experience @ Menjana Masa Depan Yang Cerah Forum @ NKF Kim Keat Road, 15 November 2015.

11/30/2015 11:57:00 pm


Assalammualaikum to all my loyal blogreaders.

I hope everyone is in the pink of health. Some of you must be wondering why I have gone missing for a month or two from blogging. I have been preparing for my first public speaking ever since I stepped out from the banking sector. The preparation was alhamdulillah great and I enjoyed every single moment. And, I do miss blogging. So I have done up some nice pictograms to be shared here too, to compensate the time loss.

For those who did not have the chance to attend the forum, I will be summarizing it in this blogpost. It is basically the things I keep on emphasizing in this blog and I will put links to the respective blogpost for in depth details.

My topic was Perancangan Kewangan Untuk Hari Senja (Financial Planning for Retirement Age). First and foremost, we have to have a clear understanding on what is actually Financial Planning. Some of us may think that this is common sense. But in actual fact, we always overlook on common sense matters. So, lets see the first pictogram below:

Common sense much? Yes? 
Have you done it in the correct manner? No?
Have you asked yourself where did you go wrong? 
Maybe and do not know where you went wrong?

It's time to relearn. Back to basics. It doesn't hurt to relearn things that you think it is common sense. Some of us need to be reminded of the minor important things that can slowly affect you in major ways.

1) Salary: Your hard earn money from working a whole month. What do you do to it?
2) Save at least 10% of your salary. This acts as an emergency fund.
3) Pay for your expenses. Make sure you plan well.
4) Investments is to grow your wealth.
5) Investments for after life.
6) Wealth distribution, ensure that it is in order, so as to avoid future family conflicts.

As per during the forum, I mentioned that there is two types of basics of Financial Planning that we should know. One is the Conventional Financial Planning. The other is Islamic Financial Planning.

1) Protection is the base as it is important to ensure that you are financially covered in terms of health and wealth. In times where emergency happens, it does not cause a financial burden.

2) Savings is the next portion. Savings in this matter is Emergency Savings. Emergency Savings are funds worth 6 times of your expenses. This fund can only be used in case of Emergency.

Salary: $3000
Savings Per Month: $300 (10% of your Salary)
Expenses per month: $2000
Emergency Savings: $2000 x 6 = $12,000 (This can be achieve if you diligently save for 40 months.)

3) Investment is the top of the pyramid. You only invest when you have build up your base of Protection and Savings. This is to ensure that you are financially stable before taking up any form of investment risks. Investment requires a long period of commitment, in order to be able to see the significant amount of profit in your financial portfolio.

This is the Islamic Financial Planning:

As you can see, this diagram goes the anti-clockwise direction, in line with the way we Muslims do our Tawaf around the holy Kaabah. The first three components are the same as the Conventional Financial Planning.

1) When you receive your salary or gain profits from investments, remember to donate a portion of it to the needy or to organisations who needs it. May Allah bless you with barakah.
2) Zakat, remember to pay 2.5% of zakat on your investments or savings. This is to cleanse your money before spending it.
3) Save for Pilgrimage, which is the 5th Pillar of Islam.
4) Save for retirement, so that you can live comfortably during your golden years.
5) Ensure that you have done proper wealth distributions according to Faraidh or by writing a Will.

That is all for now that I can share with you, so as to not to overload you with too much information in one blogpost. Stay tuned for the next blogpost.


Behind the scene during my first radio interview at Warna 94.2 FM, Singapore.

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My objective of creating this page is to reach out to more people, to educate about Islamic Finance and Individual Finance, share tips on financial planning and also be able to answer to everyone's queries. So, feel free to share this page and ask me questions. Let's share the knowledge and practice them together. In syaa Allah. Aamiin.