SAVE FOR YOUR FUTURE

• If your savings time frame is very long, such as for retirement, you may want to structure your monthly savings so that they grow larger later in life when you will (hopefully) have more income coming in. On the other hand, money invested while you are young will have more time to compound. Start when you are in your teens!
• Consider setting up an automatic weekly or monthly transfer from your checking account to your savings account. With many banks, this can be accomplished online.
• Make sure you don't buy unnecessary things. For example, lets say you buy an exercise machine that's on "sale". You might think its a good deal, but after a few weeks, you will most probably just leave it sitting in the corner.
• Stop buying newspapers, movies, books and magazines. Borrow from the public library.
• Cook more, eat out less. Use less salt, less sugar and less oil when cooking to stay healthy and avoid health issues and medical bills.
• If unexpected expenses cause you to deviate from your budget from time to time, cut unnecessary expenses before you cut money from your savings goals. Other than the bare necessities, your savings goals should be your top priority.
• For those who have cars, saving money on gas can contribute to your effort considerably. Consider getting rid of the car altogether if you can. Another option is to avoid maintaining multiple cars. Failing that, drive less and shop around for insurance even before you buy a car. See "How to save Gas".
• If unexpected circumstances render you unable to meet your savings goals, reassess them and figure out which ones you can delay or cut out. Get back on your program as soon as you can.
• For very important or very large savings goals (such as a down payment on a house or saving for your kids’ college tuition), consider opening up a separate account. You’ll be able to keep better track of that particular goal, and you’ll be less tempted to dip into it.
• If you receive unexpected cash, put all or most of it into your savings, but continue to set aside your regularly scheduled amount as well. You’ll simply reach your savings goals sooner.
• As you satisfy the payment of a car loan, or your mortgage, you will have extra money. Set aside that money into savings. This way, the money you used to pay to somebody else now goes to you.
• Use a piggy bank or jar for your coins. Coins and change may look insignificant but when accumulated over time they can help you save. Some banks now offer free coin counting machines. When you redeem your coins, ask to be paid by check so you won't be tempted to spend your new-found cash.
• Don't save money solely for the purpose of spending. Setting some amount aside for emergencies can keep you out of a lot of trouble. Decide on some number of months' worth of salary as a cushion, and make a point to replace this stash anytime you must use it.
• Interest on debts, especially high interest rates on credit cards, is a huge, unnecessary expense. If you are in debt, pay off your loans right away to get out from under that debt as fast as you can.
• One option to get started saving is to find out what your take-home pay per hour is (net pay divided by hours worked) and save the "change" from each hour. For example, if you worked 120 hours per 15 days and your check is 4,000.00 you would be making 33.00 "take-home" per hour. Save at least 5-10% of that paycheck, and you have saved all the "change" per hour.
• If you need to have credit cards but you don't want the temptation of having them available to use day-to-day, there is this method: put the credit card in a Tupperware box with water and store in your freezer. Thaw your card only when you really need to use it. Your card will not be damaged by freezing and forcing yourself to use cash will greatly help your budgeting.
• Save pop cans when you get done drinking them and recycle. Some places pay money for cans to recycle.
• Reduce your long distance phone bills. There are a lot of options for phone service these days, including internet-based providers. Shop around and see if you could save money.

some warnings

• Never loan cash you cannot afford to lose.
• Never borrow money that you cannot repay.
• Do not go out "window shopping" with any money on you. You will only be tempted to spend money you cannot afford to lose. Shop instead, only to a predetermined shopping list.
• When window shopping, learn how to talk yourself out of buying. Nitpick and scrutinize to get past your first impression of a tempting item. In very tempting situations, give it a whole day to think on. Most desires will fade in attraction when you're not under pressure.
• Be sure to keep track of automatic deductions from your paycheck and any automatic transfers you set up. Sometimes mistakes happen, and if you’re not paying attention, you might not get all your money.
• Don't buy something that would put you in debt or is unnecessary.

Philippine Mutual Funds

A mutual fund collectively pools money from individual and corporate investors. These funds are managed by a professional fund manager who invests the money in stocks, bonds, money market instruments, and/or other securities. The mutual fund earns in two ways: from the capital gain (increase in value) of the security and dividend or interest income. These proceeds, net of whatever charges and expenses, are passed along to the shareholders. The value of a share of the mutual fund, called the Net Asset Value (NAV), is calculated daily based on the fund's total value divided by the total number of outstanding shares.

There are mainly four types of mutual funds in the Philippines: stock (or equity), bond, balanced, and money market. Stock or equity funds invest in shares of stock of Philippine corporations listed in the Philippine Stock Exchange. Equity funds offer the highest possibility of growth among all mutual fund types, but they also have a corresponding high amount or risk.

Bond funds invest primarily in fixed-income securities such as bonds or treasury notes issued by the Philippine government and commercial papers issued by reputable Philippine companies. Because these bonds are normally guaranteed, the possibility of loss is very low. Investing in bond funds provide capital preservation while maintaining conservative asset growth.

Balanced fund is a mixture of equity and bond funds. The high potential growth of equity investments is tempered by the conservative growth of fixed-income securities. Obviously, the return of a balanced fund is normally somewhere between the return of an equity fund and a bond fund.

Money market funds are similar to bond funds because they also invest in fixed-income securities and the growth of the fund is conservative. The main difference lies, however, in the term of money market fund investments, which is usually short-term such as one year or less.

Choosing which mutual funds to invest in ultimately depends on the investor's growth goal and risk tolerance. If the purpose is capital growth, equity funds are the way to go. Bond funds are chosen, on the other hand, if the investor prefers capital preservation over risky capital growth. For those who want medium risk and medium growth, balanced funds are the best option. Money market funds are for those who wish to earn a conservative amount of return in the short-term.

According to the Investment Company Association of the Philippines, a duly recognized association of investment companies in the country, there are currently a total of 22 mutual funds. Six (6) of these are bond funds, five (5) are equity funds, ten (10) are balanced funds, while one (1) is a money market fund.

FILIPINOS: THERE IS SOMETHING TO BE PROUD OF YOU

CONFIDENCE in one’s ability to overcome poverty and be the best, and high hopes for betterment despite adversity are for a priest, a policeman and a teacher the first steps in how Filipinos can learn to be proud of their country.
Rev. Fr. Roger Fuentes, Col. Cesar Binag and Dr. Josette Biyo were speakers on “Be proud, speak well of your country.” The theme is the first in a list of 12 things that lawyer and book author Alex Lacson, a former researcher of former Supreme Court chief justice Hilario Davide Jr., suggested that Filipinos do to learn to love themselves, their countrymen and their country.
Fr. Carmelo Diola’s Dilaab Movement started the promotion of Lacson’s views that aimed at encouraging people to follow the examples of ordinary citizens who gained prominence through sincere public service.
Despite the present political turmoil, one can still see enough reasons to say positive things about the country, said Fr. Fuentes, rector of the San Carlos Seminary College.
“Self-confidence and self-knowledge are the keys,” he said.
“In order for us to be proud of who we are, we should have a healthy sense of who we are. We should be able to say ‘I am somebody’ and that we are not afraid or ashamed to be a Filipino,” the priest said.
Dr. Biyo, a high school teacher from Iloilo, said she had to borrow a laptop to make her presentation at a competition held in Kentucky, USA in 2002.“Coming from a poor school taught me to be innovative and creative,” Biyo said.
At the end of the competition, Biyo became the first Asian to win the Intel International Excellence in Teaching Award.
For her feat, a newly discovered planet — planet Biyo — was named after her by the Massachusetts Institute of Technology Lincoln University in Boston. She was also offered teaching posts in the US which she politely declined. She said she’d return to continue teaching at the Philippine Science High School in Iloilo.
“We may be a third world country but we really can compete globally,” she told the participants who were mostly students, teachers, religious nuns and police officers.
“Be world class in passion and commitment to your profession. Give your best. For teachers it starts inside the classroom. If you do your best you can conquer the world,” she said.
Biyo also won the 2004 Friendship Award from the Philippine-American Foundation on September 25 at the National Press Club in Washington, D.C.

