How To Live Below the Means

 

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In the past couple of weeks, I have been joining Saturday virtual meet up of Sun Life's advisor. And one of the topic is about how do we do our own budgeting. 

To be honest, I no longer do the tedious thing of writing it down or listing my expenses in a day. Read my post about it here . Since, I already know our fix expenses every month, my salary every 15th and 30th are already allocated into it. Everything is now auto debited from my account including all the investment and savings that we have.

Did you know that during this pandemic, it makes more sense to me not to list down my expenses? Why?

I no longer go out which means there is no transportation cost. And because of the quarantine, the family is no longer going out and no more eating out. My husband only goes out once or twice a month to replenish our stocks. Most of the days, we are just at home and not spending anything. Funny, because at some point when I was starting with this journey to personal finance, I have set my self to shopping fast and even no spending weekend. But nowadays, there is no need for that. We are automatically cut out of spending. We don't buy new clothes, since working from home only requires me of house clothes. Our purchases are limited for food.  

I really think, I love just being at home. 

Let me go back to the topic of budgeting. 

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Since, it was our assignment to identify how do we budget, I then retract my expenses. I look back and found my spreadsheet of budget for the past years. Truth is, I was surprised to know that our living expenses doesn't change since 2018.How does it happen?

1. Debt-free. Yes, we don't owe any debt at the moment. And that is good thing, because it only means that we have retain our living expenses the same as 2018 because we are living the same frugal way. I inculcate in the family the value of wants versus the needs. No need to buy things on sale but we will never use. No need to buy new clothes because it is trendy but because old ones still fits and usable. No need to flash new things, just because everyone has it, but because we do not need at this time.

2. Windfalls goes directly to savings or investment. Yes, I don't touch any extra bonus nor surprise windfall. It will either go directly to my savings or investment.

3. Salary increase. From 2018, I received salary increase twice. What I did is the same - 10% is automatically deducted for my Provident Fund. I also increase my contribution of Pag-Ibig MP1 and also MP2. I also increase the UITF contribution and open another EIP subscription. With all these, it only means, that what I can see in my account during payday is the same amount I was receiving back in 2018.

4. Shopee income goes directly to my MF.

5. Online and offline selling income are extra money for me that I use for "cheat days". Of course, there should be cheat days. But since, we are on quarantine, it becomes a saving at this time. 

This didn't happen overnight. It took years to finally come to this terms. 

Living below our means has thought us that we can.Over the years, we are able to work it out. Not an easy task especially we have a little girl. But, constant reminder and talks and living by example also helps. 

Sometimes, I am tempted. But I just have to think more than twice what is the purpose of it and if it will be of real use to me. We practice the 7 day rule as well specially for big purchases. If there is a second hand item of lesser amount yet with the same usage, we'd go for that. 

First Posts on Being Frugal

I was contemplating on what will be my first post this year. Although I have so many things in my mind, I just can't seem to decide which is which.

Anyway, before I review my 2016 Financial Goal Blog, this is what I decided to post/share with you.

My 2016 is a bit rough when it comes to finances. We are still living on a single income.

I am not complaining. I still have a full time job plus the online selling. It all helps to provide the basic needs for all of us while trying to save and invest on the side.

I am basically trying to teach everyone in the household how to save and live a frugal lifestyle.

Mahigpit na kung mahigpit sa pera. Even to my extended family. This is tough love I am trying to show.

Lessen eating out. The struggle is real when it comes to eating out. My hands are already full with the full time job plus the online shop and with a 3 year old, that sometimes, eating out is our only option. But, since, we have so little budget for dining out, we have tried so much not to go overboard. Thanks that we are located near a market where it is accessible anytime of the day to buy a little cheaper than mall price ingredients. We usually prepare those easy to make dishes.

Always bring packed snacks at work. Fast foods are becoming pricey nowadays. My 100 peso one meal in the fastfood, can stretch to 5 days packed snacks. I just have to settle for the free vending machine in the office.

Walking. I see to it that when time permits, I walk my way to the office and back home. Yes, it will consume some time which should have been devoted to the online shop, but it is also my way of reflecting my thoughts while walking briskly. Clears my mind sometimes. (Note: Alabang area is still not that much crowded in the morning or evening)

Always turn off/unplug the appliances when not in use. This is very basic. But with the hassle of following a 3 year old, from one area to another, we often forget that the electric fan or the tv is still on.

Buy only what we can consume and always check the expiry dates. First in, first out. We do not stock so much in the fridge basically because my 3 year old is not a fan of frozen foods nor canned goods. Thus if we go to the grocery, the biggest portion is her milk, mineral water, and diaper. All other else were of lesser quantity which are sometime on sale or an alternative to a brand. For those items on sale, always check the expiry dates.

Buy in cash whenever possible. Or use the debit card instead. I know credit cards has many perks and rewards. Like for example, right now there is a promo for BPI credit cards (http://www.bpicards.com/RealThrills/Items/35)that when you have a minimum of P3,000 single receipt regular/straight transaction at any merchant, you will be entitled for a Jollibee coupon. This is actually encouraging, but when buying and the total price did not meet the requirements, there is no need to buy more and instead pay in cash. Use and manage the card wisely. Never indulge in too much just to have the rewards/perks.

Plan ahead. We have a short staycation on the Christmas eve because I was at work on the Christmas day itself. (It is what I sign up with when I entered in the company over 8 years ago.) Because, I can't come home, we decided to bring my in laws in the city. We have set the budget on a limit (saving the money for a period of time) and we just stayed in the rented place the whole time, cooking our own meal, playing with my little girl, chatting, and video call with the sister in laws. Overall, we all enjoyed the stay.

