Off-Day Thoughts: Where Does the Money Go?

First salary has been here for barely a few days, et voila! More than half is gone.
Such is the way for salaries, I suppose ^^;

There are two ways this could have gone: You could have expected it and shrugged it off, budgeting for the rest of your month, or this could have been a total shocker and you find yourself floundering with almost no money to spend for the rest of the month.

And guess what, if your student-day allowances don't fulfil your needs, chances are your working day salaries won't either, despite the hefty increment.

So what gives?


PLANNING

If you fail to plan, you plan to fail, an old adage goes. I concur with this.

I am very much the planner type. To avoid future mishaps and try as much as I can to navigate the unforeseen, I plan ahead- very much ahead.

In fact, knowing more or less the salary I would be given, I have started planning- very amateur-ly- my salary since my second year of medical school. From then, I knew the luxurious lives people keep saying doctors have, is utterly non-existent in my earlier years of working. I expected that I wouldn't be able to get a decent gaming laptop until at least several years of working and not spending on anything. I knew I wouldn't be able to realistically change my cellphone to a newer model every year without having to lose weeks' worth of groceries, and thus that is not going to happen.

I knew all this since my pre-clinical years in medical school.

I have thoroughly planned my salary division since a few months prior to entering the workforce, and I know how much I can expect to have left to myself after all the essentials are paid for- essentials being rent, bills, loans and insurance, as well as some fixed savings. I already know how much I can afford, more or less, on monthly groceries and phone bills.

This means even before working, I know what I can and cannot afford and I did not get anything I feel I cannot pay for in the future.

This will be grossly different depending on the lifestyle and upbringing you already have. I know of some wealthy people whose parents still give them a hefty sum of money every month even after they start working. I know of people who have to pay for EVERYTHING of their parents' after they start working. The key here is to suit your own budget, and NOT expect to get anything for yourself the first few months. That way, even the smallest extras for yourself feel rewarding!

Which brings us to the next thing...


MINDSET

Reward yourself, but don't do so lavishly.
Unless you're wealthy and you can afford it.

If you think a RM 15 chicken chop is a just reward, it WILL be. But if you keep on fixating on a RM 250++ lavish hotel dinner course as a just reward, then your pay as a new government servant won't be rewarding at all.

Therein lies the problem in most of my generation: We are so self-entitled, we think we deserve better than most people, when in fact, we ARE most people. And it's so much worse in new doctors sometimes, because they keep thinking their salaries are so high that they should be able to spend more than the regular office clerks or other hospital staff.

What we should realize is the fact that 1) those clerks we see have been working WAY longer than us; 2) people have other sources of income than their full-time jobs nowadays; and 3) most of us have massive student loans to pay for. The combination of these three points alone is enough to make you feel like salary-pinching.

So you're going to be a doctor.
That doesn't mean you can afford that expensive smartphone contract for 2 years.
So what if you don't have the latest phone? In reality, in the hospital, NOBODY CARES WHAT PHONE YOU USE. You can use the NOKIA 3310 and people will be stupefied, but any smartphone capable of making calls, staying in touch through group WhatsApp and surfing the web for medical information is enough for any young doctor. And these things do not require a RM3500++ stylish iPhone.

That contract looks small in comparison to your gaji.
But believe you me, small things tend to pile up, and there are always other costs incurred that you've not even entertained before.

So where does the money go?

Where your planning and mindset would lead them, silly!

Ah, and always keep aside some of your salary for your emergency savings account!

Okay bye must enjoy the rest of my off day!

Tipster

In the midst of the financial kerfuffle going around, I know most people feel pinched for cash. Many started doing second and even third jobs to have more cash to support themselves. Almost each cent is lovingly counted and considered before being parted with. Or something like that.

GST and service charges in eateries are not necessarily mutually inclusive, and have now become a major deciding factor in many middle- to low-income families when deciding upon a makan place. Most places charge a 10% service charge on the total bill, and for larger groups this is rather the hefty sum.

So, the question goes: Do you tip?
Because generally, I do.

This is not a bragging post but merely my take on this issue in particular.


Most Malaysians are loathe to tip- that is a well-known fact. We are used to service charges. I do not know if service charges were the result of Malaysians' tendency to not tip, or the reason we do not. In any case, cause or effect, this is the widest reason most people don't tip: "Service charge got already meh."

Alright, understandable.
Though in all honesty, if the service is very good, it doesn't hurt to show your appreciation by throwing down a few ringgit, right?

But what about places that do not have service charge?

I really like this concept because ultimately you are not required to pay extra, but when you do pay something amounting to a normal service charge you feel even more fulfilled- and usually your gesture will be greatly appreciated by the staff.

Most people argue that it's wasteful, especially now that penny-pinching is really required. I think of it as a form of sedekah, and that makes it all the more easier for me. I am not wealthy, but I find that making tips part of the cost for my meals before I even place my order to be highly economical. If you look at the prices of the meals before the charges, you are bound to feel dissatisfied when the bill comes and the extra charges are added to the cost of your meal. However, if you look at the prices and immediately factor in the amount you have to add on to them, you will have mentally prepared yourself to feel more at peace with what you are paying later; and this can apply for tipping too. Several restaurants- like Sushi King- have convenient menus, where they display the prices of the meals and even include the amount of each item after the extra charges are added to your bill later.

As a general rule, more because of awkwardness, I do not tip if you have to pay at the counter and there is no tip box. I do not have it in me to pay the cashier and go 'Oh, here's a few ringgit for tips.' If they have a tip box, and I like the service, I would shove in some tips into the box very hastily. Usually, when they bring me the cheque, I will pay, wait for the balance and leave some, all, or add-on to the balance- depending on the amount. Like I said, I am not wealthy.

I usually will leave about the amount of 10% of the bill or more if there is no service charge. In a certain chain that I really like with very efficient service, I tend to give them 20% each meal, maybe more. If the service is deplorable I might consider not tipping. Coincidentally, the places I go to without a service charge give very good service, perhaps because they rely on tips. Even then, several Arab restaurants I have frequented do not have service charges, and jovially but vehemently refuse tips!

If there is a service charge, I will leave my balance- at least RM 1 for very normal to sub-par service. Sometimes if the restaurant workers are downright rude I will of course refuse to leave them anything. Other times I don't have small change- I will try to pay so that there will be some balance if the service is decent. If it really can't be helped, then it's just not my day for tipping.

So I'm not a particularly huge tipper. I do not have a special part of my coin purse/wallet where I keep smaller denominations of my currency specifically to tip, but I make it a point to try to do so, even when I'm eating with other people. It gets hard when someone else is using their card to pay for your meal, though. How do you insist on tipping that way? But when no cards are involved it's easy to just leave some balance with the cheque. Even when no one else wants to tip, there is some from me.

Now as I said, this is my take. Some may say that rather than tipping, you could better use the balance money to put into donation boxes, or to be collected into your savings jar. That is entirely up to you. But to me, having known people who have worked in the service industry such as these, the gesture- no matter how small- goes a long way. And if you frequent the place, it might mean an even better service and warmer smiles for you! Now isn't that wonderful for everyone involved? :)

Being frugal is necessary, but giving really goes a long way!