Other Fil-Am awardees were Maj. Gen. Antonio Taguba, the highest-ranking Filipino-American in the US military who was lauded for his courage in the investigation of Abu Ghraib prison in Iraq, and Cheryl Diaz Meyer, 2004 Pulitzer Prize winner for Breaking News Photography.Filipinos are not bereft of innovation, she said. “Anywhere can be a classroom and anything can be a blackboard, even sand.”
Col. Binag, the commandant of the Nation Police Academy in Cavite, said the Filipinos’ view of a policeman has been poor that even the word “polis” (police) has become synonymous to corruption and misbehavior.
This can be changed, he said. “Prayers and faith incorporated in the training” would do the trick.
“Kahit malaki ang tiyan i-pray over niyo yan. Liliit din ang tiyan niyan (the big bellies of policemen can be reduced by prayers),” Binag said.
Binag’s group, the Christian Officers Reform the Police Movement, aims to “help build a God-centered, service-centered and family-based Philippines.”
“We ask religious groups, priests and nuns to bless us and pray for us,” he said.

SOURCE: CEBU DAILY NEWS

A BORDELESS WORLD (PATRICIA EVANGELISTA) :PROUDLY PINOY

(THE PHILIPPINES' Patricia Evangelista, won the International Public Speaking competition conducted by the English Speaking Union [ESU] in London in the year 2004. She was just 19 years old at that time when she beat 59 other student contestants from 37 countries, with her five-minute talk on the theme, "A Borderless World." )

WHEN I was little, I wanted what many Filipino children all over the country wanted. I wanted to be blond, blue-eyed and white.

I thought -- if I just wished hard enough and was good enough, I'd wake up on Christmas morning with snow outside my window and freckles across my nose!

More than four centuries under western domination can do that to you. I have 16 cousins. In a couple of years, there will just be five of us left in the Philippines, the rest will have gone abroad in search of "greener pastures." It's not an anomaly; it's a trend; the Filipino diaspora. Today, about eight million Filipinos are scattered around the world.

There are those who disapprove of Filipinos who choose to leave. I used to. Maybe this is a natural reaction of someone who was left behind, smiling for family pictures that get emptier with each succeeding year. Desertion, I called it. My country is a land that has perpetually fought for the freedom to be itself. Our heroes offered their lives in the struggle against the Spanish, the Japanese, the Americans. To pack up and deny that identity is tantamount to spitting on that sacrifice.

Or is it? I don't think so. Not anymore.

True, there is no denying this phenomenon, aided by the fact that what was once the other side of the world is now a 12-hour plane ride away. But this is a borderless world, where no individual can claim to be purely from where he is now. My mother is of Chinese descent, my father is a quarter Spanish, and I call myself a pure Filipino -- a hybrid of sorts resulting from a combination of cultures.

Each square mile anywhere in the world is made up of people of different ethnicities, with national identities and individual personalities. Because of this, each square mile is already a microcosm of the world. In as much as this blessed spot that is England is the world, so is my neighborhood back home.

Seen this way, the Filipino Diaspora, or any sort of dispersal of populations, is not as ominous as so many claim. It must be understood. I come from a Third World country, one that is still trying mightily to get back on its feet after many years of dictatorship. But we shall make it, given more time. Especially now, when we have thousands of eager young minds who graduate from college every year. They have skills. They need jobs. We cannot absorb them all.

A borderless world presents a bigger opportunity, yet one that is not so much abandonment but an extension of identity. Even as we take, we give back. We are the 40,000 skilled nurses who support the United Kingdom's National Health Service. We are the quarter-of-a-million seafarers manning most of the world's commercial ships. We are your software engineers in Ireland, your construction workers in the Middle East, your doctors and caregivers in North America, and, your musical artists in London's West End.

Nationalism isn't bound by time or place. People from other nations migrate to create new nations, yet still remain essentially who they are. British society is itself an example of a multi-cultural nation, a melting pot of races, religions, arts and cultures. We are, indeed, in a borderless world!

Leaving sometimes isn't a matter of choice. It's coming back that is. The Hobbits of the shire traveled all over Middle-Earth, but they chose to come home, richer in every sense of the word. We call people like these balikbayans or the "returnees" -- those who followed their dream, yet choose to return and share their mature talents and good fortune.

In a few years, I may take advantage of whatever opportunities that come my way. But I will come home. A borderless world doesn't preclude the idea of a home. I'm a Filipino, and I'll always be one. It isn't about geography; it isn't about boundaries. It's about giving back to the country that shaped me.

And that's going to be more important to me than seeing snow outside my window on a bright Christmas morning.

Mabuhay and thank you।

soource: www.inq7.net

DOES SMARTNESS PREDICT WEALTHINESS?

MY LIFE AS A STUDENT

AS A STUDENT I HAD THE MOST TROUBLE WITH THE FOLLOWING:

1. Those school activities that requires speaking in front of classmates. I am a very shy person, this trait take a lead in my areas of weakness. When i was in grade one, my Filipino teacher criticize the way i deliver my poem because of my voice that lacks loudness and clarity. Worst experience happened when i reach grade three, my Civics and Culture teacher stopped me while i was reporting a current events news because she thought that I wasn't serious. My whole body including my voice was shaking because of so much fear and she thought that I was laughing while am reporting. That was my primary years in school and I did have struggles to improve myself. When i reached high school i saw myself the same until i reached college, im still the same. I had poor grades in my oral communications class. My teacher had to let me used a microphone because she can't clearly hear my advertisement delivery. Classmates knew me as a very shy person and i seem to self-fulfill how people label me. I remain this way because that was the image that people expect of me. I always pray so hard for guidance and help so I could deliver a report successfully and so i could do better with my oral exams. I was totally dependent with Divine Intervention. But somehow at the later years of my college days i showed some improvements, although i still felt tensions while reporting in front of my classmates i managed to speak loudly and clearly. I remember getting a very good comment from my Industrial Psychology teacher for delivering a report successfully.

2. Those activities that forced myself to lead a group. I have this very poor leadership skills. I really had trouble delegating responsibilities. I didn't know how to coordinate and unite a team. And i still wonder up to now why my group mates chose me as their leader. Perhaps like me they hated responsibilities. And for a person who didn't know how to say no, i always get bigger responsibilities in group activities. I often end up doing all the researches and preparing all the reports and visual materials.

3. Those that requires mathematical abilities. Although am quite slow in memorization and reading skills, mathematics was my most limited skill. I am very poor in computation or working with numbers. This was a particular handicap in my entire academic life. Although i got passing grade for this subject, still i never liked learning math. This weakness happened to be one of the reasons why i pursue BS Psychology course for my tertiary education because the curriculum only offers 9 units math subjects. (although math and statistics seemed to be related i learned to like and appreciate statistics more in my Post Graduate years but not pure mathematics)

My school performance had been very inconsistent. I sometimes get high grades and sometimes very low grades. And yet no matter how i work hard to remediate my areas of weakness I'm still dealing with them up to now. I still want to improve my communication skills,leadership skills and most of all my self-confidence level.

