Given my aversion to maths, which should come as no surprise to anyone who knows me beyond a superficial level, what might come as a surprise might be my interest in number-crunching...only for things that are of interest to me. one of those things is, well, interest! i've been comparing the various bonus-interest accounts that are on the market, and even did a little spreadsheet to see which one gives me the most interest upon meeting the various criteria. before i go into detail there, though, i just wanted to mention how accomplished i feel for making a spreadsheet to track my work cases. it even uses conditional formatting to highlight certain cells as deadlines approach. i'm by no means a computer whiz or programmer, which is why i felt that it was something worth celebrating. while it's still not as automated as i'd like (i still have to input the values correctly or risk getting warnings at the wrong dates) it's good enough for my use. right, on with the content!
currently, i have 2 such bonus-interest accounts, UOB one, and OCBC 360. i'm not sure if other countries have this sort of thing, so quick explanation. all bank accounts have a base interest rate, which is usually something lousy like 0.05% per annum. initially, i'd naively thought that 0.05% a year meant the same as 0.05% a month, because percentages don't change, right? now you see why i suck at maths. it turns out that the per-month interest rate is 0.05% / 12, or 0.004%. for perspective, that means for every $100 i have in the bank, i get 5 cents a year, or 0.4 cents a month. that sucks. the bigger banks all have a product (funny how bank accounts are marketed as "products") that allows you to gain bonus interest upon the fulfilment of certain criteria, usually crediting your salary, or spending a certain amount on a bank-issued credit card. UOB's one account requires crediting salary of at least $2000 (after CPF deduction) to the account or 3 debit GIRO transactions, and spending at least $500 on a relevant credit card. OCBC's 360 account has the same exact criteria for salary credit and credit card spend, but they did away with the GIRO thing a while back. they also offer more bonuses, like you get some additional interest if you end the month with a higher average daily balance than the previous month, and if you have insurance and/or investments with the bank. the DBS multiplier account is slightly different. it still requires crediting salary, but it requires that you spend in a certain number of other categories chosen from credit card, housing loan, investment, and insurance. the most immediate upside i can see with the multiplier account is that it offers greater flexibility.
based on what i could realistically accomplish at this point in time, i did a very simple comparison using each bank's interest calculator tools, simulating my savings over a year. for a fair test, i used the same conditions as much as possible: starting balance of $1000, increasing by $1000 per month. for UOB and OCBC, i fulfilled the salary credit and credit card spend components. the simulation for the multiplier account had to be adjusted a little due to the slightly different requirements. for that, i maintained the initial balance and increment, but used a salary credit of $5000 and a credit card spend of $1, just to make up the numbers. i did a second set with a starting balance of $2500 and increasing by $2500 a month, and the results were quite significantly different. based on the figures obtained from the first set of conditions, it seems that the DBS multiplier is the way to go, as it offers the highest interest per year ($104.32) compared to UOB ($101.75) and OCBC ($95.94). the OCBC account seems to really shine when you can increase the balance on your account by a lot, due to the bonus interest for those aspects. the UOB account doesn't seem to be that special, although it has a hidden bonus: the one card, which is one of a few cards compatible with the account, separately gives rebates and bonus cash upon spending a certain amount. for instance, spending $500 per month gives a $50 rebate per quarter. the bonus increases for $1000 and $2000 spent per month. that's also the drawback - bonuses are credited by the quarter, meaning that you have to keep the spending up for 3 consecutive months or else it doesn't count. it's great if you've got high, recurring expenses, but i don't! not yet, anyway. so the strategy is to use my UOB card to satisfy the minimum spend and get the bonus rebate, while having most of my funds in the DBS account to take advantage of the higher interest.
looking at all this stuff, i will probably end up nominating DBS to be my crediting account with the IP firm. and when i feel like i've got enough reserves, maybe i'll do some investments there too, since that's another category that contributes to bonus interest. for now, i just applied for a DBS safra credit card. was facing some problems with the application, and the nice DBS call centre staff told me that it was because my student credit card from all those years ago was still active. who'd have thought? so i cancelled that card (which hasn't been used in a long long time anyway), and got the safra credit card. reason i chose the safra card is because the annual fee is waived as long as i'm a safra member. so, at least for the next 2 years. i don't intend to make any huge purchases with this new card, since my salary credit basically takes care of the minimum transaction amount for the tier i'm at. the next tier is $10000 per month away, so no point trying to chase it now. i'll probably use the card for like small purchases, or as the card that's linked to my phone's NFC functionality for public transport. must say that i was quite impressed with the application process once that minor hiccup was clear - the card got approved instantly! note to self: do the change of crediting account with the learning lab once the multiplier account is set up. i'm also due to cover a 9:00am class this coming sunday; good thing i checked my schedule.
