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At first, I was supposed to title this as “SIMPLE ways to save money”, then I realize it is not simple at all. You really need commit in saving and start minding your finance. This may take time and starting now is a smarter move, so let’s check out our list to get started.
1. List your expenses and start planning.
Be mindful of your expenses by listing it one by one, just to gauge your bottom line.
Lahat ng gastos mo from meals, pa isa isang bili sa tindahan, transportation, bills at iba pa. Ilista para makita kung magkano nga ba talaga ang nagagastos mo every day/week/month.
Then make a comparison on your earnings against your expense. May naiiwan pa ba sa earnings mo per month? When you know where your cash is going it will be simpler to make changes assuming you really need to.
2. Meal Preparation
Lessen your dine outs. Do you often order on food apps, online, take outs? Check out how much you spend per week, per month on those.
Start preparing your lunch for work. In short mag BAON.
3. Find ways to cut spending
Cut out all your small spending. Yes! Buying a coffee at a café per day is around P140.00- 190.00 pesos per cup and that is around P3,000.00 in average per month and P36,000.00 per year. Instead you can prepare your own coffee at home or at the office pantry.
Another example is buying chips and other junk food sa tindahan for P20.00-P30.00 a day is around P750.00 a month in average and P9,000.00 per year. Add that with other small items you buy here and there, medyo malaki na din.
Isa pa shopee budol, don’t get me wrong, Shopee is my go to marketplace. Before checking out think carefully if you really need that another pair of sun glasses just because it is on sale.
4. Avoid and Eliminate your Debts
From small debt like buying installment product or small things like make up in a 1 month-to-pay scheme. Sometimes, we impulsively buy because we don’t need to pay it immediately or because we pay it in smaller amount per month. If you can’t buy it in cash, then you can’t afford it just yet.
Start eliminating debts with your peers, apps, credit card, institution to have a clean start and a peace of mind. Deal with this first, to decrease and eliminate unnecessary interest. Inshort bayaran lahat ng utang.
5. Buy from second hand or accept hand me down
From clothes to home furniture. You can find most supplies from surplus or ukay tiangge and sometimes online. Also, it is not shameful to receive hand me down or join Declutter Facebook groups that offer free item that they don’t use anymore.
6. Stop your Vices
This is the hardest to stop, but if you calculate the amount of money you spend from this spending, it will make sense why you need to stop it. You can seek support with your family to help you take the first step.
7. Determine your savings goal
Visualizing your savings goal will inspire your to be consistent in your spending habits. Whether you are saving for a permanent home to stop you from renting, or a retirement.
Baby step, start with a small achievable goal like an emergency fund to bigger goals like a house.
8. Open a bank account
It is time for you to save up. You can start with a traditional banks or neo/digital bank with high interest rates.
It is also helpful if you can’t easily withdraw the money, so you will not be tempted to spend your savings anytime. I suggest open a passbook account with out an ATM card, to separate your savings to your daily expenses.
9. Make savings automatic
Deduct your savings first and budget the remaining amount for your daily expenses.
Let say your salary is P10,000.00 per cut off and you want to save at least P1,500 of that. Then you deduct the P1,500 of your salary and transfer it to your savings account immediately. Then the remaining P8,500.00 will be your budget for the next 2 weeks for your expenses like rent, electricity, grocery and others.
10. Monitor your savings
Monitoring your savings will give you a clear perspective of how you want to improve or adjust your finances. Create a spread sheet, using excel, google sheet or your notebook. Are you satisfied with what you save per month, will this be sustainable in a long run? Do you need to find extra side hustle to increase your cash flow.
The list above maybe the basic steps and for some of us we already know them. However, reevaluating how we handle our money as early as now is very important, bago pa tayo mabaon ulit sa utang.
The guide above are your baby steps, to take into consideration. Then from their let us discover other factors to help us save money in a long run.
Always remember that your health is very important, baka di kana kumain because your are saving money.
Please help our community improve the above list with your suggestions, recommendation and share your experience with us on the comment below.