TIGHTEN YOUR BELTS, MOMMIES

Money doesn't last as long as it used to. At the supermarket counter at the gas station, at the fruit stand in the wet market, at the parking lot exit, even at the roll gate, prices have gone up and we find ourselves forking over money than usual for the same goods and services we've been getting regularly.

PRICES - not going down.

EXCHANGE RATE - will follow oil prices.

JOBS - may still not be enough.

OUTPUT OR INCOME - slower growth.

PERSONAL CONSUMPTION SPENDING - slowing down.

OVERALL ECONOMIC OUTLOOK - not rosy. But don't despair, you are not powerless. You can do something about it.

WHAT WE CAN DO..........
Don't throw in the towel. We can all survive and cope with the economic situation by doing these:

1. MAKE THE MOST OF THE LIMITED BUDGET - look at how you can meet your need with less expense.

2. PAY TAXES FAITHFULLY - this will put money in the national treasury which can help finance the projects of the government.

3. ASK FOR A RECEIPT EVERY TIME YOU MAKE A PURCHASE - this will curb tax evasion and will force business owners to pass on the VAT collected to the government.

4. BUY PILIPINO PRODUCTS - if you buy Filipino products, the income stays within the country and that income can be used to buy other goods. If you buy imports, the income goes abroad.

5.CONSERVE ENERGY

6. PRODUCE YOUR OWN FOOD IF YOU CAN - buy starting an organic garden.

7. DO AWAY WITH UNNECESSARY EXPENSES - such as texting.

8. DO MORE PRODUCTIVE PURSUITS - rather than gambling.

9. IF YOU HAVE RESOURCES, INVEST - "small, even micro-enterprises, go along way into creating more jobs. For every peso you invest in a productive venture you are contributing to the creation of jobs, therefore creating more purchasing power taken all together it will become a snowballing effect of rein vigorating the economy".

Save an Extra $31.50 per week

An extra income of $1,500 a year would pay off some bills or fund a nice vacation. While not everyone can get $1,500 raise in their salary every time they want, just about anyone can save that amount from their budget. If you break it down it adds up to $125 a month or $31.25 a week. Save that amount of money from your weekly expenses and you’ll have the entire $1,500 or at the end of the year. Cut out one large expense or few small ones to create extra $31.25 in your budget every week.

Stop your coffee shop stops. If you get coffee at Starbucks or other local coffee shop everyday you are wasting money. Regular cup of coffee start at $1 in coffee shop, if you drinking lattes or other espresso drinks the tab may be closer to $4. Make coffee at home, even you buy expensive beans; you are save money toward your goal.

Cook family dinners instead of stopping at the drive thru. It is not difficult to spend $25 for a fast food dinner for your family. Make a healthier and tastier meal at home and you’ll have better food while saving money. Stop buying soda, drink water or make lemonade. You’ll save calories as well as money.
Get rid of your landline if you still have one in your home, use your cellphone as your primary telephone, there is no reason to have landline in the house.

Watch videos instead of going to the movies, you can rent DVDs on your favorite DVDs renting station. These movies are $1 per night and if you sign up for email notification you get occasional codes fro free movies.

Teach Financial Responsibility to Kids

Teaching financial responsibility to children will give them the financial foundation they need to act sensibly as adults. According to the studies show that people who learn financial responsibility at a young age also have less debt and more saving when they become adults.
Talk to your children about money. Explain about the different types of bills you pay and the importance of meeting payment due dates. Also talk with your child about comparing prices on items in order to find the best deal available.
Show the child how to make budget. Budgeting is a great skill to learn. Have your child create a budget with her allowance. Show what money she has, where she could spend it and how to save it.
Take you child in grocery shopping, explain how much money you have budget for groceries and talk about what you need to buy. Show him how to compare products and prices for the best value. These allow him to experience what it is like to work within a budget.
Open a saving account with your child money. Add a little at a time and teach the child how to keep up with the register. Explain the interest on the account and how it works. Discuss the possible dangers of impulsive shopping. Tell your child to avoid buying items on a whim. Differentiate between items that are needed and those that are wanted. Make it sure the children understand that if an item is expensive it is possible to save money to purchase it at later time instead of going into debt and purchasing the product right away.

