Situation 2

Nurul Iman Personal Monthly Budget with Personal Monthly Cash Flow in one
Statement

Monthly Income
Total monthly income

Budget
RM 4800

Actual Cash Flow

RM 4800

Fixed Savings

RM 500

RM 500

Less savings for

emergency funds

RM 100

RM 100

Monthly savings net

of savings

RM 4200

RM 4200

House rental

RM 350

RM 350

Total monthly fixed

expenses

RM 350

RM 350

Transport
Grocery
Utility bills
Handphone bill

RM 150
RM 200
RM 50
RM 50

RM 200
RM 250
RM 100
RM 100

Total monthly variables

expense

RM 450

RM 650

RM 100
RM 100
RM 100
RM 50

RM 50
RM 150
RM 150
RM 70

Less monthy fixed

expenses

Less monthly variables

expenses

Less montly discretionary

expenses
Clothing
Entertainment
Household items
Medical Expenses

Total monthly
discretionary expenses

RM 350

RM 420

Excess (Surplus) Income

RM 3050

RM 2780

Nurul Iman Personal Monthly Budget with Personal Monthly Cash Flow in one
Statement after the salary raised.
Monthly income
Total monthly income

RM 5000

Budget

Actual Cash Flow

RM 5000

Fixed savings

RM 1000

RM 1000

Less savings for

emergency funds

RM 100

RM 100

Monthly income net of

savings

RM 3900

RM 3900

House loan
Car loan

RM 660
RM 897.30

RM 660
RM 897.30

Total monthly fixed

expense

RM 1557.30

RM1557.30

Petrol
Grocery
Utility bills
Handphone bill
Car repairs

RM 250
RM 200
RM 50
RM 50
RM 250

RM 300
RM 220
RM 100
RM 70
RM 300

Total monthly variables

expenses

RM 750

RM 940

Less monthly fixed

expenses

Less monthly variables

expenses

Less monthly
disccretionary expenses

Medical expense
Entertainment
Household items
Other expenses

RM 50
RM 100
RM 100
RM 100

RM 0
RM 150
RM 120
RM 50

Total monthly
discretionary expenses

RM 350

RM 320

Excess (Surplus) income

RM 2657.30

RM 2817.30

Car loan calculation

Car price : RM 86,000.00
Interest rate : 2.8 %
Down payment : 10%
Loan tenuer : 9 years

i)

Loan amount : RM 86000 x 10%

= RM 8600
RM 86000 RM 8600
= RM 77400

ii)

Interest rate : RM 77400 x 2.8% x 9 year

= RM 19504.80

iii)

Total loan : RM 19504.80 + RM 77400

= RM 96904.80

iv)

Monthly installment : RM 96904.80

9 x 12 months
: RM 96904.80
108 months
= RM 897.30

House loan calculation

Car price : RM 12,000.00
Interest rate : 3.95 %
Down payment : 10%
Loan tenuer : 30 years

i)

Loan amount : RM 120000 x 10%

= RM 12000
RM 120000 RM 12000
= RM 108.00

ii)

Interest rate : RM 108.00 x 3.95% x 30 year

= RM 127,980.00

iii)

Total loan : RM 108.00 + RM127,980.00

= RM 235,980.00

iv)

Monthly installment : RM 235,980.00

30 x 12 months
: RM 235,980.00
360 months
= RM 660.00

Savings calculation
1) Nurul iman saving is 500 per month. That means she savings 6000 per year.
This is the calculation. She wants savings until 10 years

Year 1 = 6000 x 3% =180 ( 6000 + 180 = 6180)

Year 2= 6000 + 6180 = 12,180 x 3% = (12,180 + 365.40 = 12,545.40)
Year 3= 12,545.40 + 6000 = 18,545.40 x 3% = (18,545.40 + 556.40 = 19,101.80)
Year 4= 19,101.80 + 6000 = 25,101.80 x 3% = (25,101.80 + 753.05 = 25,854.90)
Year 5= 25,854.90 + 6000 = 31,854.90 x 3% = (31,854.90 + 955.64 = 32,810.54)
Year 6= 32,810.54 + 6000 = 38,810.54 x 3%= (38,810.54 + 1164.43 = 39,975.00)
Year 7= 39,975.00 + 6000 = 45,975.00 x 3% = (45,975.00 + 1379.30 = 47,354.30)
Year 8= 47,354.30 + 6000 = 53,354.30 x 3% = (53.354.30 + 1600.63 = 54,955.00)
Year 9= 54,955.00 + 6000 = 60955.00 x 3% = (60,855.00 + 1828.70 = 62,683.70)
Years 10= 62,683.70 + 6000 = 68,683.70 x 3% = (68,683.70 + 2060.51 = 70,744.21)

2) Total savings Nurul Iman for 10 years is 70,744.21. She can afford to pay the
down payment for house and car.
3) The down payment for car is RM 8,600 and the house down payment is RM
12,000.
RM 70,744.21- RM 8,600 RM 12,000 = RM 50,144.21
4) Now total savings for Nurul Iman have RM 50,144.21 after she pay the down
payment for car and house.
5) Nurul Iman can continue to savings and raised his savings from RM 500 to

RM 1000, even his has to pay car and house loan.