5 Tips to Be More Frugal

Frugality is living simple and below your means or income. Being frugal is not my nature. Being frugal is what I want to become and live by. Being frugal is not an easy journey for me since I was exposed to being materialistic.Knowing the struggle, I undestand why many shopaholic wish to change and be more frugal, but they find it hard to change. I'm creating this article especially for them.Like many, I am attracted to material things. But over the years, I'm practicing a simple, less materialistic and more frugal lifestyle.My attraction to material things rooted back when I was little kid. Growing up, my mother used to bring us along to her office work in the City.In the city, I saw how well dressed the people are. From their hair, make up, clothes, shoes, bags and many other nice things. They all look rich and successful. At a young age such visit to my mom's office influenced my decision to take up accountancy. Because somehow I wanted to be that well dressed … [Read more...]

How to Make the Habit of Saving Instead of Spending?

It's not how much money you earn.. It's what you do with what you earn.If you are living in the city, a place where several malls are conveniently located closed to your home or office, there is temptation to spend more, instead of saving or investing. If there are mall sales, it makes it more tempting to spend. I remember a time when I was still newly employed. Freshly out from school, finally earning my own money, my financial habits was to spend more than I save. Initially, my salary was minimum wage, as such, it was just enough to spend it for my basic needs, such as food, transportation, basic clothing, while the rest, I give it as allowance at home. But as I stayed in the company, I was exposed to watching movies on weekend, dining in to expensive restaurant, seeing branded clothes, bags and shoes, traveling to places, expensive gadgets such as cellphones and laptops, and many more list of things to spend. In the beginning, I wasn't attracted to it, but later on I started to … [Read more...]

How to Manage People in Your Own Business?

Starting your own business is a brave act of letting go of your comfortable and monthly income. But aside from conditioning yourself that you are ready (mentally, physically, financially and emotionally) to be a full time business owner, did you also think about and prepared yourself on how to manage people?When I started my own business, I thought I already know how to manage people since I’ve had experience supervising people when I was employed in a private company. It was only when I already started running the business and managing people as a business owner that I realised I wasn’t that equipped yet on how to manage people as I thought I was. In fact, in the first three (3) years of the business, I think I managed the business and the people not as good as I wanted to. I made a lot of mistake that took a couple of years to correct. But fortunately, the company was able to continue and correct those mistakes. Somehow, in the present the company has still areas to improved, but … [Read more...]

Create a Financial Plan

If money is evil, try poverty. Many people believes that money is not important. Yet they cry in poverty and complains their financial difficulty. Lack of money brings stress into their lives. Furthermore, some people thinks that money is the root of all evil. They believe that having lots of money causes many unfortunate event and problem.What most people don’t know is that money is important, and that lack of money is often the root of all evil doings. Oftentimes, the reason why there are lots of crimes in our environment is money. Evil doers rob people in the streets, houses, banks, establishments, etc. in order to gain a little money.The bad thing about not having money does not only causes street crimes, but also wrongdoings at home. Such as when we spend more time outside our home working, not being able to look after our children and family, in order to earn a little money.Sometimes, we even bring our money problems at home. We become irritable and hard to deal with … [Read more...]

Measure of Wealth: How to Determine Your Net Worth?

Most people measure their wealth or richness based on the assets they own, such as house, car, clothes, jewelry, watch, electronic gadget, etc. The more material things they acquire, the richer and wealthier they think they are.However, the true measure of wealth or richness doesn’t rest upon the assets you own, but on net worth. The Real Measure of Wealth and RichnessNet worth represents the total assets you own less the total liabilities you owe.  NET WORTH = TOTAL ASSETS - TOTAL LIABILITIES  As mentioned, total assets pertain to all the tangible and intangible properties you were able to buy or acquire. On the other hand, total liabilities refer to the amount of obligation or money you owe an individual or organization – such as financial institutions, banks, credit card companies, etc. – in order to purchase your assets.  Sample Illustration # 1: Financially Poor You purchased a luxurious house and lot worth $100,000. And in order to pay … [Read more...]