Oh and the Christmas gifts? Well, I crocheted some items for my office mates. For my godchildren and family members, the gifts were bought since last October. Because, malls are overly crowded during December, we decided not to go on frenzie those days. Less stress. Less hassle. Less cramming.

All in all, sometimes, I feel like I overdo some of those mentioned above. Nonetheless, I welcome the feeling because it is more gratifying and fulfilling. (Just my perspective). :)

Last Quarter of 2016 Life's Update

As some may have notice (feeling lang, hehehe), I haven't had any entry for the past months. I have my attention diverted to some other things in life that has gotten most of my precious time. And as I could summarize my life this 2016 - I am a dream catcher!

Yes!

Because I began filling my life with my childhood dreams. I think, for me - it's actually a smart move because I began to see myself catching more of my dreams in the very near future. And I thank the Lord for giving me the opportunity to fulfill all these and for some more.

During my high school days, I have written short stories (yes, madaming short stories yun) which was purely rooted from imagination and at this time of writing, some pages were now missing when my parents house was renovated last year. Although, I am not very good with story telling, I wish to hone my skills with writing again. And the first draft I wrote this year with the target of 3 stories has been done in a hasty mode since I just write in the office during break time. I hope to write one again with enough time to proofread before publishing. *fingers crossed*

I started to crochet. Yey. I never imagined that I can make something out of crochet. This craft was never thought in our elementary and high school's economics subjects. What were thought were cooking (which I never learned anyway), cross stitching, and embroidery. I followed steps in Youtube as a starter back in April and gradually learned to read patterns. It's an amazing journey of learning something new. Now, I can make hair clips, head band's designs, coin purses, pencil cases, clutches, shrugs, and beanies. Although it requires a lot of time and patience to complete one project, it is rewarding and fulfilling as well when a project is completed. And yes, I sell finished crochet products too.See my samples below. ♥♥♥

Beanie

Hair Clips

Beanie

A Rose

Little Stars for Headband

Barret Hair Clips

The online shop is doing well. But the courier services are driving me nuts lately. It's just early December and they are always delayed with so many excuses in delivery. So, I have temporarily closed the shop this first week of December to avoid the stress and hassles of all these.

It wasn't a smooth first year for the online shop but I believe on it and its earnings is not bad at all. Selling dry goods is still a good way to earn a decent income with the money already visible in your hands.

So, I did a quick review the other day with our finances and we are no nearer to our target of our next million. The progress is a little slow this year. And hoping that the following year is much more better than this year when it comes to our income. So many things had happened which I cannot divulge in this blog. But a slow progress is better than nothing at all. I am still  the same frugal person of 2015 or maybe much better because it is now ingrained in my system. I still practice the same tips and I hope to continue going forward.

Yan lang. Hehehe. Not much right? Just sharing. God Bless Us all! :)

My First Buy This Year - Eye Glass

Husband and I made a trip to an ophthalmologist the other day after my work. However since I barely have 2 hours sleep the night before I was declined for consultation. We were asked to come back when my eyes have proper rest.

All I would like is to have my eyes checked up since lately I am having trouble reading using my current eyeglass on a normal reading position. Added to this is that I feel dizzy in front of my office desktop. More so, since I travel on a weekly basis, the discomfort I felt looking out the window of the bus. Although, the eyeglass still fits my long distance sight and still provide me clearer view, it just that, the one nearer is always blurry and gives me headache when I try to read. I thought maybe my eye grade soared up this time as the usual cases in the previous years.

Yesterday, we came back and I was admitted for eye check up. My eye grade is the same. So how come I am experiencing those I mentioned above?

I explain all these chief complaints to the ophthalmologist. I wasn't convince the first time so we've gotten second opinion on a different clinic. However, the findings are the same. And now I belong to 1 out 10 individuals, according to the doctor, who needs progressive eyeglass. This stage, the doctor said, which needed progressive reading eyeglass happened mostly to individuals over 40 years old and it struck me prematurely.

Main causes, as the doctor mentioned is my current nature of work - 8 hours in front of the PC screen. And age related. She mentioned that the exposure to UV damages and strains our eyes especially those coming from the PC screens and smart phones. She told me, she cannot ask me to stop working since it is what I do but I need this progressive eyeglass in order to protect my eyes from further damages. I asked if this can still be corrected. Sadly, she told me that there are no corrections at the moment. She asked me to have a semi-annual eye check up just to make sure everything is okay and to constantly wear my new eyeglass.

The eyeglass lens is pricey. And the frugal me refused initially since I can always remove my current eyeglass when I need to read on close range. However, after my husband further explained that this is something I need due to my line of work, I gave in. Good to know that my company health card will at least shoulder P2500 of the eyeglass amount. It lighten a bit and to this I am thankful. Overall, the cost is P5600 which left me paying the remaining P3100.




Last night, I was immersed into a deep thought just before I drifted to sleep, I made myself another goal - that is to take care of my eyes from here on because I still wanted to do/learn cross stitch when I get old. Hehehe. One of my life goals. So I need to religiously follow the doctor's advise. To eat more nutritious food for the eyes. To let my eyes gets enough rest. To slowly get away from PC screens and smart phones. And to finally meet my/our financial goals so I can change/shift career. It could be a full time housewife with businesses on the sides. I hope.


Photo source: www.adclinic.com