Imagine this: You’re out for dinner with a couple of friends.

Your share was the least expensive but when the bill comes, your friends want to split it equally.

What would you do?

As unhappy as some may be, most would probably still agree to do so.

We tend to conform to society’s expectations in the hopes of being liked and accepted by those around us, and in fear of being perceived as penny-pinching.

But did you know that having an ‘others first’ mentality can actually have a devastating impact on your personal finances?

In the long run, your retirement planning will take a hit too.

NTUC Income survey

A survey was recently commissioned by NTUC Income, aimed at exploring how the general population feels about putting oneself first, and assessing its link to financial situations.

The survey, which was conducted via Pollfish in August 2021, involved 500 Singaporeans aged between 21 to 68 years old.

98 per cent especially are comfortable with putting themselves first

The survey found that 98 per cent of Singaporeans are comfortable with putting themselves first before others, recognising that there are times when it is necessary for them to do so.

This extends to different areas in life, such as:

• Health (67 per cent)
• Personal finances (61 per cent)
• Career/school life (49 per cent)
• Relationships (62 per cent)

93 per cent agree with putting their own financial needs first for the sake of their retirement

The survey took a closer look at how Singaporeans prioritise themselves when it comes to managing their finances.

93 per cent of Singaporeans believe that putting their financial needs first enables them to start planning earlier and better for their retirement, ​​in ways such as:

• helping others out financially only if their own financial plan is on track.
• choosing not to dip into their savings to lend money to others.
• being selective on what to indulge their loved ones in.

And the reason why they think as such is because:

• small actions can add up over the years which can have a big impact on their future finances. (56 per cent)
• these actions will benefit their financial standing in the long run. (54 per cent)
• putting themselves first is financially responsible. (54 per cent)

Think of the future or live in the moment?

To further illustrate this thought, NTUC Income has published a video to show how prioritising one’s financial needs can be beneficial in the long run.

The video is told through the lens of a pair of siblings, Derek and Denise, both of whom have very different philosophies in life.

It becomes clear that Denise’s instinct is to always put herself first, while Derek prefers to live in the moment, and finds joy in making others happy.

If you’re looking for some drama and want to find out how the story unfolds, you can watch the full video here:

Just remember that it’s not always selfish to put yourself first.

Adopting a ‘me first’ mentality when it comes to your personal finances encourages you to first set aside enough for yourself, before spending on other people or things that are also important to you.

This philosophy allows you to evaluate the reasons and motivation behind your current expenditure more carefully, and assess if it can instead be better spent on securing a comfortable retirement in the future.

Of course, this does not mean that you can’t spend your money on non-essentials and enjoy life. You just have to be mindful of your financial priorities so that you can eventually achieve a financially independent future and live life on your own terms.

Find out how you can start planning for your retirement here.

Top image via Unsplash.

This sponsored article by NTUC Income made the writer more prudent.