Saving on Long Distance Calls
January 26, 2010
My family is mostly in North America. In the past years, I used to pay over $0.40 per minute every time I call them up to check on them. Even my cellphone company that offers up to $0.10 per minute got way too expensive for me. It took a while for me to realize that there are lot of options aside from the usual long distance or IDD packages. Even calling cards have become too expensive and not really worth it.
I have a friend to thank for introducing me to Skype.Com. Skype is an instant messaging tool that enables users to chat, make video and audio calls with other users. Other programs like MSN Messenger and Yahoo IM do the same things but Skype has proven to be the fastest and most efficient one for me.
You can even make calls to actual phone using Skype (for a minimal fee) but I strongly suggest using the free service which is Skype to Skype calling.
My mom knows how to use computers and is now definitely on Skype all the time. I get to talk to my friends and family at no additonal costs on top of my monthly internet fee– at the same time, I enjoy clear and static free connections.
I no longer get frustrated when I could not hear the other person on the line when using a land or mobile phone. I no longer get upset over poor signals and cut calls. Every time a call used to get cut over the phone, one thing I really though about would be the waste in minutes. Every second counts and anything above 10 seconds is billed as a minute.
Through Skype, if it gets cut, all I need to do is dial again and not worry about additonal charges being billed to me.
I have saved so much in the past year that I have been “Skype-ing” with my family. My phone bill has gone down by almost 50% since I started using Skype. The money that I’ve saved has gone to other expenses and some to augment my savings.
So instead of using regular phone lines, mobile phones or call cards — try using online services instead. It is still cheaper to pay P25 (pesos) per hour to use the internet than to pay P100 (pesos) for only 10-20 minutes worth of phone time.
A review of 2009 Goals
January 25, 2010
Last 2009, I made a list of actual financial, career and business goals. Here is what actually happened to those:
1. Find more freelance work to earn more:
2009 did not bring me a lot of freelance work, just a few engagements since I was very very busy!
- managed to teach a few more self defense classes and make some money out of those
- did a few interviews for radios and research projects (LGBT related work) which did pay a some fees (quite unexpectedly)
- a bazaar that I joined. we were able to make a good profit out of selling stationery and handmade notebooks.
- few baking orders came in as well but were not enough. I also made a bit selling my father’s Siopao.
2. Close a book writing contract
- FAIL! (wasn’t able to do this–the book I revised and edited in the end of 2008 won’t be printed til the moddle of this year.)
3. Close another book editing/revision job
- FAIL! (wasn’t able to do this–the book I revised and edited in the end of 2008 won’t be printed til the moddle of this year.)
4. Manage to open a “Paglingap” time deposit through work
- Didn’t do this as the risk was a bit too high. However, I was able to open a new bank account in GE Money Bank! It’s growing and doing pretty well. In relation to bank accounts, my BDO time deposit will be on it’s second year this April.
5. Get more involved in sports activities
- I got myself into boxing starting July 2009. It’s a great hobby and I’ve lost a bit more than 10 pounds since I started. I am continuing that this year.
6. Get more training for professional growth
- Just Six Sigma…nothing else. So I consider this a FAIL!
7. Pay off car
This one is tough but I was able to successfully pay every month of the year without fail. One year and 9 months more to go!
I am hoping that 2010 will be a bit more dynamic in terms of being able to augment my income a bit more. My 1 million goal doesn’t seem too far off anymore– specially when I look at how I am doing in terms of savings. Still, there has to be a way to make things go faster!
For the record, this my blogs’ 3rd year…and I have not given up.
Welcome 2010!
January 4, 2010
Welcome 2010!
As part of my New Year’s list of resolutions, I have decided to update this blog more frequently than just once a month. I even missed November and December due to a lot of pre, during and post holiday stress.
I’d like to thank my readers for staying on despite my inability to update often. 2010 will be a much more informative year for everyone as I further document my progress.
In a nutshell, the whole 2009 was a difficult year. The recession in the US caught up pretty quickly with us as seen in the rise in gasoline prices. Despite that, my finances were stable but I put money in the wrong places at the start of the year (technically, Dec. 2008). Right now, I have yet to collect off some debts someone owes me and it’s tough! I could have had more money if I didn’t invest in a car sales business. Well at least they are paying me little by little but it’s still a debt. The food business idea tanked, it was actually “awarded” to someone else– therefore I stopped getting customers– for the reason being I won’t gain from it (financially).
On the upside, my liquid assets have increased and I am almost halfway to my goal. Whew! If it weren’t for so much car maintenance I had to pay for this year (total at about 20k), I’d be a bit richer. Towards the end of the year, I got into a stationery making business. I sold notepads of different shapes and sizes as Christmas giveaways. That brought in a few thousands but still not enough. That small venture is actually inspiring me to open a stationery, card making, handmade notebook business instead. On the other had, investing in putting up a net cafe is also appealing to me.
This year brings a lot of promise and I am also hoping to add some more business options to my money making menu.
2010 future highlights:
- Start a business center (fax, e-mail, PC rental, photocopy, risograph services)
- Start a net cafe
- Continue selling stationery
- Launch a recording artist (won’t say who yet)
- Produce an album of Christmas songs (by a composer friend of mine)
I’m doing a lot of this on my own or with a few close friends. I just really want to make sure I make the best choice/s possible. So for each item, I have decided to make a checklist which will outline the following:
- Capital needed
- Resources needed
- Income per month
- ROI after 3, 6 9 and 12 mos.
- Other risk factors
I know it looks like a short list but having put up a business before, this list extends into a lot of other mini lists not to mention some additional items I may have to add.
Scarily though, my Feng Shui reading looks promising for 2010. It says that I will find the quick pace of 2010 very much to my liking and will be keen to look for new possibilities and opportunities. I must make use of all the openings and opportunities that present themselves during this year. Teamwork will feature strongly and I will progress further and faster in my career if I bear this in mind. My financial situation will be promising and good during 2010 with a possible increase in income as well as a sum of money coming to me during the year. I must be careful to be disciplined about spending and not make too many impulse buys! May, September and November see the most interesting career changes. In other readings, it does say that I need to work doubly hard to reach my goals and that I may want to pursue studying this year as well. Work doubly hard? I already work like an Ox! And studying is a bit out of the question but I can’t deny that I have received some very strong suggestions regarding pursuing further studies. I am a firm believer in doing big things and making big decisions one at a time. At this point, I don’t think I can quit my job to study. And if you think I could study AND work…well not at this office.
Still, no matter what my horoscope says, I am determiend to experience a windfall of luck this year.
WISH ME LUCK y’all!
Excuse me? (an update on relief efforts)
October 2, 2009
-UPDATE-
I recently got a comment in my moderation queue that said “I hate spammers and opportunists.” and marked my post as “Spam.”
Just to make things clear, this website is soliciting for typhoon victims and nothing else. All in all, this website has donated 100 packs of toiletries (containing shampoo, bath soap, laundry soap and toothpaste) to an evacuation center in Cainta where there were 100 families stranded due to Typhoon Ondoy. We also helped in the relief efforts of Akabayan by helping make sandwiches and pack food items for typhoon victims.
We are all doing our part in helping out people who were affected by the typhoon. People who make harsh judgments or crass comments are not at all any help to these causes. Whoever you are (you didn’t even leave your real e-mail address), I hope you have done your part in helping out.
There’s your webmaster in the red cap wrapping sandwiches in Akbayan.
Additionally, here are more tips from Bayanihan Online :
Your Typhoon Survival Kit
October 1, 2009, 2:29 PM
Filed under: Survival
Being prepared is always one step towards survival. Here are some things that we think is important to have during times like these. Prepare them beforehand and keep them in a safe place at all times. Better yet, keep them with you, or in an area that is easy to reach and won’t get in the way of raging floods, etc.
YOUR TYPHOON SURVIVAL KIT
1. Clean drinking water. Good enough for a week. Consider having at least 1 gallon per person per day.
2. Other drinks. Consider: juices in packs, carbonated drinks, coffee.
3. Food. Also good enough for a week. Consider:
* Snacks that are easy to store and carry (biscuits, cookies)
* Non-perishable canned food (corned beef, tuna, pork and beans, vienna sausage, etc.)
