INQUIRER.net
First Posted 06:15:00 11/04/2008
Common Pnoy psychology when receiving additional money or the money itself is to think of what he can buy out of it. Very few think of saving or doing the things that experts will advise. The following are the things that we could do with our 13th month pay and of course, to our bonus.
1. Pay off debt. If you have substantial credit card debt or other forms of debt, use your 13th month pay to pare down this debt. This will help you shorten the paying period and lower your interest expense. Being debt-free is liberating and will improve your financial standing.
2. Save. If you haven’t started a savings fund at all, this is the time to do so. We’re up for uncertain times ahead financially because of the global financial slowdown, so save when you can. Use the full amount of your 13th month pay to jumpstart your savings fund, or if you have other needs to meet, save at least 10 to 20 percent of your 13th month pay.
3. Invest. Saving is putting away money for the future. Investing is making that money work for you. If you put your money in investment vehicles, it is possible to earn interest or yield on it without you having to put extra work in. Examples of investments you can go into using the amount received as your 13th month pay include: time deposits, mutual funds, unit investment trust funds, and equities or stocks. Time deposits give a higher rate of return than savings accounts, but your money will have to be locked up for the entire term (e.g., 30 days, 60 days, 360 days, etc.). You can have a more diversified investment portfolio using mutual funds and UITFs which are available through financial institutions and banks, respectively. With these, you can invest for as little as P5,000. Mutual funds and UITFs come in different forms and may invest in fixed income instruments, bonds, or stocks, or a combination of these. With direct investment in stocks, on the other hand, you may take your pick of a company stock and invest for the long haul even with just the minimum board lot (minimum investment required). Investments come with certain risks, so study the matter thoroughly before jumping in. We recommend consulting with an investment specialist that can help you determine your risk appetite and investment horizon – two critical things to know before you get started.
4. Start a small business. Yes, you can do this even with just a small capital. Use your 13th month pay, for instance, in buying ingredients and start a cupcake business you can attend to during the weekends. If you like fashion, buy clothes wholesale in bargain centers or have clothing apparel subcontracted then sell these to your friends and officemates. You may be surprised that some businesses can be started with just P5,000 to P30,000 in capital. Even at P500 one could start a small business.
5. Share. The Christmas season is a time for giving and sharing, so why not share your blessings? Many orphanages would be happy to receive a donation for orphaned kids. Some organizations like World Vision and UNICEF also let you sponsor a child’s education for as little as P450 a month or meet their needs in other ways. There are also a lot of people needing medical help, and it will be a blessing to them if funds can be coursed through organizations like Kythe, among others. Those are already five wise ways to spend your 13th month pay, and we haven’t included shopping yet. Think about it and decide wisely.
Related Site:
Citibank
First Posted 06:15:00 11/04/2008
Common Pnoy psychology when receiving additional money or the money itself is to think of what he can buy out of it. Very few think of saving or doing the things that experts will advise. The following are the things that we could do with our 13th month pay and of course, to our bonus.
1. Pay off debt. If you have substantial credit card debt or other forms of debt, use your 13th month pay to pare down this debt. This will help you shorten the paying period and lower your interest expense. Being debt-free is liberating and will improve your financial standing.
2. Save. If you haven’t started a savings fund at all, this is the time to do so. We’re up for uncertain times ahead financially because of the global financial slowdown, so save when you can. Use the full amount of your 13th month pay to jumpstart your savings fund, or if you have other needs to meet, save at least 10 to 20 percent of your 13th month pay.
3. Invest. Saving is putting away money for the future. Investing is making that money work for you. If you put your money in investment vehicles, it is possible to earn interest or yield on it without you having to put extra work in. Examples of investments you can go into using the amount received as your 13th month pay include: time deposits, mutual funds, unit investment trust funds, and equities or stocks. Time deposits give a higher rate of return than savings accounts, but your money will have to be locked up for the entire term (e.g., 30 days, 60 days, 360 days, etc.). You can have a more diversified investment portfolio using mutual funds and UITFs which are available through financial institutions and banks, respectively. With these, you can invest for as little as P5,000. Mutual funds and UITFs come in different forms and may invest in fixed income instruments, bonds, or stocks, or a combination of these. With direct investment in stocks, on the other hand, you may take your pick of a company stock and invest for the long haul even with just the minimum board lot (minimum investment required). Investments come with certain risks, so study the matter thoroughly before jumping in. We recommend consulting with an investment specialist that can help you determine your risk appetite and investment horizon – two critical things to know before you get started.
4. Start a small business. Yes, you can do this even with just a small capital. Use your 13th month pay, for instance, in buying ingredients and start a cupcake business you can attend to during the weekends. If you like fashion, buy clothes wholesale in bargain centers or have clothing apparel subcontracted then sell these to your friends and officemates. You may be surprised that some businesses can be started with just P5,000 to P30,000 in capital. Even at P500 one could start a small business.
5. Share. The Christmas season is a time for giving and sharing, so why not share your blessings? Many orphanages would be happy to receive a donation for orphaned kids. Some organizations like World Vision and UNICEF also let you sponsor a child’s education for as little as P450 a month or meet their needs in other ways. There are also a lot of people needing medical help, and it will be a blessing to them if funds can be coursed through organizations like Kythe, among others. Those are already five wise ways to spend your 13th month pay, and we haven’t included shopping yet. Think about it and decide wisely.
Related Site:
Citibank
4 comments:
Hi Sir,
I was so happy to find a principal like you doing blogging. I will contact you sometime.
Meanwhile, i invite you to visit my blog http://depedteacher.blogspot.com. You might help me answer some teachers questions that require principal's answers...
Ps. may i ask you email address
May i ask you to give me a link from your blog.
http://basiceducationprincipal.blogspot.com
thanks you
Sir, can you help me answer this.
http://depedteacher.blogspot.com/2007/11/new-prc-board-exam-site.html
May i ask, when i applied in a public school, they texted me for exam. so i went for an exam but they didn't text me for demo. Is it my responsibility to make a demo eventhough they are not asking me to do so? I didn't make a 50 points because they didn't inform me to have a demo
Hello Jobette,
There are some missing info about your questions. I just dont know the procedure in your area but you can txt me at my number so that i can send you the DepEd Order and Memo about your concern.
This may help. You may contact me at 09195546726 during office hours only.
Very truly yours,
Gilbert M. Forbes
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