I thought before that grades are very important for a person to become financially secure and successful in life. Does smartness predict wealthiness? Here are some facts by Ohio State economics professor Jay Zagorsky

The first one has been a belief by almost all of us:

It seems that the smarter you are, the more you tend to earn. For each IQ point you have above someone else's IQ, you'll earn between $200 and $600 more.

The second one is more surprising, People with high IQ do not end up with more wealth.

We who are smarter than the average bear (I'm including myself and you) would reasonably assume, then, that smarter people would end up wealthier. But that was not suggested by the study. Instead, people with higher IQs and incomes tended to spend more, maxing out credit cards and paying bills late. At the end of the day, those with lower IQs often had a greater net worth.

Zagorsky went on to note that "intelligence really isn't one of the key driving forces to become rich. In fact, people at the middle of the smarts spectrum have the fewest money problems."

As an example to this, is Bo Sanchez' life, a Filipino Catholic preacher who rise up from poverty to financial independence. In one of his talk he said that of his entire school life, most of his grades are at stake of failing, he remember getting an F in English composition, line of 7 grades in Filipino and Mathematics. He was not even accepted in college at Ateneo de Manila because he failed in the entrance examination. He was a concern to his parents but if you look at his life at present, he is an author of best selling books in the entire Philippines and Asia, owner of a publishing company and a great entrepreneur. He started from scratches and gradually rose to achieve financial independence. He did not have high academic performance and high IQ as requirements to reach the top.

The bottom line then
Here's my favorite Zagorsky conclusion: "Intelligence is not a factor for explaining wealth. Those with low intelligence should not believe they are handicapped, and those with high intelligence should not believe they have an advantage."

So the next time you're thinking you are not smart enough to achieve financial security , think again.

FILIPINO MYTHS ABOUT MAKING MONEY

( from the seminar on Financial Planning that i attended last Saturday, August 18, 2007)

Myth No 1: Financial security lies within having a good paying job with a good company
The right belief is that financial security lies in wise investing.

Myth No 2: My family ( relatives ) will take care of me ( especially after retirement)
The right belief is that only you can take care of yourself. You cannot rely on your
children to take care of you. They have their own concerns and responsibilities also.

Myth No 3: You must have money to make more money
The right belief is that money is an idea and ideas create wealth

Myth No 4: Failure is bad
The right belief is that failure is essential to success

Myth No 5: All debts are bad
The right belief is that there is such thing as good debt

Myth No 6: Money is the roots of all evil
The right belief is that money allows you to become more generous, you can help
many if u have more than enough

Myth No 7: Being rich is a lose lose game
The right belief is that being rich is a win win game


SOME FILIPINO TRAITS THAT ARE DETRIMENTAL TO SUCCESS

1. Mamaya Na/Mañana Habit ( procrastination)
2. Bahala na Habit
3. Close Family Ties
4. Hosppitality

FILIPINOS: WILL THEY GROW RICH?

It has been said that many Filipinos are very talented, intelligent and skillful. However, why most of them are poor? Do you not wonder why Filipinos are deteriorating financially, morally and socially? I wish to cover moral and social issues here but I wanted first that all of us will reflect on the issue that oftentimes exhaust us, and that is financial problems.

In the perspective of financial deterioration - we Filipinos are not doing our part towards financial independence. We desire to become financially secure and yet our desires remain a desire forever. We wish to own a good business, to finish schooling, and to earn extra income but our actions are not heading towards those goals.

Certain Filipino cultural traits, such as ningas kugon (excessive personalism and inordinate family centeredness) have influence our slow to progress. We often blame our corrupt government but isn't it that change should start within ourselves?

I remember, when I first receive a job I was so excited to work. I wake up early, arrive early at the company where I work, and I open my office one hour before other departments could open there offices. I really work so hard, leave the office late. I always accomplish my work for the day and submit reports earlier than the set deadline. I have complete attendance; I don't even use my leaves (vacation and sick leaves). However, I realize lately that the energy I exerted in the past has gradually go down when it is supposed to increase. Is it true that "ningas kugon" is a Filipino cancer? I even come to the point that I am already distress with my work. I got sick psychologically and physically. My attitude may not be true to others but definitely most of us Filipinos are behaving this way. Oftentimes we are very enthusiastic at the start of doing our job but gradually we decrease our effort at a certain point. This trait is detrimental to our progress. The moment we decrease our effort we also deprive ourselves to learn. In comparison, I knew of a Filipino-American whose attitude is really in contrast to mine. While I started working at the age of 22, the person started working at the age of 17, volunteered working in a government agency in repay of a college degree. The person graduated from college then became a full time government employee, proceed studying for another course. Now the person owns a company while preserving the work in the government.

People from other countries were taught to be independent. They work so hard. They are work oriented. They set deadlines when to accomplish a certain goal. I think it is a matter of self-discipline. Every day is a learning experience. Our everyday effort or work should head us towards success. Thus, do not count your failures but rather your daily accomplishments. If you are living this negative Filipino trait, try to shift and change for the better. Enjoy life, love what you are doing but make sure it is beneficial to your future.

Serve well your family, your company, and others.

“Whoever renders service to many puts himself in line for greatness - great wealth, great return, great satisfaction, great reputation, and great joy. Jim Rohn

BASIC STEPS TO GET OUT FROM DEBT

Step 1. Cut up all credit cards. Reason: your credit is already shot and you are not looking for additional debt. What difference does your credit rating, or score, matter now. Temporarily stop contributions to your retirement funds. The main goal now, is to get out of debt. I have somewhat mixed feelings on this step. I understand the importance of saving and building your retirement and the possible lost earnings. If you are devoted to getting out of debt, you could still continue contributing to your 401(k) or 403(b) during this time. Do what makes you feel better. Start looking for ways of increasing your money. Get extra jobs, discontinue extra services, trade down cars (if possible).

Step 2. Establish an emergency fund. A good suggestion is $1,000. Get this account established as quickly as you can. Pay minimums on all debt until you get this amount saved. This will not be your entire emergency fund. This fund is designed to cover small emergencies while you are working to get rid of all of your debt. Remember, this is only a starting point. You will come back to this account later.

Step 3. Start your debt snowballing plan. List all of your debts, excluding mortgage, ranging from smallest balance to the largest. Keep this list posted on your refrigerator or somewhere else. Just make sure you are able to see it most of the time. Pay all you can on the smallest debt. Concentrate all of your efforts on this debt and only this debt. Pay minimums on all of the rest. When the first debt is gone, put all of that money and any extra on the next debt. Keep doing this until all debts are gone. Get mad and stay mad until all debts are gone. There is no energy in logic, only emotion. The reason for this approach is purely a mind-game. You can see debt going away quicker. Will it make better sense to start with interest rates, probably, but as I said, I want you to see debt going away and get the feeling of accomplishment. By seeing debt going away quicker, you will be motivated in continuing.

Step 4. At this point, the only debt you have is the mortgage. We will not touch this debt yet. Now go back to your emergency fund. Build this fund up as quickly as you can. All of the money you devoted to paying off your debt can now be added to this emergency fund. A good rule of thumb is to have at least 3-6 months of expenses saved in this account.

Step 5. Fully fund all of your pre-tax retirement options. Max out all you can. You should also take a good look at your insurance needs. Always get level, guaranteed renewable term life insurance. Never get whole life. Your policy should be worth 10 times your annual salary. Why? Your family is accoustomed to living on $50,000 a year. You would want a $500,000 policy. Your family will be going through a hard enough time in losing you. Why also make their financial life suffer as well. Your spouse could invest the $500,000 and at a 10% return, they will still be getting $50,000 a year. With your emergency fund fully funded, look at your auto insurance. Deductibles could be raised. This will save you money.

Step 6. Now is the time to start saving for your kid's college fund. I know you think this should have started a long time ago, but it did not meet your immediate goals back then, when you were in debt. Do not let the guilt of not doing anything for the kids stop you, in fact the guilt should be motivation for you to get to this step even quicker.

Step 7. Now is the time to attack the mortgage. Let's get rid of this as soon as possible and have the biggest mortgage paper burning party your neighbors have ever seen. You may be saying, but why? What would you rather do, send a lot of money to the bank, just to get a little back from the IRS? I do not think that makes good financial sense. Spend a lot to save a little, doesn't make sense to me.

Step 8. Now let's get rich. You have zero debt at this time. What are you going to do with all of the extra money? Invest to your little hearts content. Very soon, you will be wanting to give away lots of your money to charities. You are now a giver instead of a spender. How much buying power do you have now. Just go to a merchant and offer cash for any item, look at how fast the price drops.

Personal finance is not a microwave, it is like a crock-pot. You can't get there quickly. Liken it to climbing a mountain. You take very small, careful steps. .

By following these steps, you will be well on your way to obtaining Financial Peace.

.

*Ideas for this were taken from Dave Ramsey's "Financial Peace." Lampo Press

http://moneycentral.communities.msn.com/YourMoney/creditproblems.msnw?action=get_message&mview=0&ID_M

Top 10 Traits of Highly Successful People -That You Can Learn!

By Philip E. Humbert

1. They work hard! Yes, they play hard, too! They get up early, they rarely complain, they expect performance from others, but they expect extraordinary performance from themselves. Repeated, high-level success starts with a recognition that hard work pays off.

2. They are incredibly curious and eager to learn. They study, ask questions and read – constantly! An interesting point, however: While most of them did well in school, the difference is that they apply or take advantage of what they learn. Repeated success is not about memorizing facts, it’s about being able to take information and create, build, or apply it in new and important ways. Successful people want to learn everything about everything!

3. They network. They know lots of people, and they know lots of different kinds of people. They listen to friends, neighbors, co-workers and bartenders. They don’t have to be "the life of the party", in fact many are quiet, even shy, but they value people and they value relationships. Successful people have a rolodex full of people who value their friendship and return their calls.

4. They work on themselves and never quit! While the "over-night wonders" become arrogant and quickly disappear, really successful people work on their personality, their leadership skills, management skills, and every other detail of life. When a relationship or business deal goes sour, they assume they can learn from it and they expect to do better next time. Successful people don’t tolerate flaws; they fix them!

5. They are extraordinarily creative. They go around asking, "Why not?" They see new combinations, new possibilities, new opportunities and challenges where others see problems or limitations. They wake up in the middle of the night yelling, "I’ve got it!" They ask for advice, try things out, consult experts and amateurs, always looking for a better, faster, cheaper solution. Successful people create stuff!

6. They are self-reliant and take responsibility. Incredibly successful people don’t worry about blame, and they don’t waste time complaining. They make decisions and move on. Sometimes they are criticized for taking this to extremes – Jimmy Carter carried his own briefcase and a President "shouldn’t" do that! Extremely successful people take the initiative and accept the responsibilities of success.

7. They are usually relaxed and keep their perspective. Even in times of stress or turmoil, highly successful people keep their balance, they know the value of timing, humor, and patience. They rarely panic or make decisions on impulse. Unusually successful people breath easily, ask the right questions, and make sound decisions, even in a crisis.

8. Extremely successful people live in the present moment. They know that "Now" is the only time they can control. They have a "gift" for looking people in the eye, listening to what is being said, enjoying a meal or fine wine, music or playing with a child. They never seem rushed, and they get a lot done! They take full advantage of each day. Successful people don’t waste time, they use it!

9. They "look over the horizon" to see the future. They observe trends, notice changes, see shifts, and hear the nuances that others miss. A basketball player wearing Nikes is trivial, the neighbor kid wearing them is interesting, your own teenager demanding them is an investment opportunity! Extremely successful people live in the present, with one eye on the future!

10. Repeatedly successful people respond instantly! When an investment isn’t working out, they sell. When they see an opportunity, they make the call. If an important relationship is cooling down, they take time to renew it. When technology or a new competitor or a change in the economic situation requires an adjustment, they are the first and quickest to respond.

These traits work together in combination, giving repeatedly successful people a huge advantage. Because they are insatiable learners, they can respond wisely to change. Because their personal relationships are strong, they have good advisors, and a reserve of goodwill when things go bad. And finally, none of these traits are genetic! They can be learned! They are free and they are skills you can use. Start now!

Perseverance is the Key to Success

Perseverance is the key to success. After thousands of efforts to make the electric light bulb, Thomas Edison said, “I haven’t failed, I’ve identified 10,000 ways that it doesn’t work.”

Acquiring a desired job or promotion, or succeeding at business may present difficulties. But this is part of the learning process. Ultimately, people who persevere become successful. They learn from mistakes.

Do you persevere? Or, after meeting rejection or difficulties, do you quit?

Test Your Perseverance Quotient
Rate yourself – on a scale of one to three, one being low and three being high – on each of the following:

1. I believe in myself.

2. I have clear career goals.

3. I address my limitations.

4. I bounce back from disappointment.

5. I have the stamina to persist.

6. My family and friends support me in my pursuit of goals.

7. I can adapt to change.

8. I focus and complete projects.

9. My goals are consistent with my purpose and values.

10. I can take unpopular actions when I believe I’m right.

Add your scores. The higher your score, the more persevering you are.

Tips for Persevering

1. Clarify your goal. Base it on your mission/passion, needs and abilities. Know why you want your goal and how you and others will benefit.

State your goal in the present. Write desired outcomes, what you want to accomplish. Be detailed, specific, positive.

2. Intend to achieve you goal. Outline goal, strategies and time line. Know resources that can help you attain your goal, such as people, associations and the Internet. Break the goal into small steps, working backward form your desired outcome and achievement date.

3. Develop support systems. Meet regularly with positive, encouraging people who support your goals and celebrate your achievements. Select other sources of positive reinforcement such as books or tapes with uplifting themes.

4. Choose productive attitudes and behaviors. Don’t dwell in the past, worry about what might happen or view yourself as a victim.

Maintain optimism. Reinforce the positive in yourself and others. Expect good things. Watch self-talk. Replace negative thoughts or statements with positive ones. Keep a diary of each day’s good experiences.

Focus on what you can do. Acknowledge your accomplishments. Judge your accomplishments against personal standards of self-improvements.

Have the courage of your convictions. Don’t change for others or compare yourself with others.

5. Develop the will to risk. Don’t fear mistakes. Ask: ‘What’s the worst that can happen?’ Decide whether you could live with the worst or take steps to reduce the chance of it happening.

Research your goal to reduce negative outcomes. For example, interview successful people who have achieved similar goals. Learn from their mistakes.

Live in the present. Don’t worry about what might happen. View mistakes as opportunities to grow.

Let go of attachments. The more attached you are to something, the greater the fear of losing it.

6. Maintain a healthy lifestyle. Care for you mind, body, emotions and spirit. Schedule quiet times to think and reassess. Practice stress relievers such as deep breathing, exercise, meditation. Get sufficient sleep, eat healthy. Take time for fun and friends.

7. Practice imagery. Imagine yourself living your goal today. Hold your desired outcome firmly in your mind. See, smell, touch and hear aspects of your goal. Each morning upon rising, review your goal. Repeat the process at night.

8. Persist. Focus on goals daily. With every “no” of defeat you’re closer to a “yes” of success. If you learn from set-backs and stay on course, success will follow. Every day, at regular intervals, ask yourself whether your activities are helping you attain your goal.

Believe you’ll attain your goal. Persevere. When your mind, emotions and activities focus on your goal, you can achieve the extraordinary.

" Don't be afraid to give your best to what seemingly are small jobs. Every time you conquer one it makes you that much stronger. If you do the little jobs well, the big ones will tend to take care of themselves." ~Dale Carnegie

sources:

http://www.quotegarden.com/perseverance.html
http://www.investopedia.com/artic

I STARTED SAVING WHEN I WAS JUST A KID

I started schooling at the age of four. I studied in a rural area where kids are sent to a public school. Kids usually have a cooked dried ground corn and grilled dried fish for lunch packed in a slightly heated banana leaf. They only have bananas, sweet potatoes, or corn (either boiled or grilled), coconut and tamarind candies or guavas for snacks. It is not a practice of parents in the past to give money to their kids for their daily allowance. And among these kids who experienced those very simple life was myself. I usually received money only during Christmas, when my father deceived us kids in the family to hang a sock in the balcony so that if Santa Claus would pass by we will be blessed with gifts like money and toys. I also received money from my grandmother everytime she has sold a livestock. Lastly I always received money from a generous god parent as a birthday gift. You might think I am receiving big amounts like five, ten or twenty pesos but you are exactly wrong. I usually receive an average of two pesos and the highest was two fifty. Nevertheless every time I have these coins in my hands I get a very big smile. I am so happy; I get the highest amount in coin that is two pesos. I also remember performing an intermission number in a poetry contest of which I was rewarded with five pesos but that happens only once. I had a very low self-esteem and could not stand to perform in front of a lot of people again. That’s how I get to save money in the past. I see no stores nearby to spend my money so I had it placed in a bamboo “piggy bank” and hide it in the ceiling. That was really fun because my siblings do the same.

My grandmother really taught me how to be frugal. She always reminded me to increase my savings by keeping the amount of money given to me. She has taught me negotiating techniques to get a discounted stuff. Since then if I get to a retail store I always used negotiating techniques if I have to so I get a discount. Saving then has been a practice in my entire life however I cannot claim that I am in abundance of money right now. I still live in a rugged house where we get crazy during rainy days, our house roofs is as old as our age maybe. Rain drops get inside our house. I still sleep in an old bed and in a room without a ceiling.

You might question my credibility of creating this site and giving it a title Financial Management. I am nobody and I am nothing. Despite the many advices and readings I have learned about financial security I am still in the process of moving forward to that certain level where I can retire early. I am now 26 years old. I do not have much achievements, I do not have properties attached to myself so I could claim I am rich but I am gradually following the pattern of success. It is not easy to reach the top. Family members sometimes scratch our back; they are usually the cause of your downfall. Sometimes they don’t encourage success nor believe that you can make it happen. They create liabilities that prompt you to take responsibilities. Sometimes friends, colleagues, and relatives are detrimental to your growth. Some friends force you to spend for a dinner at an expensive restaurant, watch movies or even buy unnecessary stuff, some colleagues (specifically married) thought that singles have a lot of money and they abused you by constantly borrowing money from you. And some relatives do the same. These things slowly pull you down. However, you still have a choice wether to allow them to kick you off. By this time you are now aware of the many hindrances that block your way to success. Persevere....... be patient......... remember change does not happen overnight........later on you will realize how far you have become........ so move gradually...........learn alot of things......gain confidence......you will someday salute your ownself. Think like a millionaire does. Think big.

USE THE CREDIT CARD WISELY

A credit card is a piece of plastic card that can either help the user budget his finances or cause him a chain of troubles. This involves a credit system where the issuer lends the user a certain amount transpired in his account and the user pays his balance at the end of the month or billing period.
This balance is charged of no interest if paid off dutifully at the end of the month. Otherwise, the charge rate rises each month the user fails to meet his obligation.

Advantages of having a credit card

A credit card is beneficial if it is properly used.

1. This provides the user the privilege to shop anytime he wishes even without cash on hand given that the balance is paid in full and on time.
2. It is more convenient than carrying cash in your pocket, which is susceptible to being lost, or be in accidents.
3. It will also help you in establishing a good name in terms of credit.
4. The credit card system is a convenient way of purchasing and paying for services or goods both in the typical stores and online stores because of its easy access features.
5. It provides incentives that you can enjoy. These incentives come in reward points and are redeemable.
6. You do not need to write a check, you can pay later.
7. You can avail of the discounts right when they are offered, unlike when you have to pay cash, you wait until your compensation arrives.
   
   

Disadvantages of having a credit card

Credit cards can be very costly if you do not watch what you spend. A rule that you should follow is if you don't need it don't use it.

1. You pay a high cost to borrow money which is your finance charges and interest rates
2. You debt load is increased and so is your debt to income ratio
3. You decrease the amount that you should be saving in the bank cause you are paying interest and financial charges.
4. Have less money each month for household expenses
5. You can easily overspend and create real bad financial difficulties.

If you buy items using you credit cards you will have to pay the lend era finance charge for the use of their money. The finance charge is the total amount you will pay which includes interest rate costs and other cost such as services charges and possible other charges.

But amidst all these, a credit card can be a good asset to your business and personal lifestyle. Those stated above are just warnings to guide you to the wise use of your credit card.

So before deciding on the credit card that you plan to apply, make sure to weigh the importance of the benefits that the company offers. And when you have been issued of the card, be a responsible card holder. Keep in mind that though you are not yet spending your cash, sooner at the end of the month, you will. So be intelligent in purchasing your items. Stick to your budget when you market your goods.

And notably, make sure that you pay your accounts on time to avoid late payment charges.

A responsible and disciplined handling of the credit card is required in order to avoid failure of payment and misuse of your monetary fund. Remember that this should be an asset that you must maximize the use. Don't turn it to a liability that will dump you to a deep crisis.

Sources
Mario Churchill - [online] How to use the credit card wisely?. Retrieved : July 22, 2007 from http://www.articledashboard.com, July 22, 2007

What are the advantages and disadvantages of using a credit card?. Retrieved: July 22, 2007 from http://www.kimberlycredit.com

ANOTHER STORY OF A GREAT ENTREPRENEUR "A STORY OF COLONEL SANDLERS" THE KENTUCKY FRIED CHICKEN LEGEND"

Colonel Sandlers discovered a great chicken recipe that made him a successful entrepreneur after his retirement at the age of 65. This is an inspiring and fascinating story that encourage us to be great no matter where we are in life"

Humble Beginnings

Harland Sanders was born September 9, 1890 near Henryville, Indiana. His father died when he was just 6 years old, leaving him the man of the house with a mother and two younger siblings; a brother and a sister. He picked up the art of cooking very quickly and mastered many dishes by the age of 7. During his early years, Harland worked different odd jobs such as farm-hand, streetcar conductor, soldier, fireman, self-taught lawyer, insurance salesman, and steamboat operator.

Mastering Chicken

At the age of 40, he was cooking for travelers out of his service station. His cooking fame spread and soon there were huge lines for his food. Sanders then moved across the street to a motel/restaurant to service the high demand. During this time, Sanders had also been tinkering with his special herbs and spices to make the perfect fried chicken.