* Candies to maintain sugar in body and keep acidity at bay
* Bread that will last for a few days, for carbo load
* Instant noodles, if you have the means to cook
* IMPORTANT: food for babies and the elderly if you have them staying with you
4. Food utensils.
* Spoons, forks, knives, paper plates, drinking cups
* Non-electric can opener
* Cooking stove and fuel, if possible
* Plastic bags
5. Medicines. Consider having medicines for the following:
* Fever and nausea
* Coughs and colds
* Hypertension
* Diabetes
* Diarrhea
* Anti-tetanus
* Anti-leptospirosis
* Other prescription drugs that you need to take
* Also include asthma inhalers with extra nebules and other asthma medicines
6. First Aid kit. Must contain band-aids, gauze, tweezers, alcohol, antibiotic ointment, hydrogen peroxide, bandage scissors, absorbent dressings, antiseptic wipe packets, cold compress, gloves and thermometer.
7. Sanitation kit. Make sure that you have tissue wipes, toilet paper, sanitary napkins, diapers.
8. Toiletries. These include toothpaste, toothbrushes, soap.
9. Blankets, towels, comforters, pillows. You can put them in large garbage bags to keep from getting wet.
10. Extra clothes and underwear. Put them in plastic bags to avoid from getting wet. If you can, pack something that will last you for a few days.
11. Jackets, sweaters, socks, caps. And anything else that will keep you warm and dry.
12. Emergency lights and flashlights.
13. Fresh batteries. Have reserves for batteries of different sizes, especially for radios and flashlights.
* “Ideally batteries should be advanced lithium or lithium so they have a longer shelf life….but the new Energizer Advanced is good enough to last a lot of long usage compared to Energizer Max batteries….” [via Comments]
14. Radio. Must be portable, battery operated, has functional AM station.
15. Mobile phone. Make sure the battery is fully charged, and that you have a spare one, too, in case of emergency. Also consider walkie-talkies.
16. Cash. Banks and ATMs might not be available so make sure that you have cash with you.
17. Keys. Have copies of keys to the front door, back door, garage, car keys, etc.
18. Items for pets. Consider also having a leash, muzzle, cage and food for your pets.
19. Umbrellas and tents
20. Water pails and dippers
21. Floatation devices like life jackets, styrofoams, old tires, etc.
22. Rope
* “I advice against tying family members together on a rope…if one member is swept away then the others will be pulled as well unless one person has super human strength….the rope should be attached as a guy line to guide members or as an escape line from high structures…” [via Comments]
23. Plastic whistles
* “Fox 40 whistle is available here in the RP…definitely loud.” [via Comments]
IMPORTANT DOCUMENTS TO PROTECT
Many people have died trying to go back for these things, so it’s important that you are well-prepared already at this point in time. Keep these documents in a water-proof container:
1. Birth certificates
2. Insurance records
3. Medical records
4. SSS, Pag-ibig and Philhealth records
5. Identification cards
6. Passports
7. Bank account numbers and records
8. Emergency contact numbers (i.e. NDCC hotline numbers, PNP, etc.)
9. Contact numbers of family, friends and loved ones
It is important that you have an ID with you wherever you go. Also, a list of people to contact in case something happens to you. If you can, put your emergency contacts on speed dial.
If you have more suggestions, please leave them in the comments section.
Updated as of 2 October 2009, 9:14 AM.
Calamity Strikes - Help needed!
September 30, 2009
Hi all! I know that this post is supposed to be about something else however, given the current situation in Manila, Philippines, I’d like to take this chance to ask for help for my countrymen who were totally stripped of their belongings.
Just a backgrounder, last weekend, Typhoon Ondoy (International name: Typhoon Ketsana) hit Metro Manila Philippines with a lot of rainfall which flooded several major cities and housing subdivisions/villages. Many of my co-workers were affected by the floodwater as high as 20 feet. Some of them were stranded on the rooftops of their homes for 24-48 hours without food or water until the water subsided enough for them to go to relocation points and relief centers.
