The scariest part of the World Economic Crisis is starting to hit.

The recent talk about US debt surpassing US$10 trillion, about Wall Street collapsing and big banks falling although scary was a little too big to comprehend and a little far removed for the average man on the street. Unfortunately, the ripples of this recession is far-reaching and in a roll-on effect, the man on the street is getting hit in the most personal way - through his paycheck and pocket.

It used to be that joining a large multinational company or bank pretty much secured you for the rest of your life as these giants will never fall and will always take care of their staff. Unfortunately, many of them were unable to save themselves in this recent economic crisis and have been forced to start cutting staff to save costs.

Read more on whether it might affect you.

Morgan Stanley has started to unveil a big staff cut across all areas of its banking arms. This happened not too long after Goldman Sachs announced cuts of up to 10% of its workforce as the surviving investment banks desperately try to stem losses.

New York Governor David A. Paterson said in late October that Wall Street job losses would top 45,000, and there have been some reports that it could hit as much as 70,000. (source)

Other companies are not spared either as CanWest Global Communications, Canada’s largest media company, announced 560 job cuts. Across our Causeway,  one of Singapore’s biggest banks, DBS has announced over 900 job cuts mainly in Singapore and Hong Kong.

One question everyone probably has now is whether Malaysians will be spared the job axe that is happening all over the world. It is hard to tell but in the coming times, it will be wise to hold on to the job you have and try to save to build a substantial nest egg to protect yourself should the dreaded announcement come in your company.

For one day only, enjoy a free whole cake when you purchase a whole cake from selected Secret Recipe outlets.

Find out how below.

It is certainly useful if you are planning a birthday or celebration. Will you be queuing there tomorrow?

I thought it was too until I read the fine print and it is absolutely true!

With a purchase of a XD 42″ full High Definition LCD TV or a Samsung 40″ Full HD LCD TV, MBF credit cards is giving its cardholders a guaranteed free 8D/7N holiday accommodation package from 200 resorts in 30 countries!

Read to find out more!

MBF Cardmembers have the option of buying the 42″ and 40″ HD LCD TVs in a single payment option or in interest free installments for these TVs which cost RM3,599 and RM4,599 respectively. In return, they will be given a voucher entitling them to an 8D/7N resort stay for 4 in just about anywhere in the world!

Isn’t this great especially if you have been looking for a new TV?

Imagine partying in Ibiza, shopping in London or skiing on the Swiss slopes! The voucher is valid for one year and is absolutely free with no hidden charges. All you have to do is to purchase your plane ticket and you’re off on your holiday!

With great deals like these, Malaysians no longer have to sacrifice their holidays and leisure trips!

Find out more here.

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The Malaysian Government announced a RM7 billion stimulus package for the Malaysian economy after cutting its economic growth forecast for 2009 from 5.4% to 3.5% (source). Some of the goodies this package offered were RM1.5 billion Investment Funds, RM1.2 billion of low and medium cost houses, RM600 million to upgrade roads, bridges and community halls in rural areas and RM500 million to upgrade schools and hospitals.

While these may not seem to have much impact or benefit to the urban worker and investor, the package did have a few highlights targeted to help the man on the street. Workers can now opt to reduce their contributions to their Employees Provident Funds to 8% from 11% in 2008 and 2009 and those with existing housing loans can choose to extend their repayment periods from 25 to 30 years now.

While these may seem like an incentive on the surface, are they really going to benefit you in the long run? Read more below.

The Employees Provident Fund (EPF) is essentially a pension fund or superannuation for Malaysian employees. Generally, employees contribute 11% of their monthly income to this fund together with their employer’s contribution of 12% to 16%. This contribution is automatically deducted on a monthly basis and the employee is not supposed to have access to the bulk of the fund until they retire at age 55.

Considering that this is a retirement fund, employees should be trying to put as much as they can in there during the peak of their working years to ensure that they have enough funds to retire comfortably on in the future. Some financial experts have calculated that the average city dweller will require over RM1 million to retire on comfortably and this is not even taking inflation into account!

To boost consumer spending, he (Deputy Prime Minister and Finance Minister Datuk Seri Najib Razak) said employees can opt to cut their contribution to the Employees Provident Fund to 8% from 11% in 2009 and 2010. If all EPF contributors do that, it will free RM4.8 billion a year for them to use. (source)

While this may seem like a good thing, consider looking at it from the other side of the coin and you will see that keeping your EPF contribution at 11% could essentially mean additional savings of RM4.8 billion a year for all EPF contributors which will be going towards their retirement. Multiply that by 2 years and it is almost RM10 billion additional funds these EPF contributors can look forward to having!

