FAQ

The FAQ Page (The “No Nonsense” Answers)

Frequently Asked Questions (The Stuff Everyone Asks)

Q1: Why don’t you talk about collecting Credit Card points and miles?

Because for 90% of beginners, credit cards are not a tool; they are a trap. The “points game” is designed by banks to make you spend more. If you are struggling to save RM1,000 for an emergency fund, you have no business worrying about air miles.

  • My Advice: Stick to Debit Cards until you have completed Step 3 (Domino Your Debts). Keep it simple. You cannot get rich paying 18% interest while earning 1% in points.

Q2: Why isn’t there an “Investment” Bucket in Step 2? 

I believe that you must earn the right to invest. If you have RM10,000 in credit card debt and you put RM500 into the stock market, you are losing money.

  • The Math: Credit Card Interest = 18% loss. Stock Market Return = 8% gain. Net Result = -10% loss.
  • The Plan: Investment comes in Step 5, strictly after you have cleared high-interest debt and built your Mojo (Emergency Fund). Once your Mojo bucket overflows (e.g., >3 months of expenses), that excess money automatically flows into investments.

Q3: I am a freelancer/Gig worker (Grab/Foodpanda). I don’t have a fixed salary. How do I do this? 

You need the “Survival Number” Strategy.

  1. Calculate your bare minimum monthly survival cost (Rent + Food + Bills). Let’s say it’s RM2,000.
  2. In good months (when you earn RM4,000), you fill the Blow bucket with RM2,000, and the entire surplus goes into your Mojo bucket.
  3. In bad months (when you earn RM1,500), you draw from your Mojo to cover the gap.
  • Crucial: You must contribute to EPF i-Saraan. The government gives you a 20% free match (up to RM500/year). Do not leave this free money on the table.   

Q4: My parents expect a monthly allowance. Where does this fit? 

In Malaysia, this is non-negotiable for many. We call it the “Bakti” expense.

  • The Reality: Treat it like a bill. It comes out of your Blow Bucket (Daily Expenses).
  • The Fix: If you can’t afford it, you need to have the “Step 1” conversation with them. It is better to give a small, consistent amount (e.g., RM200) that you can sustain, rather than RM500 that forces you into debt. You cannot help them if you are drowning yourself.

Q5: Can I use the new EPF Account 3 (Akaun Fleksibel) for shopping? 

You can, but you shouldn’t.

  • The Truth: Account 3 is liquid, meaning you can withdraw it anytime. But if you treat it like a “Fun Bucket,” you are robbing your future self.
  • My Advice: Treat Account 3 as your secondary Mojo (Emergency) Fund. Only touch it if your car breaks down or you lose your job. Let the dividend (5%+) compound.   

Q6: Do I really need a Medical Card if my company covers me? Yes. Absolutely.

  • The Risk: If you lose your job, you lose your insurance immediately. If you get diagnosed with a chronic illness while unemployed, no new insurance company will cover you (pre-existing condition).
  • The Fix: Get a personal medical card with a “deductible” (e.g., you pay the first RM500). This makes it much cheaper, but ensures you are covered even if you are jobless.