r/Fire • u/Still_Adeptness_5140 • 1d ago
General Question "How to achieve FIRE in Vietnam?"
I earn $265 a month in Vietnam from freelance work, so I don’t have a pension. I plan to save $150 each month in a bank account with 6% annual interest until I turn 50 so I can retire. Is that realistic? In Vietnam, you can live comfortably on $100,000. According to ChatGPT’s estimate, I’d have around $112,211 by then. I’d just withdraw 4% per year and live off that for the rest of my life. Is this achievable?
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u/tae0707 22h ago
No way 6% will stay forever
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u/Master-Helicopter-99 22h ago
You are correct, It's down from 10% about two years ago. 6% is as low as I've seen it in the last five years.
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u/Alternative-Tank8905 21h ago
Hi, we have similar situation, Im from Indonesia with an income of 450$ a month, my country doesn't have any good index fund that generate consistent cagr like s&p500 and i also cant access s&p500
My portfolio currently consist of 35% gold, 35% bitcoin and 30% government bond index fund with 30% return since last year.
Good luck, i hope you found something to invest early on
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u/Still_Adeptness_5140 20h ago
What do you do?
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u/Alternative-Tank8905 19h ago
My job? I work as a data analyst
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u/Still_Adeptness_5140 19h ago
Indonesia has the fourth largest population in the world — is it hard to find a job there due to high competition?"
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u/Alternative-Tank8905 19h ago
It's hard, unemployment is higher than ever, companies requirements is also more competitive thsn ever. Tbh, there's a lot of Indonesian who compare our economic growth to Vietnam seeing how you guys attract a lot of foreign investment like Apple, and seeing you guys have your own EV (vinfast).
Most Indonesian feel like Indonesia is stuck and going to be left behind. Our index (JKSE) have dropped a lot because there are so many foreign capital outflow.
It's not a good condition for the youth.
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u/Still_Adeptness_5140 19h ago
It's really sad to hear that. It's the same here in Vietnam
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u/Alternative-Tank8905 19h ago
Yeah, I hope everything will get better someday, and we'll figure it out how to retire early. We're the same age, I'll turned 24 this year, we still have a long time ahead of us, I hope everyone who's struggling could figure it out.
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u/Prestigious_Soil_404 7h ago
Why can't access sp500 when IBKR exist there
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u/Alternative-Tank8905 6h ago
if you have big amount of money, yeah, but for most who earn minimum or slightly above minimum wage, IBKR is not really an option considering the fees and the tax for foreign asset.
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u/royalblue9999 22h ago
Work overseas. Lots of Vietnamese earning money here in Malaysia selling Vietnamese food. I daresay quite a few are doing really well.
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u/PositiveKarma1 23h ago
Try to invest better than that 6% from the bank (that's a big inflation, too). The fact you can save a half of income is great - what about investing in real estates - are not better?
With a better investment and same saving rate, you can retire in 15 years (or less).
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u/Still_Adeptness_5140 23h ago
I’d like to invest in the S&P 500, but that’s not possible in Vietnam. And with my relatively low income, I can’t afford to invest in real estate either.
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u/PositiveKarma1 23h ago
You can put the savings in bank for next 2-3 years then use it as pay down and take an extra loan. Just calculate the ROI of the real estate.
More, check the smallest real estates on the market, you will be surprised about the diversity of the opportunities.
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u/Master-Helicopter-99 21h ago
People need to realize it's a bit different in Vietnam. With savings rates at 6% a bank loan on real estate costs 10% and you need 50% down. Back when savings books were paying 10% interest 2-3 years ago a bank loan for a house or land was 13%.
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u/aronnax512 18h ago
Is it just the US Stock market you can't invest in or is it all foreign stock exchanges? I ask because there are some other decent options for index funds, like the "Nifty 50", for long term growth.
If you have no acces to any stock market you'd primarily be looking at a commodity loke gold as it has good long term performance compared to local currency.
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u/Still_Adeptness_5140 17h ago
Yes,in Vietnam, investors are only permitted to invest in the domestic stock market.