In response to the growing need for supplies like canned food, rice, drinking water, toiletries (soap, shampoo, toothpaste, tooth brushes), medicines (iodine, bandages, paracetamol, antibiotics, vitamins etc.) and linens (towels, blankets and bedsheets) - My First One Million Pesos will be accepting donations through an address in Mandaluyong City (or we can pick up at your place). You can also donate any amount to Paypal (but we prefer goods).
If you can spare anything from your cupboard, medicine cabinet or stock of linens and old clothes, please e-mail me or leave a message for the drop off address and/Paypal ID.
We appreciate every little bit of help.
THANKS!
We will be accepting donations of all kinds up to October 13, 2009.
The Financial Review
August 26, 2009
It’s been almost 2 years since I’ve started trying to make my first million. It’s been a tough journey and it’s not getting any easier! So far I am at 40% of my goal. I had originally planned to be at at least 60%, but my journey took lots of twists and turns –so here we are.
Right now, my monetary assets are divided into 5 accounts - only 2 of which have my permanent savings. The others are for car payments, car maintenance and other miscellaneous expenses.
One thing I realized in the course of my mission is that one needs to review their plans every now and then. I mean, goals adjust according to need. Originally, I thought I’d start buying a house by 2010, well at the rate things are going, it looks like I’ll have to push back another 2 years. I’m a bit disappointed but I guess this is still how the natural course of things goes.
Like any business, making or saving money must be examined with utmost detail and precision. Here is my personal assessment of how I should have (and will do, moving forward) monitored my goal.
1. Revisit your goals to determine feasibility every 6 months. — I didn’t do anything like that till today! I’m sure it will be useful in the sense that you keep everything real.
2. Make a list of your monetary assets and determine what could be reassigned to other functions depending on immediate need. Try not to touch your personal savings, use the movable income!
3. Ensure that you still keep to your main goals, try your best not to sacrifice any goals unless there are monumental changes that have happened in your life that will clearly impact your spending/saving.
4. If any extra income comes your way, you can even add new goals or adjust time lines in case you are able to acquire money faster.
The key is to always plan ahead without suffering through the process. Remember to reward yourself within the right margins. Remind yourself that it is you who will benefit from all the planning and saving you are doing as early as now.
The fourth step in financial freedom is the allocation of monetary assets. This should be in your planning and must be implemented once you have reached your financial goal. I will definitely discuss this further in my next post.
Beating the Recession
July 29, 2009
A few months ago, a friend of mine heard a guy in a convenience store ranting about how the recession only affects “rich” people. The comment was basically like this:
Recession? We normal people won’t get affected by that! It’s a problem for rich people!
I am surprised at how uninformed (or in denial) many people are when it comes to the ongoing recession in the USA. Of course, analysts are saying that the market is picking up and getting better but you see, try not to get your hopes us too high! 25 years of making financial mistakes won’t be repaired in a year…thankfully, it won’t take another 25 years as well. Give or take 5 years and hopefully, the economy experiences a full turnaround in favor of the consumer.
In the US, people are spending less to battle the economic situation. They taking steps to ensure financial stability on an individual level. Just because the recession has made a direct hit on the US market, doesn’t mean that we are not affected.
For the call center and BPO industry, it could go up or down. US based clients may outsource more given the tight budget they currently have or may close down some business which may result to outsourced projects being canceled. I myself have heard of a number of small business BPOs that have shut down Philippine operations because of account/client cancellation. So you see, no matter how far away the US is from us, we are also directly affected by the economic crisis.
The US economic situation affects everyone involved in global business no matter how big or small…from the owner of the business down to the laborer. this is a reality that many people are not accepting and non-acceptance leads to being complacent and carelessness.
Even when one is seemingly unaffected by the economic crisis, it is always advisable to be ready for any financial emergency. Fuel prices are rising again (it just went up by 2 pesos) and normally, consumer good prices would rise as well. Services will also become less cost efficient and many people will have to exert extra effort to maintain their lifestyles.
Beating the recession is not an easy lifestyle change but IT CAN BE DONE.
Many of things I’ve written in my blog lead basically to achieving financial freedom. Now it takes on another role, gaining financial security amd preparedness.