The Secret Ingredient

During his search to make the perfect chicken, he was approached by a pressure cooker salesman who convinced Sanders to invest in this product to quicken his cooking process. He ended up investing in 12 pressure cookers. Somewhere around this time, Sanders also ended up reaching his trademark 11 herbs and spices.

Some say that his 11th secret herb/spice was nothing more than regular sea salt. Whatever it was, it worked and sold a lot of chicken. In 1935, Sanders was made into an honorary Colonel by the governor of Kentucky for his cooking skills.

Forced Retirment

Fast forward to 1950. The Colonel is 60 years old and has to shut down his restaurant business because a new highway was being built where his restaurant was located. Colonel Sanders decided to retire and lived off of $105 in the form of social security checks. Not wanting to accept this as his fate, he decided to franchise his chicken at the age of 65.

The Comeback - Relentless Perseverance

He started traveling by car to different restaurants and cooked his fried chicken on the spot for restaurant owners. If the owner liked the chicken, they would enter into a handshake agreement to sell the Colonel's chicken. Legend has it that Colonel Sanders heard 1009 "no's" before he heard his first "yes".

Ok, let me repeat that.

He was turned down one-thousand and nine times before his chicken was accepted once!

The deal was that for each piece of chicken the restaurant sold, Sanders would receive a nickel. The restaurant would receive packets of Colonel's secret herbs and spices in order to avoid them knowing the recipe. By 1964, Colonel Sanders had 600 franchises selling his trademark chicken. At this time, he sold his company for $2 million dollars but remained as a spokesperson. In 1976, the Colonel was ranked as the world's second most recognizable celebrity.

The Legacy

Fast forward to today. KFC is one of the largest fast food franchises in the world. Over the years, the company has been owned by RJ Reynolds (now Reynolds American; NYSE: RAI), Pepsico (NYSE: PEP), and is currently under Yum Brands (NYSE: YUM). Yum Brands family also includes Pizza Hut, Taco Bell, Long John Silvers, and A&W Restaurants. This brand is the largest restaurant operator in the world in terms of units.

It's amazing how the man started at the age of 65, when most retire, and built a global empire out of fried chicken.

source: http://www.articlesbase.com

A GREAT FILIPINO ENTREPRENUER

Commencement Address by John L. Gokongwei Jr. to the Atenean Graduates, March 27, 2004)

I wish I were one of you today, instead of a 77-year-old man, giving a
speech you will probably forget when you wake up from your hangover
tomorrow.

You may be surprised I feel this way. Many of you are feeling fearful
and apprehensive about your future.

You are thinking that, perhaps, your Ateneo diploma will not mean a
whole lot in the future in a country with too many problems. And you are
probably right.

You are thinking that our country is slipping-no, sliding. Again, you
may be right.

Twenty years ago, we were at par with countries like Thailand,
Malaysia, and Singapore. Today, we are left way behind.

You know the facts.

Twenty years ago, the per capita income of the Filipino was 1,000 US
dollars. Today, it's 1,100 dollars. That's a growth of only ten percent
in twenty years. Meanwhile, Thailand's per capita income today is
double ours; Malaysia, triple ours; and Singapore, almost twenty times
ours.

With globalization coming, you know it is even more urgent to wake up.
Trade barriers are falling, which means we will have to compete harder.

In the new world, entrepreneurs will be forced to invest their money
where it is most efficient. And that is not necessarily in the
Philippines. Even for Filipino entrepreneurs, that can be the case.

For example, a Filipino brand like Maxx candy can be manufactured in
Bangkok-where labor, taxes, power and financing are cheaper and more
efficient-and then exported to other ASEAN countries.

This will be a common scenario-if things do not change. Pretty soon,
we will become a nation that buys everything and produces practically
nothing. We will be like the prodigal son who took his father's money and
spent it all. The difference is that we do not have a generous father
to run back to.

But despite this, I am still very excited about the future. I will tell
you why later.

You have been taught at the Ateneo to be "a person for others." Of
course, that is noble: To serve your countrymen.

Question is: How?

And my answer is: Be an entrepreneur!

You may think I am just a foolish man talking mundane stuff when the
question before him is almost philosophical. But I am being very
thoughtful here, and if I may presume this about myself, being patriotic as
well.

Entrepreneurship is the answer.

We need young people who will find the idea, grab the opportunity, take
risk, and set aside comfort to set up businesses that will provide
jobs.

But why? What are jobs?

Jobs are what allow people to feel useful and build their self-esteem.
Jobs make people productive members of the community. Jobs make people
feel they are worthy citizens. And jobs make a country worthy players
in the world market.

In that order of things, it is the entrepreneurs who have the power to
harness the creativity and talents of others to achieve a common good.
This should leave the world a better place than it was.

Let me make it clear: Job creation is a priority for any nation to move
forward.

For example, it is the young entrepreneurs of Malaysia, Thailand, and
Singapore who created the dynamic businesses that have propelled their
countries to the top. Young people like yourselves.

Meanwhile, in the Philippines, progress is slow. Very little is new.
Hardly anything is fresh. With a few exceptions, the biggest companies
before the war-like PLDT, Ayala, and San Miguel-are still the biggest
companies today.

All right, being from the Ateneo, many of you probably have offers from
these corporations already. You may even have offers from JG Summit.

I say: Great! Take these offers, work as hard as you can, learn
everything these companies can teach-and then leave!

If you dream of creating something great, do not let a 9-to-5 job-even
a high-paying one-lull you into a complacent, comfortable life. Let
that high-paying job propel you toward entrepreneurship instead.

When I speak of the hardship ahead, I do not mean to be skeptical but
realistic. Even you Ateneans, who are famous for your eloquence, you
cannot talk your way out of this one. There is nothing to do but to deal
with it.

I learned this lesson when, as a 13-year-old, I lost my dad. Before
that, I was like many of you: a privileged kid. I went to Cebu's best
school; lived in a big house; and got free entrance to the Vision, the
largest movie house in Cebu, which my father owned.

Then my dad died, and I lost all these. My family had become poor-poor
enough to split my family. My mother and five siblings moved to China
where the cost of living was lower. I was placed under the care of my
Grand Uncle Manuel Gotianuy, who put me through school. But just two
years later, the war broke out, and even my Uncle Manuel could no longer
see me through. I was out in the streets-literally.

Looking back, this time was one of the best times of my life. We lost
everything, true, but so did everybody! War was the great equalizer. In
that setting, anyone who was willing to size up the situation, use his
wits, and work hard, could make it!

It was every man for himself, and I had to find a way to support myself
and my family. I decided to be a market vendor.

Why?

Because it was something that I, a 15-year-old boy in short pants,
could do.

I started by selling simple products in the palengke half an hour by
bike from the city. I had a bicycle. I would wake up at five in the
morning, load thread, soap and candles into my bike, and rush to the
palengke.

I would rent a stall for one peso a day, lay out my goods on a table as
big as this podium, and begin selling. I did that the whole day.

I sold about twenty pesos of goods every day. Today, twenty pesos will
only allow you to send twenty text messages to your crush, but 63 years
ago, it was enough to support my family. And it left me enough to plow
back into my small, but growing, business.

I was the youngest vendor in the palengke, but that didn't faze me. In
fact, I rather saw it as an opportunity. Remember, that was 63 years
and 100 pounds ago, so I could move faster, stay under the sun more, and
keep selling longer than everyone else.

Then, when I had enough money and more confidence, I decided to travel
to Manila from Cebu to sell all kinds of goods like rubber tires.