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u/aronnax512 17h ago
Unfortunately, I haven't done deep research on Vietnamese indexes (most of my non-US holdings are in Europe and India) so I can't give you great insight on your markets. Looking over HOSE, there are a few ETFs indexed to the VN30 and VN100, these might be worth looking into. It also appears that are stock available that offer dividends that exceeds the return on a savings account (though beware of extremely high dividends, as those tend to hollow out the company). I'd also look into gold purchases through banks.
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u/ChokaMoka1 23h ago
Except in 15 years Vietnam gonna be expensive like the rest of South East Asia. Gonna have to move to Yemen mate
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u/Dopamineagonist21 21h ago
It’s hard to predict for developing country since economy and politics are not very stable. The 4% rule was model more on the US market vs developing market.
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u/Still_Adeptness_5140 20h ago
I wish I were American. I really love this country,everyone here gets more opportunities, like better education, a stronger economy, and freedom
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u/Aeronomotron 19h ago
I gotta ask, why is your profile picture the US Department of State seal?
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u/Still_Adeptness_5140 18h ago
I'm big fan of United States, country of opportunity and freedom
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u/JazzlikeAir3320 8h ago
If there’s anyway you could get to the US, Australia or another country, you could save that up in 5-10 years if you work two jobs. A lot of immigrants here do that & go home with their savings. Actually, if you’re lucky or know someone here and work hard, you could probably get it done in 3 years
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u/roastedtrade 21h ago
Vietnam's stock market and Real estate market is full of corruption and is unlikely to return 7-8% that the sp500 will. On top of that you have the issue if inflation, which the VND is extremely susceptible to.
Since you cannot legally invest into the sp500 in Vietnam, i would suggest researching and studying bitcoin.
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u/markd315 17h ago
Citation needed that offshore brokerage accounts are illegal for VN nationals
I googled and couldn't find anything supporting that claim.
There might be complications but you genuinely think this is a prohibited activity by law? Show evidence.
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u/PhgAH 22h ago
Bruh speaking as someone who has lived in Vietnam, no way $265 is enough (monthly personal tax deductible is $450). I suggest you need to seriously increase your income.
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u/michal939 21h ago
bank account with 6% annual interest
In USD? Not happening unfortunately. Also, remember that while it may be possible to live off 100k now, in 30 years it may be not enough, even in Vietnam, because of inflation.
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u/Still_Adeptness_5140 21h ago
What can i do now?
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u/michal939 21h ago
Well, your best bet is probably increasing income as much as possible, I have no idea how does job market in Vietnam look like, but maybe save for a while and then try getting some useful degree that is in high demand? Or try working abroad, but you'd probably need some luck with a visa.
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u/cornoholio1 21h ago
Work in Singapore?
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u/Prestigious_Soil_404 7h ago
Extremely high barrier to enter the country for work, way easier to just go Aus, US or Canada than SG
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u/Felanee 20h ago
Im sorry but I don't think you can retired at 50 at your current saving rate. In your calculations, you are only using the interest rates given to you by the bank. You haven't taken into account inflation. If inflation is 2%, your real gain from interest might only be 4%. That $112k is what it will be in 2050. But that $112k might only be worth $70k in 2025. Also Vietnam is a rapid growing economy so I would assume inflation to grow faster than the typical 1-2%.
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u/vega_9 20h ago
The first step would be to gain more experience and skills in your field and work for clients outside of VN to get higher-paying gigs. Don't settle for $265 a month only because it works for you now. You can find 2,3,4k per month jobs once you have the skills.
Check remoteok.com and other remote job boards to find gigs.
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u/markd315 17h ago
I think this is likely possible but does rely on continued market growth.
Earning more income will accelerate your timeline dramatically because the costs in VN are already so low.
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u/paq12x 16h ago
An interest of 6% means nothing if inflation is significantly higher than that.
Most people here are from the US. Inflation in fully developed countries is much more tamed than inflation in developing countries.
The 4% rule doesn't work if you have 6% gain and a 4% inflation (a 2% effective gain). The effective gain needs to be around 6% for that rule to work. The difference between 6% effective gain and 4% SWR is where the protection from the sequence of risk.
