Andre Hoeden's biggest priorities are work and funding his three children's education
Radio DJ Andre Hoeden has his parents to thank for his disciplined savings habit, particularly now that he and his wife have three young children.
Mr Hoeden told The Sunday Times that his parents never spent beyond their means: "We were not rich at all. Growing up was comfortable but not extravagant for sure."
"My parents always saved for stuff. We had no car and we lived in a four-room HDB flat," he says.
Mr Hoeden's parents have retired. His father was a prison warden and his mum a beauty training manager with Estee Lauder. He has an older brother.
His parents' simple lifestyle has rubbed off on him. Material possessions are not important, he says, and he does not own branded goods like designer watches.
Knowing the importance of thrift, Mr Hoeden, 42, has started imparting his money values to his three young children - Sarah, eight, Matthew, five, and Russell, three.
A business graduate of Curtin University in Australia, he worked in sales and marketing jobs when he returned to Singapore.
Radio DJ Andre Hoeden has learnt from his parents to keep his lifestyle simple and not hanker after material things. He hopes to pass on this attitude of thrift to his three young children, and counts them and his townhouse home as his investments. ST PHOTO: GIN TAY
Q: Have
you started teaching your children about
money?
A: I teach
them about money every day and how difficult
it is to earn it. I usually let them pay for
stuff at, say, the supermarket and food
centre, and they work for small rewards.
I make a conscious effort to help them
understand about money from the time they
turn four or five years old.
At home, when they help the domestic helper
clear the table, they might get 50 cents to a
dollar. The reward also depends on their
attitude and quality of service. Was it done
cheerfully or grudgingly? And they may be
rewarded if they help to turn off the lights
and air-conditioning when no one is using
them.
Last Sunday, we were at a food outlet and I
gave Matthew $2 and said: "Go, buy your own
drink." Then I watched as he figured out how
to order and get the change.
Q: How are
you planning for your children's
education?
A: I started
saving for their education after finding out
that a tin of milk costs about $60 and
tuition costs about $40 per hour. My
priorities are definitely teaching my kids to
be good people first, then good students.
I'll do anything to fund my kids'
education... sell my golf set, my house and
my prized stuffed spider collection.
Jokes asides, I will fund their education
with our savings and I'm willing to downgrade
to a small residence and use the surplus if I
have to.
My home, a freehold townhouse in the east,
was bought for just over a million about 12
years ago. It has appreciated quite a fair
bit. I have a mortgage on the property with
another 20 years left.
I didn't buy education insurance plans for
the kids but we all have medical and
hospitalisation plans, and I have term
insurance.
Matthew takes golf lessons from me and he
learns tennis from a coach, while Sarah is
taking art lessons, which she enjoys.
Q: What
are your financial goals?
A: My
short-term goal is to work as hard as I can
while I'm "young" and make good financial
decisions, basically not wasting money.
So my financial priority is to save for now,
but it's almost impossible with our high cost
of living. You can expect what my monthly
expenses would be, what with three kids and a
domestic helper.
Apart from that, my main expenses are on my
home. I was never a spender but I do spend a
lot on my house to upgrade it, like buying
paintings and a new sofa.
My biggest challenge is to balance the
spending, so it's a good thing my wife is an
accountant by training.
She's a full-time mother and a part-time
property agent. We have a joint bank account.
I don't have a savings target. However, I'm a
disciplined saver, so I just save every month
but I don't have a clue how much it is.
My long-term goal is to find a way for my
money to work for me. Help!
Q: What is
your retirement plan?
A: I don't
really have one to be honest.... Care to
help?
Our homes are usually our largest
investments. Hopefully mine will help with my
retirement when the time comes.
Q: How
much legacy planning (will, trusts, lasting
power of attorney and CPF nomination) have
you done?
A: None! I'm
hoping my wife is taking care of that.
Q: What's
in your investment portfolio?
A: My kids and
my home. I used to own a small bar with my
dad and brother in Katong for six or seven
years. We sold it just before 2007 and made a
small profit.
Q: Do you
own more than one property?
A: No, I do
not own any other property. This is our
matrimonial home and I can't afford anything
else!
Q: Are you
interested in investing?
A: I haven't
started but would like to and I'm willing to
seek professional help.
I've never traded in stocks and I don't have
a Central Depository account. My wife does
but I don't. She's been trading for about 20
years. I would like to start trading with a
bit of my savings.
Q: My home
is now....
A: A townhouse
in the east. It's great for my kids. They are
rarely at home as they are always out playing
in the estate's shared compound.
Q: I drive
......
A: A silver
Volkswagen Touran. It is an affordable
seven-seater family car.
