Tuesday, September 9, 2008

Budgeting

Got this from a yahoo group, just want to share it to those interest....

Lecture of Mr. butch Salvador
Recorded / transferred /edited


BudgetingI believe this is one thing that a typical pinoy knows but always fail to apply. Especially now that Christmas is about to come where bonuses, 13 month pay etc. is awarded to most employees. Paano nga ba? It is actually so simple yet it would take a big amount of discipline to do it. Lets make it step by step para mas madali natin maintindihan. Now, lets not just know it but practice it.

STEP 1: know how much your monthly income is.I would assume here that everybody goes with a monthly budget. However, this budgeting system may be adjusted to whatever length of time you wish to.How much do you have is the question. This would be the first step because we couldn't really spend more than what we earn. Get all your resources together and find out how much do you really earn and capable of spending every month. This would come from your income, whether from a side line, business, salary, padala, supporta, galling sa tatay, nanay, bf, gf etc… basta yung regular na natatanggap mo bwan bwan. This will be your Monthly income. Ang total nito ang iyong magiging total monthly regular income.

STEP 2: List all your necessary expenses.Here we have to only list down "necessary" expenditures like bills, food, rent, maintenance… yung mga gastusin na hindi mo na pwedeng hindi bayaran. Wag tayo mandaya at ilagay ang shopping ditto at e justify that we really need it. After listing this, get the total amount and name it monthly necessary expenditures.

So now we have :
MONTHLY INCOME
MONTHLY NECESSARY EXPENDITURE

Now, you must not have expenditure more than your income. Hindi po pupwede na mas malaki ang gastos sa kinikita o natatanggap. And incase that it is more than the income , then you are in trouble! You must adjust and reduce whatever expenditure you have to make it fit your income. Kung nag air con ka, aba eh di mag electric fan muna… o kung nag FX ka, eh di jeep muna…at kung may gatas ang kape mo…. Black coffee muna. O baka naman pwedeng hot water muna… WHY? Eh hindi kasya eh!!! Wag mo pilitin kung hindi kaya.

Hindi po kulang ang pera nyo! Kulang kayo sa disiplina! Money was never the answer! If you think it is, then you are no different with people who makes welga welga on the streets! Asking for additional pay! Budgeting at disiplina ang kailangan natin!

Pilipinos always borrow money to catch up with their expenditures. Did you know that 70% of what we buy isn't really necessary? Bibili ka ng plastic container na maganda kulay , tapos iisipin mo… san ko kaya pwede gamitin ito? Mali di ba?

So, reduce and make it fit to your income and LESS! Kung maigsi ang kumot… mamaluktot.

STEP 3: Yung iba titigil na dito, kasi ala na eh,,, ubos na budget… wag po lets continue with the 3rd step. Meaning, dapat adjust natin an gating gastusin. Youll see, in doing so, youll realize that you may transfer other unnecessary expenses to necessary or useful expenditure.So the third step is yun nay un… ADJUST YOUR EXPENSES.Here you will see na madami ka palang nawawalang pera na hindi mo alam saan mo ginastos. Can you relate? Do you often hear you say "bakit naubos yung pera ko dito? Ano ba yung binili ko?"again… NECESSARY LANG HA! Then adjust.

So, we have a list of necessary expenditures, total monthly income that must be over the expenditure and we have adjusted our expenses.

STEP 4 is dapat may sumobra… or there has to be an excess Ganito yun…you must adjust the expenditure that there must be an excess amount. Now, I am sure. This is possible. Let me illustrate: sa P15,000.00 / month na income…

INCOME: P15,000.00

EXPENDITURE:
Electric bill: 1,500.00
Water bill: 500.00
Cellphone: 600.00
Palengke: 3,000.00
Grocery: 2,000.00
Rent: 3,500.00
Mineral water: 300.00
Etc… : 600.00 PWEDE! Pero kaya pa I adjust…

Bawasan ang cell phone: (kaya naman eh…)

RULE: KUNG HINDI KAYA …. WAG! Hindi naman kayo mamamatay kung dalawa lang pantaloon mo eh… o ipa repair mo pag nasira eh… o kung luma cellfone mo eh… did u know that I saw mr. gullermo luz at makati… a year ago… naka 5110. KABAYAN… hindi na baling mukha kang walang per. Ok lang yun.

TEKA, lets sum up and review… May INCOME, GASTUSIN na dapat naka pasok at tama lang sa natatanggap at DAPAT MAY % na hindi dapat galawin para sa savings or investment.

STEP 5: INVEST; Inegosyo mo yung sosobra (actually , the capital isn't necessary . You can start a business even without capital). If you do not have excess and no capital… I advice, MAKI NEGOSYO! Tamad lang ang ayaw gumawa nito. THERE ARE LOTS OF BUSINESSES THAT NEEDS MARKETING! Go to a village that is being developed. Talk to the architect, ask their requirements… tapos lumapit ka sa isang HARDWARE at hingan mo ng COMMISSION. O… ano puhunan dun? O kaya sa mga ka groupo, ka opisina, kapitbahay na may negosyo… DUDES , ANG DAMI NYAN!

I hope your getting the picture. ..

STEP 6: what to do with your extra income… O TEKA… HINDI SHOPPING. STILL live within the old budget. Thets the problem we pinoys have, pag may sumobra… gagastusin. NO! NO! NO!

You were able to live before with that amount, still live with it. Set aside your extra income and if you find whatever business you went into doing good… then use the money and invest it on that business since you have already seen a market for that business na "NAKI BUSINESS KA".

STEP 7: ADD TO YOUR LIABILITIES , HE HE … eto ang masarap. If you start generating extra income from your investment. You may now get a percentage of that income and add it to your budget. This means… you may already buy that new jeans you've always wanted… or that shades that adds pogi points… well… maybe, as long as it fits to that percent. But most importantly, you are elevating. If before burger mc do ka lang… aba, ngayon… quarter pounder na… (tagalan mo pag nguya ah… feel it).

If you want to be financially free, then start now! Discipline yourself and your family. Explain this to them . It is so hard to change PINOY values when it comes to money. Especially if it has been handed down from generations to generations… but it has to change. And it has to change now! Do not save for something you want to buy, instead, save for an investment. And you'll see how this would change your life.

Life is more important than money… but you need money to support life. Don't love money and work for it for the rest of your life… instead, plan your financial future. Create a money source that will be there even as you grow old. Don't rely on others investment, plans, projects… but study a system that you can run and pass on to your children…



3 comments:

Dyes said...

hi anna!

thanks for sharing. timing na timing! we're still in a heated discussion on how to budget eh :)

Paige said...

The trouble with me is determining what my monthly income is. That is because I get some bonuses and incentives at the end of the quarter and sometimes I make mistakes in estimating how much I will get.
So now I just move the incentives directly to my savings account without a second thought!

mari said...

hi anna,

i reposted this sa blog ko :) hope okay lang.

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