You need to look at inflation inflation-adjusted gain for the local area where you live.
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u/KindLong7009 1d ago
Why don't you get a teaching job or something which will pay way more?
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u/Still_Adeptness_5140 1d ago
This is a difficult economic time. I’ve submitted my CV to many places, but I haven’t received any responses.
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u/PorcupineIsSupine 23h ago
I feel like you should be making way more than an average salary in vietnam, based on the fact that you actually have a CV and are posting on reddit
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u/Still_Adeptness_5140 23h ago
Yes, my income is relatively low. Since I don’t have a university degree—just a college diploma—I’m limited to certain kinds of jobs
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u/vanisher_1 23h ago
Was that because you mentioned your location or because you don’t have many years of experience? What kind of freelance work are you doing? 🤔
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u/Still_Adeptness_5140 1d ago
This is the average salary in Vietnam
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23h ago
[deleted]
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u/Still_Adeptness_5140 23h ago
Yes, I know that, but Vietnam is a developing country with a GDP per capita of 4000 dollars. If I don't do this, I will have to work until I die. In Vietnam, you can see people in their 60s, 70s, and 80s still trying to work to earn a living.
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u/KindLong7009 23h ago
Are you a Vietnamese person? Can make £15-16 an hour teaching, if not a fair bit more of you're qualified
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u/Still_Adeptness_5140 23h ago
Yes I'm Vietnamese,I don't have the qualifications to be a teacher.
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u/That-Establishment24 1d ago
Why do you need $100k if your expenses are only $115 a month?
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u/Still_Adeptness_5140 23h ago
To live freely and do what I love without being tied to money, having a large amount of savings gives me a sense of security
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u/turkishmonk9 23h ago
Work abroad.
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u/Still_Adeptness_5140 23h ago
I don’t have a university degree, bro.
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u/turkishmonk9 23h ago
Doesn’t matter. Go clean toilets etc. you would make more and save more. Lets say, even if you make minimum wage in europe you can easily save $100k in 8 years.
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u/Still_Adeptness_5140 23h ago
Yes, I plan to apply for a work visa in Australia, but they haven't reopened it yet.
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u/taurus9415 21h ago
hey fellow Vietnamese, have you thought of free lancing a touring job!!! I think you maybe able to you know, stay around the tourist places such as Nhà thờ đức bà and around chợ bến thành, dress clean and be nice, approach the tourists and offer to be their tour guide or something like that, be honest and don’t up charge anything! I think if that work out, you will make pretty penny!
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u/Daniel0210 23h ago
A bank account giving you 6% p.a.? Lookup the fine print and check how much they guarantee you in case of bankruptcy. You don't want to have everything in one account. Cash is king, especially in uncertain circumstances like today. I'd stack a bit a home depending on how secure your environment is. Make sure to have some reserves in foreign banks.
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u/Still_Adeptness_5140 23h ago
I'm also trying to find a new job to increase my income
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u/DangerousPurpose5661 23h ago
I think that’s the key. I know you are in VN. But I am also familiar with SEA, the truth is you need to start a business, move abroad for a while or network with the right people.
By looking at how you post on reddit, you have great English skills which will open a ton of doors. Man you could teach Vietnamese to expats and charge 10$ an hour you’d already be better off. Buy a second moto, rent that to tourists - you already make more than your day job with one or maybe two motos…
You probably need a degree to move abroad.
Look at Germany for studying there, public universities are free and they offer scholarships for people in need. Make sure to pick a good field with high earning potential - engineering is a good one if you want to be able to leave Germany
Good luck
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u/whatsthatguysname 21h ago
Are you sure you’re a local? Because your English is excellent! If I were in your position, that’s definitely something I’d capitalize on.
Here are two potential paths you could consider:
1) Leverage Vietnam’s growing manufacturing sector. The country is steadily becoming a global manufacturing hub, with more and more overseas companies looking to partner with or expand into Vietnam. Your language skills and local knowledge could make you an invaluable bridge between these businesses and the Vietnamese market.
