Money and Sensibility

All of us need to save money nowadays. Money doesn't grow on trees. Yeah yeah, we're tired ot people telling us these things. But we still keep on falling into the rut of financial chaos.

Lessons learned from the past. I switched back from plastic to paper money again.

1. Money disappears fast -- it's easy to spend. 100 pesos nowadays is nowhere near the 100 pesos something to snort at. Write your expenses down, big or small, in a handy notebook. Plan big expenses ahead of time.

2. Spend half of your money and save the other half for a rainy day. (easier said than done, ha!) There is big value in setting up a separate ATM account to hold your savings money. Segregate it from your payroll account.

3. Never spend more than you earn in a day. Set a daily limit. A low daily limit -- transportation fare + simple lunch/merienda/dinner -- and refrain from treating groups of people. And if ever, wag yung laging ikaw. You're not rich, tell yourself that.

3a. Don't treat other people who do not know how to return a favor of goodwill to you. Pag ikaw naman ang may kailangan, hindi ka nila matulungan. Be fair to yourself and rid yourself of these human leeches and fairweather friends.

4. Credit cards are evil. They give you a false sense of security. NO YOU DON'T HAVE MONEY FOR THAT GUCCI BAG. NO YOU CANNOT AFFORD THAT. Don't fool yourself. And even if you did have money, and you happen to be a busy person who has no extra time to make a career out of juggling credit card statements, then your best friend is a pair of scissors. I cut in half all six or seven of mine.

5. If you have no money today, sorry ka. Since you just need to survive, borrow only what you need for today. Look for someone to borrow money from, but only in order to EAT to survive, or get home. But don't overborrow from a friend for expenses anticipated for next week -- OA ka na. Magkaroon ka naman ng kahihiyan, nagigipit rin ang ibang tao. That is abuse of friendship. And pay personal loans on time. Pray. God will somehow provide.

6. Refrain from lending especially those with a history of sleazy debt repayment patterns. Kung palpak na ang pagbabayad nila before, be more careful now of their motives. Kung maiiwasang magpahiram ng pera, you can avoid potential problems in your personal relationships. Lend money only on the basis of whether you trust the person or are confident in the repayment skills of the borrowing party. You wouldn't want to end up financially devastated just because of other people's problems. Kindness in lending money won't get you elected. A failure in collection will just make you angry, bitter and make you lose your control and sensibility. Ikaw na ang nagpahiram, ikaw pa ang naniningil, ikaw pa ang masama.

I still try to be kind and generous to others, whenever, because it brings good karma. Just have some self-restraint, and don't overdo it. Been there, done that. It's never a pretty sight.