Hi PF, long time (about 4 years) lurker here.
I am an American who recently began working as a first year associate in Hong Kong at a British rate (about 120K). It's my first ever full employment, and I am quite nervous of developing poor spending habits and even poorer saving habits. I have approximately 100,000 USD in low-interest student debt (5-7%) that I expect to take approximately 10 years to pay off. As for taxes, I basically am assuming that I will be paying what I would pay if I were working in the US (given the HK Tax + US Tax - Foreign Income - Foreign Housing).
I have three questions for PF:
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(1). Out of annual income, what ought to be the % that goes into savings?
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(2). What is the optimal % that I can spend on housing rent? I know the rule about not exceeding 30%, but given my colossal student debt, I would assume that percentage ought to change.
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(3). Would it better to pay off my low-interest student loans ASAP or would it better to pay the student loan with minimum, and invest the remaining principal elsewhere? (e.g. I am debating whether to pay $1000/month and invest the other $1000, or pay $2000). As a corollary, what are some investment options that are out there?
I would truly appreciate all of your help. Thanks.
Submitted February 02, 2017 at 06:36AM by YourUsualPassword http://ift.tt/2kvvOyF
