Monday, June 11, 2007

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.

3 comments:

Tingog said...

This post is enlightening. I get tips and ideas.

As your post suggest:

"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"

This is a great idea!

teehdurt said...

id like to know if you have an idea how much interest does cfi give for time deposits

weng said...

@ teehdurt

bro interest rates of your money save in CFI depends on the cooperative gains. each member gets fair share interest of money saved but im sure its more than 4% (this is already a very conservative estimate. sometimes it gets higher us high as 26% per annum