By: Gilbert M. Forbes
Financial Wellness, Stewardship Advocate
DepEd Quezon, CALABARZON
Suddenly, your washing machine runs out of order. Then in just a couple of minutes the CPU of your desktop computer. As if your day turns to a bad fate, your DVD player too. What will you do then? Its still a week earlier before the pay day. And even if it so, your net salary is just enough for a living.
It would of course be not a big problem if you have a withdrawable savings account in times of unexpected events like this. This is the so called irregular expense savings account. A savings account intended for seasonal needs, including emergencies, tuition fees, birth day party, fiesta etc.
With an irregular expenses account, there would be no problem in looking for money in times of emergencies and seasonal needs. Most of all, you will not be tempted to apply for a loan and have debt. Of course, having debt will mean you have to pay it later including the interest and its impact on your monthly income would certainly be great for it will mean decrease in your buying capability instead of increase. But this can be avoided.
Personally, it just happen to us for this year is a good year. One by one, our household appliances just broke. The first were our two stand-fan and desk fan last summer. Then, just more than a month later, our washing machine, then our CPU and CRT monitor and just recently, our two-burner stove was discovered to have a leak.
Just try to imagine if you have no extra cash for the said appliances repair and replacement? What will you do? For me, I took the zero interest credit facility to purchase a 16-inch LCD PC Monitor and TV into one at Php3,499.00 only payable for three-months.
You might ask, so you fall into debt. Yes but its a good debt because we could have paid it in cash but instead of paying it at once, we used first our budget for it from our buffer fund for leverage. The double burner gas stove will follow after paying in full the said monitor.
These are just simple things. It still doesn't include quite serious matters as family sickness and destruction brought by both natural and man-made calamities. You are the one to decide folks.
But one thing is sure. We can make things simple or complicated depending on our choice. So what is your choice then?
You may also like to attend our free virtual seminars via zoom by registering at https://402183ph.imgcorp.com/attendance, https://402183ph.imgcorp.com/home/workshop or reading more below:
Financial Wellness, Stewardship Advocate
DepEd Quezon, CALABARZON
Suddenly, your washing machine runs out of order. Then in just a couple of minutes the CPU of your desktop computer. As if your day turns to a bad fate, your DVD player too. What will you do then? Its still a week earlier before the pay day. And even if it so, your net salary is just enough for a living.
It would of course be not a big problem if you have a withdrawable savings account in times of unexpected events like this. This is the so called irregular expense savings account. A savings account intended for seasonal needs, including emergencies, tuition fees, birth day party, fiesta etc.
With an irregular expenses account, there would be no problem in looking for money in times of emergencies and seasonal needs. Most of all, you will not be tempted to apply for a loan and have debt. Of course, having debt will mean you have to pay it later including the interest and its impact on your monthly income would certainly be great for it will mean decrease in your buying capability instead of increase. But this can be avoided.
Personally, it just happen to us for this year is a good year. One by one, our household appliances just broke. The first were our two stand-fan and desk fan last summer. Then, just more than a month later, our washing machine, then our CPU and CRT monitor and just recently, our two-burner stove was discovered to have a leak.
Just try to imagine if you have no extra cash for the said appliances repair and replacement? What will you do? For me, I took the zero interest credit facility to purchase a 16-inch LCD PC Monitor and TV into one at Php3,499.00 only payable for three-months.
You might ask, so you fall into debt. Yes but its a good debt because we could have paid it in cash but instead of paying it at once, we used first our budget for it from our buffer fund for leverage. The double burner gas stove will follow after paying in full the said monitor.
These are just simple things. It still doesn't include quite serious matters as family sickness and destruction brought by both natural and man-made calamities. You are the one to decide folks.
But one thing is sure. We can make things simple or complicated depending on our choice. So what is your choice then?
You may also like to attend our free virtual seminars via zoom by registering at https://402183ph.imgcorp.com/attendance, https://402183ph.imgcorp.com/home/workshop or reading more below:
