Effect of Oil Price Surge!

Oil and gold prices surged to the record high yesterday, and still there isn't any indication where and when it's going to reach its peak. So as motorists, our main concern would be when the petrol price is going to increase again!

Now the petrol price stands at RM1.92/ltr, which considered very high for Malaysian motorists. Comparatively to our neighbouring country, we still have one of the lowest petrol price in the region and it's just a matter of time government increasing the petrol prce yet again. If and when the petrol price does eventually increased, sure veryone will complaint and virtually everything will increase as well bar salary only!

I still recalled just 2 to 3 years back I only paid around RM 90.00 for a full tank of fuel for my car, and today, I have to folk out close to RM115.00 for a full tank. That's a significant 28% rise n petrol expenses alone, excluding foods and beverages, which will be affected by the increase of oil price as well. For example if F&B increased 10% to 15%, that means our daily expenses would increase by around 20%.

Out of curiosity, I would like to ask how many of you out there got a salary increment of 20% now compare to 3 years ago? This figures excluding the annual inflation rate that's worked out by some specialists. In another words, we can earn much more now than few years back, yet it is extremely difficult for a normal employee to have a savings. That may be one of the reason why we have so many credit card debts now than then!

As for effect on flight traveller, they may pay for cheap flight tickets, but with all the surcharges, it would make it more expensive to pay for a total airfare. If oil price keeps increasing, we can all expecting an increase in fuel surcharge for airfare very soon, as airliners will be hit hardest on this event.

So all of us should start thinking of how to maximise or fully utilise our resources now, so when petrol price hike finally hits, we are prepared.