Imagine if one has to quit his job or is retrenched (remember that no job is secured no matter how good your performance is), how is he going to obtain the resources (money) for his and his family expenditure?
To achieve financial security, I must have a monthly income that covers my basic expense, let say $1500.
If I use a fund to obtain the $1500/monthly, I need $18k yearly.
Assuming my fund generates a very modest interest rates of 1% annually (achievable through fixed deposit), the size of the fund must be $1.8million. It appears that one must be a millionaire.
For an interest rate of 2%, the fund size must be $900k.
If one only has $360k, it is still possible to obtain $18k yearly, as long as one can achieve 5% interest rate (with its associated risks).