Although we often complain about the low dividends being paid out by the EPF, it is still a forced saving each employee is required to make each month. If you are earning a decent salary now, it might surprise you how quickly these contributions can add up over time and if you check, you might be pleasantly surprised at the amount that is now sitting in your EPF account.

Ultimately, it is a toss-up between instant gratification and delayed gratification. Cut your contribution by 3% and you might enjoy some extra cash each month. However, before you rush to reduce your EPF contribution, do consider the impact this reduction will have on your overall retirement funds, taking into account the compounding interest that will be paid on it every year.

After all, the Malays have a saying that one should “bersusah dahulu, bersenang kemudian” which is loosely translated to “Suffer a little now, enjoy more later”. Make the right investment choice!

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Christmas is just around the corner and everywhere in Malaysia, sales are invitingly beckoning. Even warehouse sales have jumped onto the bandwagon with huge discounts to encourage consumers to shop, shop and shop! If the traffic jams around the malls in KL are an indicator, Malaysians’ favourite past time definitely seems to be shopping!

Despite the recent economic crisis and the downward trend of worldwide economies, the impact still has not been fully felt by Malaysians as most of us still have our jobs and monthly paychecks. However, economists everywhere are predicting that the worst is still yet to come.

As a measure of prudence, it is a wise time to shop a little more wisely. Women, especially, are usually guilty of impulse shopping and the retailers know it by packaging their products in pretty packages which are guaranteed to catch a woman’s eye. Hence, here are some tips on how to avoid impulse shopping and be a wise shopper.

Leave Your Credit Cards

The next time you go out shopping, try leaving your credit cards at home. Pay for your purchases only with cash. While credit cards often earn you points and help you afford things that you might not be able to afford with your cash, it is only too easy to lose control when shopping with a credit card. To avoid credit card debt, why not give this a try the next time you go out shopping?

Read more tips below.

Avoid Emotional Shopping

Shopping can often be a mood enhancer, especially for women. When in a depressed state of mind, it is only too easy to succumb to that expensive handbag or Jimmy Choos beckoning invitingly from the store window. Often, women who have suffered a break-up or an argument would hit the mall for some “retail therapy“. This often leads to impulse buying and once this state of mind has passed, you might find yourself wondering why you even bought the item in the first place!

Stick To Your List

Make a shopping list and try to stick to it. The next time you have to go out grocery shopping or even Christmas shopping, try taking some time before your trip to make a list based on your budget and take it out often during your shopping trip to keep yourself on track. It is easy to make a list but even harder to stick to one so reward yourself with a little treat for sticking to your list

Don’t Shop Empty

How many of us have gone grocery or window shopping before on an empty stomach and suddenly found everything looking so inviting? Research has proven that shopping while hungry often results in impulse shopping as all items, especially food, looks really good. On a personal note, I have found that this is especially true when I am clothes shopping and sometimes get carried away with buying more than I need! Hence, fuel up before you embark on your shopping trip!

It is hard for women not to succumb to impulse shopping especially when retailers everywhere are scrambling for their attention through subliminal marketing messages and clever advertising. However, with some planning and conscious shopping, you can save some money on your shopping and avoid impulse buys which might only end up at the back of your wardrobe or in the bin.

With Izzi’s fantastic Crazy Credit Crunch Menu!

If you missed Izzi’s previous promotion which offered crazy discounts of up to 65% on their menus, be sure not to miss this bigger and better promotion which offers an amazing 75% off on your meals!

It’s true! Read more for the details!

Best of all, you don’t even need a special credit card or weekdays to enjoy this great promotion! All it requires is a minimum order of one main course and a drink per person.

Simply spend a minimum of RM75 for dine-in or RM150 for take aways and you stand to enjoy a meal for as cheap as RM18.75 (dine-in) and RM37.50 (Take away) after the amazing discounts!

Its available from 27 October 2008 until further notice so rush over to Izzi today to enjoy cheap and great meals!

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Consumers are a funny lot when it comes to spending. Each consumer has different spending patterns compared to the other and retailers and businesses everywhere spend millions of ringgit trying to crack the code of consumer spending to help them market their products correctly. However, in the recent financial crisis, it did not take any genius or rocket science to figure out why consumers all around Malaysia and the world were cutting back on their spending.

