Last night while I was watching Shop Talk in ANC, a sister company of ABS-CBN, I was inspired to write and share their topic on this blog. Maybe it can help us saves and we will be more aware of our finances.
One of that interest me most is the book of Mr. Alvin T. Tabañag,
One of that interest me most is the book of Mr. Alvin T. Tabañag,
The 12 Steps to Build Wealth are the following:
1. Understands and overcome the obstacles of building wealth.
2. Know what you want and dream big.
3. Find out what you are and what you have.
4. Making saving a lifelong habit.
5. Spend your money wisely.
6. Get out and stay out of debt.
7. Find ways to earn more and to save more.
8. Prepare for life's financial challenges.
9. Plan for a hassle free and comfortable retirement.
10. Grow your money through smart investing.
11. Take care of health to enjoy your wealth.
12. Share your blessings and receive more good things.
There are two strategy in spending wisely that can teach us about money. The "save and buy strategy" and the "trial system".
The save and buy strategy, he says if we want something like a appliance and we don't have enough money to buy it, even if we have credit card to charge it, we will not immediately purchase the said appliances until we have enough savings to pay for it. He even says that " it is much satisfying if we bought something that we do not regret buying because we're thinking of how we're gonna pay for it."
The trial systems is applicable if were planning of buying a car through bank financing, which has a monthly installment. He says we should try first to remove the monthly installment from our income at least for six months before we should buy that car. Example is, if the monthly installment isP20,000.00, we should try and live for 6 months without it and if after our assigned time frame and we can do without it then its time to buy it, by this time we'll have extra money for downpayment and other expenses.