since this post has taken a finance-y turn, i might as well use the opportunity to talk about taxes. more specifically, what i learned about them in this past week. it seems late to only understand it at the ripe old age of 30, but better late then never, right? so here's how it goes: you have an annual income, which is made up of employment income and other sources of income. employment income is easy for salaried employees; just 12 times of the monthly salary, then adding whatever bonuses were given. non-employment income may be from stock dividends, rental, interest, among other things. on the other hand, you also have reliefs, for instance, relief for supporting your parent(s), child(ren), sibling(s), and for donations that you made. subtracting your reliefs from your earned income gives you your final taxable income, which you then look up on the tax brackets. so, if i earned $39900, i would pay a flat rate on the first $30000, then a percentage of the remaining $9900. using actual figures from IRAS, that would be $546.50, made up of a $200 flat rate, and $346.50 for the remaining income. then, there's this thing called a tax rebate, which is only applied to the tax that you're supposed to pay. the tax rebate is half of your total tax, up to a maximum of $200. for my situation specifically, i'm more or less in the middle of two brackets, so my best option is like my cousin said..suck it up and pay. my previous misconception was that tax reliefs and rebates were the same, and were applied to the payable tax only. that's why i thought i could just donate some small amount to charity and wipe my tax bill off completely. should have known that the government would be smarter than that.
the long weekend is almost over, and it's back to the grind tomorrow. i actually don't really consider it to be a grind, because i've experienced grindier stuff while doing lab work. monitoring for deadlines, client correspondence, filling in applications...all these are infinitely better than watching experiments fail. even the difficulty of more technical things like claims drafting and amendments don't seem to compare with failed experiments. well, it's more like a different kind of difficulty. with patent stuff, the boundaries are more clearly defined in the sense that you know how to fix things. there's even a whole series of laws and guidelines written to help you! the difficulty lies in making sure you have all the documents needed for filing, checking and double-checking entries for typos, making sure the numbers match and are correct. for research, the difficulty lies in troubleshooting, which is way more open-ended. when you don't get your desired product, it could be due to any one or more of an impossibly large number of factors. sure, we're able to narrow down the possible factors with experience. the usual sequence of variables i would examine is time, temperature, light/air/moisture, solvent, type/strength of reagent...but even then it's still somewhat uncertain, and the problem is not guaranteed to be solved by adjusting these factors. guess it's good that i'm looking at it from this perspective. as i said before, i could see myself doing this patent thing long-term.
did quite a few things this weekend! got my hair cut, went to the tailor and got some minor issues with my existing shirts fixed, and commissioned 3 more shirts. that should probably be as big as my wardrobe gets for work. i think that tailor-made is the way to go, provided you have the time to wait. after all, the cost is about the same as retail outlets. it may even be cheaper, depending on the options you go for. plus, the customized fit is a huge draw. that's not to say that retail is useless; there are times when you urgently need a shirt, and the only way is to grab one off the shelf. wanted to get shoe glue last night, but the hardware store was closed. lucky that i still have half a tube, which was more than sufficient for the minor patch work that was needed. should consider getting these shoes professionally fixed one day.
one major thing left to do before going back to work tomorrow is to go for my friend's wedding dinner tonight. he's one of the chemistry guys with whom i hang out more often, so i'm happy to be there. in fact, the few of us are going to attend his wedding in china as well. that's scheduled for early june. at the time of booking the flights (march, i believe?), i didn't realize that i'd be gainfully employed by the time of the wedding. the implication is that i'll be taking unpaid leave for the trip, since my probation isn't up. i was just looking at it...i could actually cancel the tickets without refund, go to work for those 3 days, and earn enough in that time to offset the loss incurred from giving the tickets up! but i'm not complaining, nor will i do that. apart from it being a nice holiday, the friendship between the chemistry guys means more to me than the few hundred dollars gained or lost. for now, i've got to meet a carousell buyer (selling my pilot falcon since i don't use it at all) before getting ready to go. i should talk about shaving one day. i realize that as i'm getting older, i'm caring more about things that most people wouldn't give a second thought to. so weird.
-random thought of the day: Don't like market rates for red packets.-