Scan the QR code to download Dobin!
While ghosts may lurk in the shadows, there are entities just as bone-chilling – money blunders that will keep any aspiring financial whiz and Dobin user awake at night.
In the world of finance, some lessons are only learned through cold, hard experiences.
That is why, in the spirit of Halloween, we summoned our very own Dobin team to share the mistakes that taught them how to manage their finances for the better.
These are cautionary tales that feature cryptocurrency dips, investment opportunities gone awry, and financial twists of fates in a foreign land.
Now, dim the lights and cue your favourite Halloween playlist. Dobin’s unnerving saga is about to begin.
Ben, 29, Tech
When I was around 17 to 19 years old, I started earning my National Service (NS) salary. It was the first time in my newly-minted adult life that I had a monthly, stable income. All I focused on were short-term wants like clubbing, drinking, and ordering food multiple times a week.
These expensive habits added up to a hefty sum.
Money was spent with reckless abandon – to the point where expenses incurred would equal my income in certain months.
Perhaps, chalk it up to youth or call it immaturity, but the concept of savings felt very naive. In addition, there was a huge amount of pressure from my much older peers (24 to 25 years old) to maintain this lavish lifestyle.
If I could go back in time, I would start building up my savings instead of squandering it on excessive nights out. I would have also told my younger self to avoid spending on unnecessary things for short-term gratification as they cast a shadow on my savings potential.
The thought of all the money I could have saved if I started the habit of keeping aside a portion of my salary at an earlier age sent shivers down my spine.
Start saving early so your financial future won’t be haunted.
To learn more about how you can amp up your savings potential, we highly recommend diving into our 50-30-20 article. It offers comprehensive tips and valuable insights to boost your income allocation and save more over time.
Peter, 35, Marketing
The world of cryptocurrency can be dark, filled with unexpected peaks and valleys. If only I knew what was in store for me once I stepped into that world. A couple of years ago, I found myself in the throes of a Bitcoin bull run with a staggering 90% of my liquid wealth invested.
Confidence soared as anything seemed possible with crypto.
Due to the sentiments at the time, I aspired to shoot for the moon. Everyone in that world was swimming in digital riches and the dream of owning a Lamborghini seemed to be tantalizingly close. I just needed to hitch a ride as it went up.
But what comes up must inevitably come down.
Bitcoin, after reaching an all-time high, began to correct itself. At first, I dismissed it as a mere hiccup to the unstoppable growth of this revolutionary asset class. A few weeks later, the Ukraine war started, and I got cold feet. In a moment of panic, I decided to sell everything, missing the peak by more than 30%.
Source: Yahoo Finance
Pictured above: The first circle marks a valuation of approximately $70k, representing the initial peak value. The second circle, at around $45k, signifies a 36% decrease from the peak. This reference point is one month after the onset of the Ukraine war, providing context for the observed decline.
It was a bitter pill to swallow but I realised that it is much better to scale in and out of my investments progressively while keeping my emotions at bay.
Emotions were what caused me to miss out on a significant windfall. I failed to sell at the highest possible price, resulting in a substantial loss of potential profit. I vowed that in the future, I would keep my composure and not let my emotions get the best of me.
Today, I’m still dabbling in the world of Bitcoin – but now as a wiser and more experienced Bitcoin maximalist!
Make confident decisions that will bring you closer to your financial goals. With a comprehensive overview of your finances, Dobin empowers you to stay in control of your financial landscape.
Thomas, 37, Analyst
After working for several years in the investment banking world, there was a turning point in my career when I decided to explore a different field.
This led me to resign from my job and join an MBA program to broaden my career options. My academic pursuit also prompted a move to another country, bringing my wife and my daughter along with me.
Fortunately, my wife was able to continue her employment, albeit only for two years. It was a financially precarious time as our family of 3 was living off of a single income in a country with notoriously high-income tax.
We were left with a negative cash flow, where our expenses were higher than our income.
This marked our financial transformation as my wife and I decided to scrutinise our expenses for the first time. Unnecessary expenses and subscriptions were dropped as we closely monitored our budgets.
Over the next few years, our income grew substantially when promotions knocked on my door and my wife found another job.
Yet, we kept the habit of tightly managing our budget and avoided the temptation of lifestyle inflation. The most important takeaway is to always know where our money goes through the breakdown of expenses!
Want smarter insights on your spending habits and monthly cashflow? Take the first step by downloading Dobin. Here’s a peek at how Dobin can shed light on unnecessary expenses and subscriptions , empowering you to make informed financial decisions.
AJ, 36, SEO
A year after my arrival in Singapore, I was on the lookout for new ways to invest. I was learning more about ETFs, funds, and stocks to figure out where to best park my readily available funds.
The timing was good; it was a period that had all the makings of rising investments. Tech stocks were trending upwards, the economy was thriving and this was before the ominous shadow that was Covid-19.
There were many opportunities where I wanted to diversify and seize the moment but I didn’t go through with them due to my perceived lack of available cash. My reserves were not as substantial as I had hoped.
Regrettably, I didn’t end up allocating my investments. Fast forward one year later, a chilling realisation struck me.
It turns out that I had more money in a different account that wasn’t considered as it was categorised as an expense account. This simple oversight proved to be a costly mistake as it prevented me from investing more.
My portfolio would have flourished, instead of splurging on a shopping spree with my kids.
The lesson learned was that I needed to have a better view of my money, to illuminate the dark corners of my different bank accounts. An app like Dobin could have prevented this very thing from happening.
Experience the boost in financial clarity you’ve always needed when you connect your bank accounts on the Dobin app. Once done, you’ll be able to keep tabs on your aggregated balances in a single view.
Just as Halloween brings shivers down our spine, these financial ghost stories serve as a reminder that it’s important to learn from the past in order to make smarter decisions in the future.
Whether it’s investing, shooting for the moon in crypto, or learning how to curb household expenses, the right financial management app could make all the difference in your financial future.
Ready to vanquish your financial blunders? Download the Dobin app today.
Related Blogs
