Simple Money Smarts

You don’t need a math degree to learn how to make your allowance add up.

1. Pay yourself first.

Instead of saving what you have left over from your allowance, set aside a specific percentage as soon as you get your money. Or better yet, stash this in a passbook savings account to avoid loss and impulsive withdrawals.

2. Think long term.

Consider enrolling in a long-term time deposit or a managed investment account.  You can try from available products where you pay a set amount for a certain period of time to pay off your premium and then leave your money there until it matures or until you need it– to buy your first car for example. Explore your options to find the plan that fits your purse.

3. Sweat the small stuff.

Learn to spot and stop the money leaks. It’s often the small hidden costs that keep you broke: your mini-message texting habbit (“k”, “c u” or “bye”), upsizing your drink (ask for water if you’re still thirsty), waiting in the car with the AC and engine on and the list just goes on and on…

4. Keep the change

Drop your 25 centavo or P1 peso coins into a can. It’s a simple act that can yield great results- P1300 is the average capacity of an aluminum can! And did you know that malls accumulate up to P200K daily because customers usually don’t mind the few extra centavos in their change?

So, try out these money smart techniques and avoid being penniless in the next days to come, while enjoying those ‘extras’ for yourself! (Adapted by Jessy Pearl from Seventeen Magazine Philippines)