To be in your 20s means you still have a lot of time to work and save money. Unfortunately, many Pinoys do not save. They waste all their income on unimportant and fleeting things (“sa mga walang kwentang bagay”) when they should invest or save a part of their salary for the future.
Here are 25 tips that you can apply in your life to start saving right away:
Set Up Your Savings:
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1. Set aside money for things that can help you in the future. For example: emergency fund, life insurance, and investments.
2. Set a daily allowance for your transportation, food, and other necessities, and a little extra money for emergencies. Bring *only* that daily allowance when you go to work.
3. Set a savings target amount, and make a long-term plan to save that amount. For example: If you want to open a P10,000 investment account in 3 months, set aside P35 every day for 3 months.
4. Set a deadline for each savings goal and mark it on your planner or
calendar.
5. Use a smart phone app such as *Monefy * to record all your daily
expenses.
6. Open a savings account separate from your payroll ATM. If possible, open a passbook account without an ATM card.
7. Do automatic transfers from your payroll to your savings account to avoid temptation to spend (*para makaiwas sa tukso*).
8. Talk to a financial expert and ask what type of investment is best for you. It can be stocks, money market, mutual funds, etc.
Shop Wisely:
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9. Always prepare a grocery list before going to the grocery store.
10. Keep a checklist on your phone of items you need to buy at the mall so you buy what is necessary.
11. Cut back on expenses that are not important, such as expensive coffee, so you can save money.
12. Watch out for promos and incentive programs for things you need to buy, such as toilet paper, and other regular supplies. Set aside money to buy in bulk (*maramihan*).
13. Cut your credit card. If you will not use your credit card for business, always pay in cash instead.
14. Do not buy something when you can borrow, such as books.
15. Buy prepaid load for your phone. It is only ok to get a postpaid plan if you will use it for your business.
16. Keep a list of cheap restaurants with delicious food on your phone. Do not eat in expensive
restaurants.
17. Invest in high quality clothes that you can wear again and again for many years; buy from good clothing brands such as H&M. Prioritize timeless and flexible designs.
Change Your Lifestyle:
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18. Save money with the help of your friends. Save money on gasoline by car-pooling. Save money on food by cooking meals and eating together.
19. Do not go shopping or eating out on your free time. Think of how you will earn more money instead.
20. Cook food in bulk on Sundays and bring packed lunch (*baon*) to work.
21. Take care of your health. For example, take vitamin supplements so you will not get sick.
22. Limit your entertainment expenses. Find cheap ways to enjoy with friends and family. For example: playing board games and watching free movies.
23. Read and listen to experts on personal money matters, especially Filipino mentors like Francisco Colayco and Chinkee Tan.
24. Copy the habits of rich people who are careful in spending their money like Lucio Tan. Don’t copy celebrities who spend a lot of money on luxury (*luho*).
25. If you want to spend on luxury, earn more money by getting a sideline.
Filipinos like to live like a millionaire for a day, but if you start saving and investing your money now, in the near future, you will be a millionaire for life! Don’t waste any more time and start saving now!