5 Tips in Family Money Planning by Adoniemar Doliguez

Base on our world this century many of us really find and look for a job, in order to sustain the income and to buy all of our needs. In the survey that I conducted I ask 100 persons about “What is the purpose of having a job”

56% - To Help Our Family

24% - Self-Worth

9% - To buy everything you need and wants

5% - To survive

6% - OTHER ANSWERS  

Many Filipinos really are family oriented as the survey result 56% of Filipino said they wanted to help their family income, while 24% state that it is a self-worth for them and 9% say that they wanted to buy everything they need and wants and 5% says in order for them to survive while the other answers are in 6%. According to the Magazine of Good Housekeeping “Money Starts at Home. Keep your family’s budget in control, while honing savvy saving and spending habits”. Every cent counts, that is one of the motto of every Filipino family, but the fact is few people pay attention in this phrase, the fact is money can really hurt us. In what I have learned in the saying yesterday is history, today is a gift and tomorrow is mystery, so we need to plan ahead because we don’t know what happen next. As a tip, you must start educating your family in finance. How? Here some tips

First, Have a Family chat or Meeting and your agenda are your family income. It is very important as a family to have a conversation with each other, and the one who will certainly conduct this meeting is the mother or the father or shall we say the one who always manage the family. Then take down notes all your family income, if you have children that are teenagers have them sit and listen as you talk your income, it is very important to child to know the circumstances of your family, if your child is too young, then talk to your partner. But if your child have already a job ask them to join the meeting.

Second, let every member of the family take down notes their plans, wants and goal. Every one of us have our own goals, plans and wants. It is not bad to have it but dwelling in any circumstances to be in a great debt it can really hurt us and it can also destroy us in our dignity, so we need to plan! After listing all the plans, wants and goal, have an individual discussion in your family that this is your want, plans, and goals. After discussing all your goals,

Third, discuss a percentage distribution or spending plan. During my first year of job, it quite difficult on my part to have a monthly income of 6,800.00 pesos, less the SSS, pag-ibig fund and others with, so I have a basic pay which is 5,800.00 pesos. Because of this  I need to spend it wisely in my thesis project, my nephew schooling and allowances, apartment, my allowance, my bill, and most especially my personal necessity. Then an idea came up in nowhere in my mind that I need to have spending plan. So what I did I plan to have a percentage in my basic salary. See the sample below:

PERCENTAGE INCOME BASIC: 5,800.00
OBJECTS	PERCENT	AMOUNT
Food	30%	1,740.00
Apartment	10%	580.00
Emergency	7%	406.00
Nephew Allowances	10%	580.00
Bill	13%	754.00
Allowance	15%	870.00
Goals, Plans and Wants	15%	870.00

Through this it really help me a lot in my budget throughout the years, and the good news is if you really stick to the plan you won’t have any debt to think because you already have a budget. You can change the objects and Percent as you wanted.

Fourth, Have a family little business. Having a business is not really bad, actually it could really help your family income. Through this have a discussion to your family about an idea of having a business, but always remember that business should be business. An example business is that something that you have that others don’t, example you are really a good cooker, so plan business which is a cooking business that you only cook if there is an order. Another one is that you really love clothes have an online boutique and sell them with your friends. Just always remember, if you have a passion in business then plan a head but if not, don’t waste every cent in your family income.

Fifth, How much should we save and how do we allocate our savings?, According to Henry Ong, director of registered Financial Planners Philippines he share this 5^th tips, we need to encourage each family members to save regularly. Make it a habit to practice to pay yourself first by depositing a portion of your regular salary to savings before using the rest expenses. Allocate savings for giving, investing, and for emergency funds also.

In this tip I hope you will have a successful family budget. Because money is family matter. Each member of the family should understand his or her role in reaching a common goal for everyone to be financially independent. Regularly set a time together to discuss the family financial situations.