1. Don’t cut down on savings, cut down on spending. Prices have gone up but I still manage to save the same amount of money I used to save even before the recession hit. Remember, savings first before spending!
2. Cut down on leisurely activities or downgrade. Instead of eating out 3 times a week, reduce it to once…etc.
3. Plan for meals at home and packed meals to save on food bills.
4. Unplug electrical appliances when not in use. Put your airconditioner on timer settings if you must use it when you go to bed. It saves on electric bills.
5. Try your best to reduce habits like smoking and alcohol. These are expensive habits that could cost you a lot of money lost in the long run, not to mention they’re quite unhealthy as well.
6. Don’t invest your heard-earned money in get rich quick schemes, you may just lose it! (Been there, done that and learned!)
7. If you are in debt, start getting out of it NOW. Try these tips on becoming DEBT FREE.
If all of make a conscious effort to battle the recession by cutting down on spending without cutting it out completely (which is impossible and if done, the market will definitely crash!), it would be easier for us to prepare for many financial emergenciesthat could affect our way of life.
Medical Insurance
June 20, 2009
Some people have argued with me about the importance of buying medical insurance. A number have declared that they are as healthy as bulls and don’t need this “additional expense” in their lives.
Medical insurance has helped me a lot in the past years. Since I work in a high pressure type of environment with abnormal sleep hours, there were times when my asthma would bother me and I would have to go see a doctor. I even got hospitalized before and I am thankful that I only paid P198…the bill was actually about 35k– but of course, the insurance covered it all.
Now that I am employed, my company takes care of my health insurance. when I was a kid though, my parents bought insurance for us and it really went a long way. Visits to the ER, dental appointments and even some procedures were done without us having to pay for much.
The advantage of having health and accident insurance is really big and unfortunately will only be realized by a person when an emergency happens. Of course, you need to pick a really good insurance provider. One that will really fit your needs.
I’m happy with my current provider, even my dad has been able to use the policy since he is one of my dependents. I’m also able to help my brother, he’s the other dependent and is apparently only two years old! Kids nowadays get sick of one thing or another and the coverage is really useful for him.
My insurance provider requirement checklist:
1. Covers long term conditions developed after buying the insurance.
2. Covers pre-existing illnesses.
3. Flexible payment terms.
4. Allows for adding dependents.
5. Covers a wide geographical area (great for frequent travelers)
6. The office is easy to contact specially when it’s an emergency case. (One provider I had before even uses swipe card technology, so that hospitals don’t need to call to verify the card details).
7. Is accepted in many quality hospitals.
8. Covers out-patient medication (This is rare, even my provider doesn’t do this.)
9. Covers testing procedures (An MRI is very expensive! Covering it would save you 8k)
When you get a medical insurance provider, ask questions before you sign. Compare with other providers and find the one that will suite your lifestyle. Make a list of possible concerns you might encounter and ask the provider about how they handle these situations. Don’t scrimp on this investment, you’ll never know when you’ll need to use it. You could save a lot of money on trips to the ER or regular check-ups.
Part of saving money is also preserving your health. Health is wealth and if we stay healthy, we have the capacity to earn more. An investment in health insurance can go a long way.
It’s BONUS time!
May 22, 2009
Most of us in the Philippines don’t get our bonuses til Christmas season. Some of us get it quarterly or in the middle of the year.
I work for a company that has paid out bonuses both in the middle and at the end of the year. They basically split the 13th month bonus (a mandatory gov’t benefit) in half. The first half is given to the employee at the end of May, so that employees with kids could pay for enrollment and other school fees. The other half is given on the first payday of December just in time for Christmas shopping.
For people who don’t understand our salary structure here in the Philippines, it’s basically this:
- 13 month pay - required by the government. If an employee separates from a company before the year is over, he still gets the pro-rated value of this bonus. It’s normally factored into a salary as more of a forced-savings kind of thing. This bonus is non-taxable up to 30k pesos. Beyond 30k is taxed.
- 15th and 30th paydays - most companies schedule paydays twice a month. it’s normally the 15th and 30th of each month. Other companies have it on the 20th and 5th of each month and others have their own schedules. This is designed to help people budget their money for 15 days til the next payday comes.
