Blog

Short blog posts, journal entries, and random thoughts. Topics include a mix of personal and the world at large. 

It's up to me now

My dad is scheduled to retire after the end of this year. A well-deserved long rest after over four decades of toil. And I do mean toil: working in construction back in China, and then laboring in a warehouse here in the States, before ending up back in construction. It was non-stop, with scant vacations. Dad’s ceaseless work sustained our family through some tough monetary times. My current life would not be possible without his dedication to the family.

Now that he is retiring, it is time for me to return the favor. That’s the rule in Chinese culture: you must be filial to the parents. After my dad stops working, his only income will be from Social Security. There isn’t a grand retirement account to draw money from. Remember: our family was near the poverty line for a long time. Back then, the money coming in went straight to supporting a family of four. It was always going to be relying solely on Social Security after retirement - for dad and my mom.

Obviously, the monthly Social Security check is going to be far less than the paycheck my dad is getting from his job. That means the current lifestyle supported by that salary will either need supplementation, or hugely adjusted down. The day-to-day fixed costs - such as food and rent - can be covered by the Social Security check. Where I come in to supplement is during outings and special occasions. It’s up to me to pay for the that restaurant bill. Same with plane tickets and accommodations when traveling as a family. Need a new vacuum cleaner? That’s going to be me as well.

Good news: I have a brother to split the load! My parents sure are smart to have two offsprings to support them in their latter decades. Half-joking aside, I dutifully relish the opportunity to give back to my parents. It’s the least I can do, a just reward for a life sacrificed for the kids.

Go go gadget bike.

Chinatown futures

This past weekend there was a car show in San Francisco’s chinatown. Organizers closed down Grant Avenue, from California all the way to Broadway. A reputed 100 cars of varying price and exoticism showed up for the event. It was a amazing to see. One, because you generally don’t expect to see a car show in Chinatown. Two, it’s great that people are holding events in Chinatown to stimulate the local economy. We absolutely cannot let this historic enclave die.

It’s tough, though. The pandemic have knocked more than a few places out of business. The remaining restaurants and shops are mostly run by people of my parents’ generation. You really don’t see my generation accepting the baton and continuing on the legacy (so to speak). And it makes sense: Asian parents toil endlessly to give their children a better life. They aspire for us to be people of power and influence in corporate America (plus the usual doctor and lawyer). Running a gift shop in Chinatown is most certainly not that.

I have a friend whose parents recently retired from operating a restaurant out in the east bay. My friend and his siblings have no desire to takeover the family business. Because they’ve all got better jobs and a far easier life than sweating in a kitchen six days a week. The family ended up selling the restaurant.

So there is a some latent concern about what Chinatown will look like in a few years’ time. Who will take up the mantel once the current owners and operators retire - if it won’t be their offsprings? I think it will have to be the same type of people who my friend’s parents sold their restaurant to. Working-class Chinese immigrants who’ve been in this country for a bit - so they have some saved capital - and are looking for the next step up in investment.

Chinatown drift.

My brother graduates from college

Yesterday my brother who is 10 years my junior graduated from university, so you can say I’m particularly feeling my age today. Despite my in-jest adverse feelings, I am supremely happy not only for my brother, but for my parents as well: both their sons are now fully adult, and their sacrifice in raising us is at a symbolic and tangible conclusion.

Next step for them is probably retirement soon, so they can do a bit of traveling. Us millennials aren’t the only ones affected by social media and its related ‘fear of missing out’ pangs: my parents get it as well. A lot of my uncles and aunts have retired already, and they spent their leisure time traveling within China and around world. The pictures from those trips gets uploaded to social media, and from viewing them my mom particularly gets low-key jealous of those opportunities.

Now that my brother is finally finished with school, likely forever, I think my parents have more freedom to retire early, should they choose. It’s definitely a decision to think over properly, because the “grass is greener” effect is strong; traveling is immensely rewarding and fun, yes, but what about the rest of the time when there’s nothing to do - no work to go to? I think that’s something to visualize and plan out before taking the step to retire, because being home all the time may not be as ideal as imagined.

But that’s for my parents to figure out. As for my brother, his unfortunate selection of sociology as a major means it’s going to be tough for him to find a solid-paying job. The real-world application for a sociology degree seems quite limited beyond working for non-profits or a teaching position, and we all know how meager those jobs pay. Not to say money is everything, but we do live in San Francisco, currently one of the most expensive cities in the United States, and the world.

Besides, if he’s to feed his car addiction as I have done, he’s going to need to make some money for sure. Congratulations and the very best of luck to my not-so-little-anymore brother.

UC Santa Cruz: a beautiful campus nestled within a redwood forest.

By age 35, you should....

The above tweet caused a humorous row on Twitter, with legions of millennials mocking its futile commandment. Twice my salary saved up by 35? Perhaps you mean twice the salary in debt? What's this 'retirement' you speak of? Double the salary is easy when you have a salary of zero! 

While I enjoy the hilariousness of people's responses (it's why I can't seem to quit Twitter, after all), I failed to find anyone argue the "rule" itself is intrinsically flawed - because it isn't. It seems the need to save for retirement is an universally accepted truth; it's just that in today's economy of stagnant wages and high housing costs people find it bloody difficult

I have to call bullshit, though: anyone absolutely can and should save money, for retirement or otherwise. While double the salary by 35 may be not applicable for everyone, it's a fine goal to work towards. I'm fairly certain no one has ever complained they've got too much money saved up in the bank. 

Back in my childhood our family of four lived entirely on my father's measly salary of $1,500 per month yet however miraculously my parents still found ways to put money away every month. It wasn't easy in execution but as long as the spending is always less than income they were satisfied. 

The habit has passed on to me and it's serving me excellently. 

I'm 30 this year, and on my current employment trajectory the goal set by MarketWatch is attainable should I choose. I'd need to perform some hardy austerity to get there so we'll see how it plays out because I'm not one to miserly store away money - in the expense of the now - for a future that may never arrive. 

Retirement savings goals

Yesterday I saw this tweet of jean Chatzky's: 

Upon reading the tweet, I actually felt pretty good. I turn 30 next month, and in solid humble-brag fashion I can say the goal of having 1x annual income saved for retirement is of no issue. Ramit Sethi's book on personal finance taught me the ropes back when I started working full-time. Saving for retirement isn't a chore - it became automatic. I don't think about it at all.  

However, judging by the replies to the tweet, I guess I'm an uncommon case amongst my peers? The responses were full of millennials lamenting their financial misfortunes, being burdened with the likes of student loans, outrageous housing costs, and stagnant wages. Plenty of avocado toasts and 10 dollar lattes jokes were mixed in there as well. Lots of excuses given on why people don't have the appropriate amount of retirement savings, if at all. 

While I don't doubt the veracity of these people's situations, I question their defeatist/victim attitude.  

Let's all agree that saving for retirement is important, no? Barring any natural disasters or nuclear holocausts, our generation should live quite a long time beyond the current 65 year retirement age. Having enough money to sustain a suitable lifestyle is going to take some time accumulating, and people should start as early as possible.

For sure external circumstances have made it difficult for millennials to find jobs and save. However, complaining about the situation - as in the tweet's replies - isn't going to do anything positive. Is the government (or some other macro entity) going to suddenly forgive all student loan debt, build massive amounts of affordable housing, and provide people a better paying job? Of course not. It's all up to you, the individual person, to fight for what you desire, and in doing so save for retirement. 

Don't we often joke that Social Security won't be there by the time us millennials reach our autumn years? People can say how unrealistic those goals set by Chatzky are, but the fact remains you still have to save. If my family of four can do it on $1,500 per month income way back when, so can you.