In a knee-jerk reaction to inflation and uncertainties, Malaysians have tightened their belts in the best way they know - by cutting back on impulse buys and luxury items. Some are even putting their life plans on hold until times improve.

Yeow Pooi Ling (Star Biz) reports that Malaysians are delaying getting married, having children, moving house, changing jobs or furthering their education due to the current downbeat economic conditions, according to a recent poll by Synovate Research. (source)

Find out what Malaysians outlook on the economy is like below.

Synovate Malaysia managing director Steve Murphy said Malaysians had a more positive outlook on the economy compared to developed countries. For example, almost two-thirds of Americans (63%), Japanese (63%) and French (64%) felt their economy would get worse before rebounding. (source)

It is also interesting to note that the top things Malaysians are willing to forgo in this economic crisis are holidays, branded items, eating out and big ticket items such as a house or a car. Are these the same you would be willing to give up too?

While it is important to save, a balanced lifestyle does not have to be compromised if you look out for great offers and cheap deals. So kick back and enjoy a cheap premium beer at the One Utama Beer Fest, shop for cheaper groceries at your hypermarket and take advantage of Malaysia Airlines fantastic airfare deals to plan your next holiday with cheap travel tips!

Its not about how much you earn but how much you can save!

Calling out to all beer lovers!

For a limited time only from 31 October to 2 November, enjoy cheap beer at One Utama’s Beerfest!

• Pay only RM1 with two 50 cent coins for a bottle of Warsteiner beer from 7pm per day! There are only 1,000 bottles up for grabs daily!
• For OneCard holders, purchase a limited edition Beerfest beer mug at a special price and enjoy FREE beer refills for the first 100 OneCard Beerfest Mug Holders at 10pm daily!

Hurry over to One Utama Shopping Centre today to enjoy these great savings on premium beer!

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Some say when prices go up, they never come down again. However, in an unprecedented move, Malaysian hypermarkets have taken the first step towards helping consumers in these uncertain financial times by slashing their prices of 1,200 items up to 30%. This move comes at the start of a recession that is feared to be one of the worst since The Great Depression, tumbling commodity prices and as our stocks on the KLSE took yet another beating against the unstable world economic backdrop.

This price reduction campaign kicked off in Giant hypermarkets around the country and Carrefour and Tesco hypermarkets are said to follow suit in the next few months as the prices on more food items will be slashed. Read more below.

Applauding the willingness of hypermarkets to reduce prices, he also reminded consumers to shop wisely even when times improve. Meanwhile, GCH Retail (M) Sdn Bhd chief executive officer Datuk John Coyle said the 1,200 items - groceries, general merchandise and fresh food items - represent only the first phase.

“Many more items will also be reduced in the coming weeks,” said Coyle, who urged suppliers to join in the price reduction initiative and reduce costs so more savings can be passed on to customers. (source)

It is indeed a welcoming move especially for the lower-income group of consumers who might have had to tighten their wallets recently as inflation soared or even the middle-income group who might have lost half or more of their investments in the share markets. The price reduction on food items first is aimed at helping Malaysian households reduce their financial burden for daily necessities while further reductions on other items will follow suit in the coming months.

It is good news for all and if the oil prices continue to remain low, Malaysians can start looking forward to cheaper groceries and household items. Nevertheless, do remember to shop carefully with smart grocery shopping saving tips.

Aren’t bargains wonderful especially when there is economic doom and gloom everywhere? If you are a travel lover and are on the lookout for cheap travel ideas, you do not want to miss this great October promotion by Malaysian Airlines!

From 20 October to 9 November 2008, in conjunction with Malaysia Airlines launch of their new “All-Inclusive Low Fares” promotion, tickets within Malaysia and to international destinations can be purchased for as low as RM54, one way! Imagine flying to Melbourne to gawk at the penguins on Philip Island for as cheap as RM734 or to have a shopping spree in Hong Kong for as little as RM219 which is an absolute steal!

This is with all taxes and surcharges inclusive so there is absolutely no hidden costs so read below to find out more of the great deals by Malaysia Airlines!

To enjoy great all-inclusive promotional fares with fuel surcharges, airport tax and insurance levies included, click here for domestic promotions and here for international cheap fares!

Malaysia Airlines advises passengers to book flights on Wednesday, especially for international flights, as there is a higher chance of getting free flights in the middle of the week. So do book early and good luck in getting the ticket you want!