Instead of my bike, I now traveled on a batel-a boat so small that on
windless days, we would just float there. On bad days, the trip could
take two weeks!

During one trip, our batel sank! We would have all perished in the sea
were it not for my inventory of tires. The viajeros were happy because
my tires saved their lives, and I was happy because the viajeros, by
hanging on to them, saved my tires. On these long and lonely trips I had
to entertain myself with books, like Gone With The Wind.

After the war, I had saved up 50,000 pesos. That was when you could buy
a chicken for 20 centavos and a car for 2,000 pesos. I was 19 years
old.

Now I had enough money to bring my family home from China. Once they
were all here, they helped me expand our trading business to include
imports. Remember that the war had left the Philippines with very few
goods. So we imported whatever was needed and imported them from
everywhere-including used clothes and textile remnants from the United States.
We were probably the first ukay-ukay dealers here.

Then, when I had gained more experience and built my reputation, I
borrowed money from the bank and got into manufacturing. I saw that coffee
was abundant, and Nescafe of Nestle was too expensive for a country
still rebuilding from the war, so my company created Blend 45.

That was our first branded hit. And from there, we had enough profits
to launch Jack and Jill.

From one market stall, we are now in nine core businesses-including
retail, real estate, publishing, petrochemicals, textiles, banking, food
manufacturing, Cebu Pacific Air and Sun Cellular.

When we had shown success in the smaller businesses, we were able to
raise money in the capital markets-through IPOs and bond offerings-- and
then get into more complex, capital-intensive enterprises. We did it
slow, but sure.

Success doesn't happen overnight. It's the small successes achieved day
by day that build a company. So, don't be impatient or focused on
immediate financial rewards. I only started flying business class when I
got too fat to fit in the economy seats.

And I even wore a used overcoat while courting my wife-it came from my
ukay-ukay business. Thank God Elizabeth didn't mind the mothball smell
of my overcoat or maybe she wouldn't have married me.

Save what you earn and plow it back.

And never forget your families! Your parents denied themselves many
things to send you here. They could have traveled around the world a
couple of times with the money they set aside for your education, and your
social life, and your comforts.

Remember them-and thank them.

When you have families of your own, you must be home with them for at
least one meal everyday.

I did that while I was building my company. Now, with all my six
children married, I ask that we spend every Sunday lunch together, when
everything under the sun is discussed.

As it is with business, so it is with family. There are no short cuts
for building either one.

Remember, no short cuts.

Saint Ignatius of Loyola, your patron saint, and founder of this
450-year old organization I admire, described an ideal Jesuit as one who
"lives with one foot raised." I believe that means someone who is always
ready to respond to opportunities.

Saint Ignatius knew that, to build a successful organization, he needed
to recruit and educate men who were not afraid of change but were in
fact excited by it.

In fact, the Jesuits were one of the earliest practitioners of
globalization. As early as the 16th century, upon reaching a foreign country,
they compiled dictionaries in local languages like Tamil and Vietnamese
so that they could spread their message in the local language. In a few
centuries, they have been able to spread their mission in many
countries through education.

The Jesuits have another quote. "Make the whole world your house"
which means that the ideal Jesuit must be at home everywhere. By adapting
to change, but at the same time staying true to their beliefs, the
Society of Jesus has become the long-lasting and successful organization it
is today and has made the world their house.

So, let live with one foot raised in facing the next big opportunity:
globalization. Globalization can be your greatest enemy. It will be
your downfall if you are too afraid and too weak to fight it out. But it
can also be your biggest ally.

With the Asian Free Trade agreement and tariffs near zero, your market
has grown from 80 million Filipinos to half a billion Southeast Asians.

Imagine what that means to you as an entrepreneur if you are able to
find a need and fill it. And imagine, too, what that will do for the
economy of our country!

Yes, our government may not be perfect, and our economic environment
not ideal, but true entrepreneurs will find opportunities anywhere.

Look at the young Filipino entrepreneurs who made it. When I say
young-and I'm 77, remember-I am talking about those in their 50s and below.
Tony Tan of Jollibee, Ben Chan of Bench, Rolando Hortaleza of Splash,
and Wilson Lim of Abensons.

They're the guys who weren't content with the 9-to-5 job, who were
willing to delay their gratification and comfort, and who created something
new, something fresh. Something Filipinos are now very proud of.

They all started small but now sell their hamburgers, T-shirts and
cosmetics in Asia, America, and the Middle East. In doing so, these young
Filipino entrepreneurs created jobs while doing something they were
passionate about.

Globalization is an opportunity of a lifetime-for you. And that is why
I want to be out there with you instead of here behind this
podium-perhaps too old and too slow to seize the opportunities you can.

Let me leave you with one last thought.

Trade barriers have fallen. The only barriers left are the barriers you
have in your mind.

So, Ateneans, Class of 2004, heed the call of entrepreneurship.

With a little bit of will and a little bit of imagination, you can turn
this crisis into your patriotic moment-and truly become a person for
others.

"Live with one foot raised and make the world your house."

To this great University, my sincerest thanks for this singular honor
conferred on me today.

To the graduates, congratulations and Godspeed.

"Ad Majorem Dei Gloriam".

Thank you.

How to be financially secure?

The literacy rate in the Philippines is listed at 92.6% by the UNESCO Institute for Statistics. This rate is one of the highest in Southeast Asia, higher than that of Malaysia, Indonesia, Vietnam, and Singapore. But why Filipinos did not economically prosper when they have high literacy rate? If you ask someone why? They usually point three major points: martial law, massive graft and corruption of the government leaders and long term poverty. While these three do really contribute to financial instability of the Filipino people the root causes still lies in the following; inadequate mental maturity, wrong use of one’s own earnings, self-inflicted debts and gambling. Poverty can be minimize by changing our mindset and by avoiding our own created financial hardships. How? A former professor of mine Fr. Michael Gimarino shared to us in one of his lecture the “Seven Practical Strategies to Solve Poverty”. This is where education enters and as described by Fr. Gimarino, this is the mindset that leads to financial security and independence:

1. Live within your means. Do not spend more than what you earn. Be frugal. Lucio Tan a well known businessman in the Philippines still uses his old cell phone while most of his friends keep up with the latest model. When he was asked why? He simply answered “it serves the purpose”. Do not keep up with the Jone’s Family, do not keep up with what your neighbors have. In short do not envy what others have. If you want to buy something save first
2. Save for future needs. . Save like the ants. Your saving does not depend on your income but on self-discipline. Make a list of what you would buy and buy only those that are necessary. Do not buy those that are not in your list. Save money in stable insurance and investment companies. If you own a land then plant trees or make use of it. Hard work, perseverance and diligence are the key to successful future.
3. Avoid Penalties. . Avoid penalties. You are usually penalized if you do not pay on time. Be cautious in using ATM cards make withdrawals at ATM counters that do not make deductions. Avoid using credit cards for unnecessary purchases. Lastly, avoid making loans.

4. Increase your assets and decrease your liabilities
5. Spend your money wisely
6. Produce some of your food. Cook your own meal. Do not eat often outside. Plant your own vegetables, corn or rice if you own a land.
7. Don’t waste your resources. Save water, save food, save electricity. Be frugal in almost everything except for love.

I am not looking for a foreign power for us to challenge. But we have a real and insidious enemy that we must vanquish, and this enemy is worse than the intransigence of any foreign power. We are our own enemy. And we must have the courage, the will, to change ourselves. F. Sionil Jose

What is FINANCIAL LITERACY?

Financial literacy simply means that you are educated in terms of money.

