The bitterness of a financial conservative

by Hafiz Noor Shams
The Malaysiann Insider
Jul 26, 2012

JULY 26 — I handle my finances conservatively. I spend very little for someone my age and my profile. In fact, I impose a sort of limit on my spending. I am conscious of it and get mildly nervous if my total spending grows too fast even when I can more than afford it.

I probably do buy too much insurance and I do save or invest a large part of my earnings. My credit card service provider probably hates me for having to finance me without getting the chance to charge me interest too often too much.

I can afford to save a lot partly because I do not have too many financial responsibilities.

The other factor behind my saving habit has a lot to do with my upbringing and education.

As a very young school kid, I never really needed to spend too much. Canteen food was clearly subsidised. I rarely asked my parents for expensive items.

The more important thing was that my parents did not give me a generous allowance when I was in primary school. My pocket money was very little. Not that I needed too much anyway but at that age, the limited pocket money effectively curbed any spending impulse I might have then. I was always mindful of my limits. It trained me to be financially prudent.

The same was true as I attended a boarding school in Kuala Kangsar; I rarely had expensive lunches or dinners. Meals were again subsidised and there was rarely a need to spend lavishly in a small rural royal town in Perak. While my allowance did increase, it was definitely less than that of my more well-off peers. I lived spartanly then. This continued during my undergraduate years in America. Formal lessons in economics further solidified my attitude towards personal finance.

During my time living abroad, I did learn to enjoy the finer things in life, but I rarely, if ever, overspent. I rarely overspend still.

So, I can say with certainty that I live by the morality of a financial conservative very strictly.

I think I can say without too much pretension that I am an economist. I understand the various reasons for fiscal deficits. Some of the causes for deficit are justifiable, and some are not. I do understand how the government is not a household in a way that the government can do certain things beyond typical household economics, the point which many defenders of the roles of government in society rush to in deflecting criticism against many facets of government spending. After six years of education in economics, I do not think I need too much schooling in that matter excessively.

Rather, put the economics aside and understand the psychology instead. Understand the worldview of a financially conservative taxpayer.

The state of federal government finance does not impress a person like me. Deep inside, I do feel something along the lines of “if I can do it, why can’t Putrajaya?” It is a dismissive attitude towards the federal government. It is a damning judgment against a failure to adhere to certain brands of secular morality.

It is a kind of sentiment that is almost always never brought forward. It is the ever-present demand for financial discipline. Putrajaya violates this conservative morality so blatantly. Each violation accumulates further moral condemnation.

What further justifies the dismissive attitude is the inevitability that the indiscipline — add in the irresponsible economic populism that has happened throughout the year and earlier — will one day, one way or another, result in higher tax on the conservative, and everybody else, sooner or later. Whether I like it or not, I, will have to finance the fiscal indiscipline of Putrajaya.

That fuels my bitterness towards Putrajaya.

  1. #1 by monsterball on Friday, 27 July 2012 - 2:30 am

    “Putrajaya violates this conservative morality so blatantly” says it all.
    Just change the tenants and see the differences.

  2. #2 by Bigjoe on Friday, 27 July 2012 - 10:01 am

    For sure, voting BN in GE-13 truly means Barang Naik..GST for sure very quickly, service tax for cellphone, likely higher medical cost, higher utilities, higher energy cost, higher tuition/education cost etc..

  3. #3 by dagen wanna "ABU" on Friday, 27 July 2012 - 10:50 am

    Paying 40,000 ringgit for a 2000 ringgit laptop makes no phaaarking sense. None at all!

    I think this is a much simpler way to view umno’s rotten ways.

  4. #4 by boh-liao on Friday, 27 July 2012 - 2:41 pm

    MMK, NR n UmnoB/BN tell Hafiz Noor Shams: You’re FIRED! We no like U kind who no like 2 spend $$$, then how economy moves n where got chance 2 masuk corrupt $$$! U kind, no good 1

  5. #5 by PoliticoKat on Saturday, 28 July 2012 - 11:05 pm

    @Hafiz Noor Shams

    My dear Hafiz, you are looking at Putrajaya from the lens of how a person would manage his or her finances in a manner to avoid going into bankruptcy or suffer financial hardships on a rainy day, ie when you suddenly need that extra bit of cash (let say a hospital bill).

    What you don’t understand is that Putrajaya is essentially a money bank, run by people who are doing their damnest best to take as much money as they can.

    They are not interested in financial responsibility. They are here to empty that bank before their term (turn) in power is over, and it is the next guy’s turn (term). And for many years it seemed that the flow of money was endless. No matter how much was taken there was always more, a whole lot more. So a culture developed. 50yrs is a long time.

    The analogy in your story is a robber getting hold of your credit card. One cannot expect such a thief to seriously exercise financial prudence when using your stolen credit card.

    Why, the smart and logical thing to do would be to quickly max out your credit limit before you cancelled the card.

    So you can’t fault Putrajaya for acting the way they do. You are comparing apples to oranges.

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