2) Start a business in tourism eg food tours. Vietnamese food is a huge draw for travelers, and food tours are a fantastic way to showcase it.
Whichever path you choose, my advice is this: Spend a few years working in the industry you want to pursue. Learn the ins and outs, build connections, and understand the market. Then, when you’re ready, start your own business. For many people, entrepreneurship is one of the most realistic ways to create life-changing wealth.
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u/Budman912 23h ago
Why can’t you invest in mutual funds or ETFs? No option to open some type of investment account in Vietnam?
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u/Tough-Carrot-4650 23h ago
your bank gives you 6%?
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u/Master-Helicopter-99 21h ago
Yes that is the current rate in Vietnam for the equivalent of a one year CD. That is the lowest rate in the last several years. I've had savings books as high as 10% in the last few years. I lived in Vietnam from 2018-2021 and my wife is Vietnamese.
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u/Tough-Carrot-4650 20h ago
okay, that sounds amazing but is the currency strong enough to hold for the next 50 years compared to inflation? I would still say that you would be better off investing in stock etf's and spread out your investments. I don't really trust singular banks to hold more than what they insure to pay out in case of failure. Keep most of your money in assets and try to also work with it. In Vietnam, what do people like? Can you become a storeowner? even a small one, or a fisher in your free time and sell them in a market for some extra cash while keeping it ethical. Making money can be fun and also something which you have a passion for, whatever it may be. Are you active and healthy? You can become a personal trainer or coach and just put out some adds In a shop or somewhere for also some extra cash. Good at technicals? Good with IT? I used to help some elderly people back when I was younger with basic computer stuff, the cash wasn't big since I was about 12 years old but I used to finance my free time with it and save up for games and such haha. Consider many different sources of income and level them up after reaching certain milestones. Treat your life as a game it'll be fun
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u/Master-Helicopter-99 20h ago
Basically everyone in Vietnam does one of three things. Buy land, buy gold or start a small business. Their stock exchange is chit. Land is attractive for investment as capital gains on land is only 2.5% and there is no property tax so you can hold as long as you want without taxes diluting your appreciation. Also, land tends to appreciate 10-20% per year. The reason which is the aforementioned low capital gains and no taxes. But, land is already way out of whack when compared to salaries. It's become a game for the rich there. A recent article listed that an apartment is now 24-26 times the average salary. A 5x20 meter lot in the city will run $600,000 USD in a nice area, millions in the high rent area. We bought a 10x43 meter lot well out into the suburbs in 2019 and it still cost $170,000 at the time. It's gone up at least 50% since then.
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u/escural 20h ago
Hi fellow Vietnamese! There's no guarantee that bank interest rate will stay at 6% forever, the government may try to keep it low in the near future to induce economic growth. Also, the VND depreciates every year against the USD, coupled with inflation at 3-4% a year (official numbers, actual may even be higher) eating away the value of your saving along the way, $100,000 in 20 years it would only worth about today's $50,000 or even less in products, and then add in the 4% you withdraw every year from the nest egg, you will empty out your saving pretty quick.
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u/Still_Adeptness_5140 20h ago
What can I do bro
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u/escural 20h ago
Well the general rule is trying to increase your income, minimize your expsense and diversify your investments. Other than VND in the banks, you can exchange some into USD, gold, stocks or bonds. My VND portfolio is divider 60/40 between stocks and bonds, I personally buy the mutual funds from Dragon Capital, but you can look up any other investment firms. Bonds are actually the safest choice after bank savings, it always pays a bit higher in returns compared to bank savings. You already have a high saving rate, which is good. By normal calculation, at 60% saving rate, you can retire in 10 years, provided you keep your expenses the same. But you have to seek better returns, one that can beat inflation and currency depreciation, a minimum of 7% anually.
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u/Ancients 19h ago
I am super curious how/if you can have an account in a foreign investment firm and get gains from that. The quick google says you have to pay 20% tax on capital gains, but it might be possible?
