Cautious spending keeping costs manageable amid new SST rate

The Star

5 days ago

PETALING JAYA: One month after the scope of the Sales and Service Tax (SST) was expanded, some households have reported a slight increase in expenses, while others did not.
For lecturer Muhammad Syafiq Imran Abdul Rahim, his grocery bill for July has seen an increase of about RM40.
'I usually spend about RM400 a month, and I've noticed an increase last month (July).
'Subsidised items like eggs and chicken are still affordable, but items like fruits have seen some differences,' the 31-year-old from Ipoh said.
'It used to cost me about RM9 for 10 green apples, but it's about RM11 now.
'While it's not a huge jump and still manageable for me, I think it's important to spend moderately,' he added.
Auxiliary policeman M. Moganadass, 48, said his household spending has remained fairly consistent, though he estimates that there has been a 15% increase overall.
'Our monthly groceries used to be around RM500, but we're spending a bit more now,' he said.
'We mostly eat at home now and try to cut back on eating out,' he added.
Retiree N. Manimaran, 67, said his grocery bill for July has also increased slightly to about RM520 from about RM500 in previous months.
While describing the increase as insignificant, he said he will try his best to keep his expenditure to a minimum.
'I will try to avoid imported goods or items like avocados. I do hope the government could reconsider the SST rate, which would benefit the broader population.
'Governments worldwide are struggling with their economies, but reducing tax could really help ease the people's burden,' he added.
Personal assistant R. Chitra, 46, said she noticed an increase in her household spending, particularly on groceries and medical treatment.
'The cost of treatment at private clinics is no longer within RM100, and it has gone up beyond that. This is especially burdensome for families with children.
'Groceries from mid-range supermarkets have also become more expensive. For example, the price of breakfast cereal went up from RM2.15 to RM3.45, while powdered coconut milk (santan) rose from around RM1.20 to RM2.30,' she said.
Chitra added that although these may seem like small items, they contribute significantly to the overall increase in grocery expenses.
To cope with rising costs, Chitra said she adjusted her spending, prioritising basic necessities and having more home-cooked meals.
'I have cut down on eating out. Instead, I stock up on basic ingredients and cook more at home,' she said.
The mother of three also urged the government to place more emphasis on maximising the country's natural resources for economic benefit.
'Malaysia has lost its focus on agriculture and now we (the people) are facing the consequences.
'We have an abundance of natural resources, especially in agriculture, which could help increase national revenue if better managed,' she said.
Contractor Zipo A. Aziz, 51, said despite the SST prices, his grocery has remained stable.
'It has been nearly a month, and I still have not seen grocery prices go up.
'In fact, I remain firm in my choice to support local products instead of spending unnecessarily on imported goods.
'I believe the choice lies in our hands. As consumers, we need to be smart in making decisions by choosing to spend within our means and buy wisely,' he said.
Lee Li Lian from Shah Alam said she too has not seen much of a difference in her expenses.
'There wasn't much of a difference so far when I went shopping last weekend. I guess being mindful helps,' said the 38-year-old content executive.