Most of us are encourage by our parents to study hard, obtain high grades, and obtain high educational attainment so that we can have the best job offer and the highest paying job in a good company that offers good benefits. Middle class and poor class follow this pattern but the rich don't. Culturally we are shaped to follow one path and that is to finish our education and work for money. That is what a successful future means to us. However, Robert Kyosaki author of Rich Dad Poor Dad called this a "trap in a rat race". We are never educated to learn how to let money work for us. We are so comfortable with paycheck to paycheck. We do not entertain the possibility of becoming the employer, the investor, the earner of passive income. So heres the basic lessons that Rober Kyosaki learned and wanted the poor and the middle class to learn:

1. The rich don't work for money. "The poor and middle class work for money. The rich have money work for them," he would say to me. The rich buy or create assets that work for them so they don't have to.
2. Why teach financial literacy? You need to understand the difference between an asset and a liability. An asset puts money in your pocket and a liability takes money from your pocket. The rich understand the difference and buy assets, not liabilities.
3. Mind your own business. Many people confuse their profession with their business. To become financially secure people need to mind their own business. Your business revolves around your asset column, as opposed to your income column. The rich focus on their asset columns while the poor and middle class focus on their income columns.
4. The history of taxes and the power of corporations. The Tax Code of the United States provides many vehicles for people to save on their taxes. Most of these vehicles are available to anyone but it is the rich who usually look for them and use them because they have learned to "mind their own business." For example an individual can utilize the tax advantages and protection provided by a corporation to get rich much faster than someone who is an employee or a small-business sole proprietor.
5. The rich invent money. Great opportunities are not seen with your eyes. They are seen with your mind. Most people never get wealthy simply because they are not trained financially to recognize opportunities right in front of them. The rich have learned to recognize opportunities as well as how to create them.
6. Work to learn--don't work for money. To become successful you must learn how to manage cash flow, systems and people. Being in the Marines taught me leadership and working in sales for Xerox taught me how to sell and how to accept rejection. All of these skills were important for my success. Look for jobs that can help you develop the skills of managing cash flow, systems and people rather than just pay you well.

HOW FINANCIALLY HEALTHY ARE YOU?

taken from the book 8 Secrets of Truly Rich by Bo Sanchez

In his book Bo wrote " becoming financially healthy depends on how you've taken steps towards financial health." He presented six steps to financial health. He put Step#0, which he considered a faith act. Are you ready? here are the challenges:

Step#0: Give to God a Monthly Love Offering ( start with 10%)
Bo wrote" the purpose of money is to use it for love. Tithing are the "training wheels" to learn how to do this. Each month. set aside a fixed percentage of your income to God and the poor. And be open to the blessings that will flow to you.

Step#1: Free Yourself from All Bad Debt
List of down all your bad debts and declare when your Freedom Day will be. Never borrow for anything that doesn't put money into your pocket. Renegotiate with creditors if you have to.

Step#2: Increase Your Income and Start a Sideline
Grow yourself, your skills and your liabilities.

Step#3: Get Protection (Insurance) Equal to 10 Times Your Annual Expenses
Your goal is to be self-insured. While your investments haven't reached that point where your passive income is equal or greater that your expenses, you need to buy insurance.

Step#4: Create and Emergency Fund in the Bank Equal to Six Month's Expenses
These are for your daily expenses as well as unforeseen expenses. Having an Emergency Fund prevents you from dipping into your long-term retirement fund.

Step#5: Create a Retirement Fund Saving 20 Percent of Your Monthly Income in Various Growth Funds
Keep searching on the best places you can put your long-term savings. It will be determined by your age and the level of risk you're comfortable with.

Step#6: Create Passive Income via Business and Investments Equal to or More Than Your Expenses.
This is financial freedom. It is the place where, even if you stop working, you can still live your present lifestyle.

As you take one step after another step, you gain in financial health. You create your future by your choice today!

SEEING THINGS BEYOND IMAGINATIONS

A lot of Filipinos today shifted careers to keep up with the trend. Schools are attracting enrollees for certificate courses and second courses. The two major careers that people chose to pursue other than the baccalaureate degrees they obtain are Special Education and Nursing. For more than ten years the United States of America is attracting applicants from different countries to work as teachers or nurses there. Filipinos are number one feeders of those work demands. It is understandable that many would opt to work in United States since earning dollars is an opportunity for them to alleviate from poverty. This is actually a form of escaping. People flight and resist facing the problems here in the Philippines. Remembering Rizal’s view that this country is having a cancer would definitely describe how one would continue to suffer if nothing is invested for risking. To work abroad is a great risk. However, one should be prepared physically, mentally, emotionally and spiritually. Seeing things beyond imagination, this should be a guide for those who want to go abroad. There is no such thing as easy life in other countries. The easiest life is in your own home. Other countries do have their own cancer. This must not give you discouragement but rather encouragement as you keep up with the challenges ahead of you. Nevertheless preserve and strengthen your values. Discover as well the root causes of our countries cancer. You might have a major contribution as to why this country is suffering. See things beyond imagination, you will learn later that it’s our attitude that has been nurtured that definitely disable this country. Change for the better. Start it within you without judging and blaming others. Good luck!

HOW TO START SAVING

To start saving, the word "PAY YOUR SELF FIRST" should be your motto every pay day. It should be a habit from now on. Don't delay, don't say I can't do it now, don't say I'll save only after all my debts are paid. In short do not make excuses. Save at least 10% of your salary, do it every pay day. Is this something very hard to do? then you may start saving 5% of your salary then gradually increase it. It entails discipline, consistency and commitment to your goal. As what proverbs says "Money grows on the tree of patience". Spend wisely, at least keep a record of all your expenses each day and at the end of the day try to reflect which expenses are unnecessary and this time practice the gift of self-control. Les William said " the best way to save money is not to lose it". So control your spending habits by avoiding unplanned purchase.

Save your money in the right place, save in the investment vehicles that allows your money to grow at least 8 - 20 % annually ( you may start couching for the right investment company at www.icap.com.ph). Invest in a stable credit cooperative (for example CFI cebu). Avail of stable insurance that gives you protection ( Philam, Prudential and KAISER International). One must take note that the companies or corporations I am recommending here are examples of stable investment vehicles in the Philippines at present its up to you to make an in-depth research of their services. Why not save in the bank? the bank gives you only 1% interest annually, so isn't it wise to save or invest where these banks invest our money?. Earl Wilson said "money in the bank is like a toothpaste, easy to take out hard to put back". You may also start a small business that you love to do or otherwise use your core gift to earn extra income. (e.g if you are good in writing then work as a freelance writer and get paid, if you love cooking or baking then start making your own delicacies and sell them)

Do regular physical exercise, eat the proper kind of food, and give your self a good rest. I may sound like a doctor or health professional but remember the saying " Health is Wealth". Maintaining a healthy body and a healthy life keeps you safe from sickness and financial burden from hospital bills, doctors consultation and medicines.

Lastly, start giving. It is actually the law of nature," what you give comes back". So aim at becoming more generous especially to the poor and to the church. In gratitude we are human; in generosity we are divine: “You received without pay, give without pay” (Mt. 10:8). Give consistently no matter how small it is. Generosity according to Linda Popov is being aware that there is plenty for everyone. It is seeing a chance to give what you have and giving just for the joy of giving. Remember, multitudes of blessings will be at your door steps when you least expect it.

I wish this tips would give all of us an insight on how to save money not only for rainy days but also for our future ................... do you find this post hanging? do you want more? find out on my next blog on Achieving Financial Aptitude the Key to Financial Independence.