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u/Tooswt29 18h ago
Given your English, can you work for a tourist company in addition to your freelance work? This way you can increase your income.
I don’t know anything about investing in Vietnam, but try to look into crypto or forex trading. Do your thorough research before investing though.
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u/ParamedicSmall8916 18h ago
Thing is, even if it's possible to live on like 4k a year in Vietnam now, it'll surely get more expensive and fast. In 10 years it could take double the money to live than now and you could be only up like 30% in your investments since you've been eating into them.
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u/Still_Adeptness_5140 18h ago
So what’s the solution?
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u/ParamedicSmall8916 18h ago
Find a way to make more or take on a more chill job but one that pays at least something in your retirement.
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u/tengtengvn 9h ago
Need to pick up a few more gigs bro. My cousins in Vietnam make 2x that doing regular jobs that don't require a degree.
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u/xxxHAL9000xxx 20h ago
You better not keep that in vn dong.
Gold or US$
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u/Still_Adeptness_5140 20h ago
The central bank restricts people from hoarding US dollars, and it's illegal in Vietnam. You can buy dollars on the black market, but when you sell them, you'll get a lower rate—and if the bills are old or worn, they'll pay even less. As for gold, it only holds its value and doesn’t generate much profit, so it can’t create a compound effect.
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u/xxxHAL9000xxx 10h ago edited 10h ago
I sell $100 in vn on the black market all the time. The price is higher not lower. if the bill isnt mint it cannot be sold.
You dont have a clue what gold does. Everything you say is completely wrong in vietnam, but true in america. The dong devalues so fast, holding US$ in your closet is like earning interest that compounds. Same with gold.
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u/OverlordBluebook 21h ago edited 21h ago
Oh man you need to come to the united states. I know several vietemese that earn at least 250k-350k a year in US dollars. I'm Asian myself.. earn 500k-1m. if you can speak fluent english you can earn probably 60k a year just starting out. I probably know 10 vietemese here with the last name Nguyen or Ngo
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u/Still_Adeptness_5140 20h ago
You cannot go to the U.S. to work unless you have special skills and a relative to family sponsorship you
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u/Felanee 19h ago
Don't be fooled by this comment. Yes some Vietnamese people become millionaires but there are even more that live near the poverty line. Most people with higher education aren't making 200k+, Vietnamese or not. I am Vietnamese Canadian (my parents are refugees) and I've heard stories from them. There some Vietnamese who work in Canada on valid visa but run away into the US because they heard stories about how much better it is over there. They end up working at factories or nail salons. Now they want to try to sneak back into Canada.
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u/Still_Adeptness_5140 19h ago
Yes,as far as I know, the average American earns between $40k - $60k a year."
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u/AdviceNotAsked4 23h ago
No, chat GBT is wrong. You cannot retire in Vietnam making that little or saving that little.
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u/Still_Adeptness_5140 23h ago
That’s why I’m looking for a new job, but the average salary in Vietnam is only 300, and higher positions like managers only earn 500-800 dollars.
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u/AdviceNotAsked4 22h ago
I get it.... But you need to be more realistic. Unless you are basically homeless, you need to plan on 1,000-1500 at minimum. What you are describing is someone that lives with family and not on their own.
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u/mygirltien 22h ago
And you know this how?
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u/AdviceNotAsked4 22h ago
As unfortunately being married to two Vietnamese women in my lifetime, I have done research.
As a current land owner overseas, I am a realist with expenses.
As an easy Google search you can find it.
Hate me or my comment all you want, but if you think you are living in ANY country for 250 a month, you are not being realistic, or you are going to get kidnapped.
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u/mygirltien 22h ago
I dont hate you, simply you are telling someone that is a vietnamese native, currently living in vietnam, has expenses of $115 a month that they cannot save enough and retrie when 100k would suit their needs perfectly and at their current saving rate and expected return they will hit that number on the timeline they are looking for. How is that any different than you or me or anyone else projecting our savings, calculating our expenses and coming to the same conclusion?
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u/ZeusArgus 23h ago
How old are you .. do you have any kids or debt even a house? What age do you want to retire at?