- Additional bonuses - are really up to the company. Some companies give a 14th-16th month bonus, quarterly bonus or mid-year bonus. This is usually dependent on the financial standing and performance/productivity of the company. It’s not mandated by law so it could be cancelled by the company at any time.
So how do you normally spend your bonus? Since you’d already know at what time of the year it’s coming, it’s always wise to plot your spending in a chart or list so that you could maximize the benefit of the bonus.
Many people don’t have a plan, that’s why they end up spending all of their bonus without having a chance to save any of it.
Ever since I started becoming financially conscious, I’ve decided to always have a plan of sorts for any money that comes in on top of my current salary. Even if I am fully aware that my bonus is coming, I still treat it as “extra income”.
My advantage really is that I don’t anyone to send to school. And the tendency of people like me is basically to buy the newest electronic toy in the market. As long as you have planned to put your money there, no problem. Just make sure you are prepared for any other spending you might have to do.
Stick to the essentials before rewarding yourself with a big ticket item. What do you need now? Do you need to repair your car or home? Make a list of what you need to spend on and what you want to spend on. That way, you could prioritize.
Guide questions:
- How much of this bonus should I put into savings? (I’d say answer this first before splurging on anything else.)
- How much should I use to pay for my debt? (Credit card, loans…etc.)
- Do I need money for my car or my house? (Unless you have established a separate fund for this, you need to ask yourself that question)
- Do I have enough to invest in a business?
- Do I have enough for my kids’/siblings’ school tuition and other fees?
and finally…
What can I reward myself with this money when I’m done allocating it to what I need?
Prioritize your spending specially when you come into a big amount of money. This way, you will maximize the use of the most important employee you have in your life…MONEY.
Money doesn’t complain…doesn’t charge overtime…doesn’t take breaks and does all the work for you for as long as the price is right. Make your best employee, money– work for your benefit.
The Objective of Saving Money for a Rainy Day
May 11, 2009
Why did my parents always remind me to save money? The answer was always: “Save for a rainy day.”
I always thought it was very simple. I fell into the trap of thinking that I was only saving for one purpose: retirement.
What are we saving for? What are those rainy days? Today I’m going to try my best to detail what those are so that we aware of the “more than one thing” we need to save for aside from our retirement.
The Essentials:
- Retirement: Everyone knows we need to save for this. When we get old are are no longer able to work, it would be best to have enough money to spend until the end of our days.
- Medical Emergencies: If you don’t have medical insurance, it’s time to invest in that as well as set up an emergency medical fund. It helped that my partner and I had medical insurance and savings specially when we both got very sick at the same time. We were unable to report for work and were confined to stay at home. One of our bank accounts dedicated to medical and household expenses surely helped us along the way. My medical insurance did not cover medication if I stayed at home so we had to spend on that using our emergency fund. Soon though, we will separate the emergency fund from the other funds to make sure we know exactly how much we have to spare in case of any medical emergencies.
- Household Maintenance: Our homes depreciate too. Every time you need to spend for repairs, it is wise to take it our of a fund that is meant for just that. This has been very useful especially during times after heavy rains or floods.
- Automobile Maintenance: Owning a car is like owning a small house. It is important to spend some money on it’s maintenance so that it’s always in tip top condition. Cars will last longer if maintained on a regular basis following it’s maintenance schedule.
- Family Emergencies: If you need to help a family member during a financial crisis, this is a good fund to set up. Remember, sharing our blessings attracts good karma!
- Unemployment or Economic Crises: Be prepared for anything and everything related to losing your current job or source of income. Put away as much money as you can and make sure you have at least a buffer fund that will support your lifestyle for at least 3 months if you are put out of work or if your business does not pan out well. You will have 3 months to find another source of income and at the same time live comfortably.
The Extras: (rewards when we have some extra money)
- Travel
- Sports & Hobbies
- Other Entertainment
It’s always wise to be prepared for emergencies as well as occassionally reward ourselves when things are going great. This system also prevents you from over spending on the “Extras” and focusing on the “Essentials.”