Create your personal saving plan

Saving money is one of my favorite hobbies. It is so much fun watching the amount of interest increase each month. It doesn't matter if it is a few cents, $1, $100, or more, this is income that I don't have to work for, just keep my paws off the principle and it grows. You can't ask more than that. And seeing that balance increase each month (or whenever I want to peek at it) gives me such a feeling of accomplishment and security. Emergency, short term, and long term savings are all equally important to planning for our future.

EMERGENCY SAVINGS: Our first goal is to save enough for emergencies that may come up unexpectedly. This is savings to take care of you and your family for unexpected emergencies, such as: if you are laid off from your job, not able to work for some reason, a victim of a natural disaster, or any other like emergency. The goal for this category is 6 months of expenses minimum (1 year preferred). You will be able to figure out this goal by our earlier analysis. This is often an overwhelming amount to think of for most people, so just remember each little bit adds up and gets you closer to the goal.

SHORT TERM SAVINGS: Next we will define Short Term Savings as setting aside funds for something we will need in less than a year. These are needs we know about and are planning for. This could include saving for a new sofa, vacation, or even Christmas gifts. If you can set aside money over time for these items, you will be saving greatly over high interest rate credit cards. It really pays to plan ahead.

LONG TERM SAVINGS: This will include large items we are saving for which are more than a year in the future. This would include saving for items such as a down payment on your first home, your children's college education, and your retirement. The more you are able to set aside for these future expenses now the easier it will be in the future. If your company offers a matching 401K, do your best to max it out (at least to ensure you get the highest amount in the match). This is like getting a raise immediately.

HOW CAN WE LESSEN HOUSEHOLD BUDGETS

HERE ARE SOME TIPS:

CONSUME LESS ELECTRICITY - turn off light when not needed. Do less Ironing. Use less air conditioning.

DECREASE THE USE OF PRIVATE VEHICLES - plan trip carefully. Take public transportation, not taxi cabs, whenever possible.

EAT MORE OF FRESH FOOD - cooked at home and less of canned, bottled and junk food.

STOP SMOOKING - stop drinking alcohol. Take care of your health and stay out of trouble so that you will not need the services of doctors or lawyer.

HINK OF SIDELINES THAT WILL NOT AFFECT YOUR EFFICIENCY AT WORK - the last thing you want to happen is to get fired!

BUY ONLY ITEMS THAT YOU TRULY NEED - use only your passive income for your wants. No passive income? Then, you have a no "K" to buy anything you want.

NO MATTER HOW DIFFICULT, KEEP PAYING YOUR SELF FIRST - set aside 10 to 20% of your monthly income for saving. Remember: Income less saving equal expenses. Spend only what is left after you pay yourself.

E SMART IN INVESTING YOUR SAVING - remember: the best way to get rich quick is to get rich slow. There are so many ways you can do this without resorting to scams.

Create monthly budget and saving plan

Personal budget is the most important than most people believe until they have gotten themselves into a great deal of debt. It’s not difficult to create budget, but you need to be realistic about how much you make as well as how much you spend. You will need to spend some time tracking your average spending for variable items such as groceries and entertainment. After you creating budget you can stick to start saving plan that will help you automatically save money you might otherwise spend without thinking about it.

List all your expenses, if you are not sure of your average monthly spending, review your receipts and bank statement to determine averages. Then list all of your income, include each paycheck as well as other sources of income then determine your monthly average total income.

Subtract you’re expenses from your income to determine whether your income covers your expenses. If not, figure out how to reduce your expenses. You must budget your expenses less than your income. Transfer your money each month into saving account; put all income that is not budgeted for expenses into your saving account. Record the true expenses and income into your budget each week to make sure you are staying on track with your plan.