Start saving now

One common problem of us Filipinos is we don'r save or we don't have enough savings. Why? We always reason out we don't earn enough even to make ends meet. Kadalasan sinasabi natin na hindi sapat ang kinikita natin para sa pang araw-araw na gastusin. Kalimantan nagkakautang pa nga dahil hindi umaabot ang pera bago dumating ang sunod na sahod. We end up borrowing money because we usually run out of money before the next payday.

Why is it important to have a saving

Let me share you my story. I started writing this in a hospital while my two-year old son is being treated for urinary tract infection. Not a very good timing for current financial status actually because...

1.  I quit my regular paying job almost a year ago.
2.  For a few months,  I have been receiving a certain amount for the property that was sold by my brother, unfortunately it is now delayed for three weeks.
3. Last month, I went over my.budget, which almost depleted my savings in my bank account
4. I had been expecting some good amount as a commission from a big telecom company. Unfortunately, I learned earlier that it may never come because of some credit grabbers and unclear management policies of that telecom company.
5. I haven't got a new client since last month.

We may needed PHP 10,730.00 to cover the hospital bills. Hopefully, less the PilHealth coverage.
Was I worried? Not really... Maybe a little. Why? A year before I quit my job, I started investing in the stock market. It wasn't much, just a thousand a month. I admit though that there are a couple of months or so that I missed.  But the amount that invested there gained more than 30% which is more than enough to cover the hospital bills. Thanks to my subscription to Truly Rich Club, I got a daily guide where to invest my money to.

So, kahit paubos na ang pera ko sa banko, nagpapasalamat also at me investment ako sa stock market n.a. pwede kong ibenta.

Not Enough.

One thing I realized (and regret)  though, I shouldn't have stopped investing even after I quit my job. Well on the other hand, I also invested on 105 square meter property. My point is, I shouldn't have stopped investing. Why? Though I have enough to pay for the hospital bills for now, it would take me some time to regain the amount that I amount I have to use.
Just imagine, if I have not stopped investing in small amounts, I might have invested about PHP 30,000.00 or more already. Since I gained at least 30%, I would still ha about PHP 10,000.00 left in my investment.  The lesson is, no matter how difficult, I should set aside at least 500 to 1,000 pesos monthly for my investment, on top of my real estate investment.

What if I don't earn enough?

When I first read an article like this, the biggest question that came to my mind was "What if I'm not earning enough?"  A practical answers to this question is to simplify your lifestyle, cut down your expenses and START SAVING! At least this is what the experts would say.

However, what if, even after cutting down your expenses, kulang pa rin ang kinikita mo? Anong gagawin mo? Ang sagot dyan, pag gusto mo, me paraan!

If there's a will, there's a way!

Find The Reason To Save!

In one of the teachings of Bro. Bo Sanchez, you must find your 'emotional why'. In my own understanding, in order to do this, your reason to save must be beyond the material purpose.

For example:

1. I want to save because I want to buy a DSLR camera.
2. I want to buy a DSLR camera because I want to enhance my photography skills.
3. I want to enhance my photography skills so I can offer my services for a fee and/or sell my photos online.
4. I want to offer my photography services or sell my photos so I can earn more money.
5. I want to earn more money so I provide more than enough for my family now and secure  their financial needs now and the  future.
6. I want to provide more than enough for my family now and prepare for their future because I love my family.

For some people, they stop at reason no.1. Not bad, but what then after spending all your savings in buying the thing(s) you want? If you stop here, you end up with no savings afterwards. But if you jump to my reason number 6, which is my "emotional why", it is my ultimate reason behind the first five reasons. Furthermore, if you analyze the 5 reasons, I have also laid out how you can start saving, even if your earning is not enough at the beginning.

1.  I want to save because I want to buy something that would be an additional source of income. 
2. Reason number 5 actually refers to protection (insurance) and investments which I will explain further in future blog posts.

In my previous post (You Can Make Your Money Grow) I made a challenge if you can save at least PHP 30.00 a day, that's even less than a dollar a day. After reading this, can you make it PHP50.00 a day ($1.00).

I know for some this is very easy. Soon I will share to you how you could make that savings grow. The important thing is START SAVING NOW!


Credits:

two of the images above are from Pixabay