The year 2020 marks the most uncertain and volatile economic period in our generation’s history. The Department of Statistics Malaysia (DOSM) reported 737,000 unemployed people in September of this year, representing a 4.6 per cent unemployment rate. This demonstrates the importance of teaching financial literacy courses at a young age.

Randstad Malaysia recently did a survey called Covid-19 Labour Pulse. Of the 531 people who answered, 15% were laid off, and 26% had their pay cut or frozen for a short or long time.

It has never been more important to regain control of your finances, especially if you have been laid off or furloughed. To get a head start, take the following three major steps:

Let’s get started.

Table Of Contents
Part 1: Getting Started Part 2: Managing Debt Part 3: Grow Wealth

Getting Started

To get a complete picture of how much money you have and what you need in the coming year, you must identify, categorise, and list all of your financial commitments. This video demonstrates how to do it.

Gather all of your bank statements, credit card statements, e-wallet payments, and insurance premiums for a specific month first. Calculate your total income, including your net pay. Then, total and list all of your financial obligations, such as your mortgage, rent, car loan, utility bills, student loan (if applicable), healthcare bills, subscriptions and memberships (gym, club), insurance premiums, groceries, and so on.

Finally, create a monthly budget or cash flow forecast. The budget allows you to keep track of your monthly income and expenses. The overview enables you to make the most of your ringgit.

The following page will go over debt management.