Frugality is not a bad word and so does being kuripot. It’s all about sensible spending and cutting down on luho (luxury). To ride out the tough times, squeeze that peso until Dr. Jose Rizal squeals.
So how exactly should we handle our money? Here’s a simple guide to your financial happiness. According to financial experts, only 10 percent should go to our WANTS (which includes travel, gadgets, clothes, etc.), 10 percent goes to EDUCATION (training, seminar, workshops), 10 percent goes to ASSURANCE FUND (Safety fund, HMO, Health fund), 10 percent goes to LIFESTYLE FUND (luxury living, cinema, spa), 10 percent must go to TITHES (church, charity, donations), 40 percent must go to HOME (Necessities, Food, Transpo, Bills) and another 10 percent is for YUMMY (young millionaire investments and business.).
Note: Percentage shown in each purposed are just examples, you may change it base on what you need and what you want. Just make sure that the total percentage is 100%.
|We have to pay our monthly bills before it's due date|
The sad part is that in terms of financial priorities, 52 percent of young families place expenses such as cable and cellphone bills ahead of buying life insurance. Think about what matters most.