Number 1 Rule: Self Discipline

     Christmas is fast approaching and I think just in time to do some posting about self-discipline as part of my instalment article on the strategy on how to pay off debts. The first step or strategy of paying off debts as I mentioned on my previous post about PAYING OFF DEBTS was Self Discipline before you even start paying your debts. December was the most celebrated month of the year because of Christmas time. I remember my mother used to decorate our home on the first day of the BER month and my father never goes home without bringing big lantern after a month of working far away from his family a month before Christmas. How  we celebrate Christmas in the Philippines? If my friends only knew how much I miss Christmas in the Philippines, because Christmas season is the most awaited celebration for us Filipinos. It is the best month of the year for us who worked abroad, and those who migrated to other countries to visit and spend holidays with their loved ones. 

   One thing I miss about Christmas in the Philippines was the Christmas bonus and thirteen-month pay, as an employee then I am looking forward to this on Christmas time because I know a lot of money coming my way, meaning I can start making a list of how to spend my Christmas bonus. I believed then, that so many are expecting to received something from me and it will be a great disappointment to them if they couldn't receive it (me and my malicious mind). But do you know that nine (9) out of ten (10) regular employees, that after Christmas they will add up more debts than their previous year even though they receive two (2) or three (3) times more than their usual salary during December. Why? because the scenario was like this though they receive more than their expected salary, they will spend more than the money they received during the bonus month and this is the usual mistake most of the regular employees. Been there, done that, I even borrow money just to satisfy myself, believing that it's just once in a year that I was able to give, to make the people around me happy, just to feed my temporary happiness of gift giving, just for the sake of Christmas season. I fail to realize that Christmas is not only during December, that Christmas is within our hearts all year round and it depends on how we wanted to celebrate it every day. That after the holiday I left nothing but debts  and I will start the new year with lots of stress and negative vibes. 

         When my husband and I started to learn how difficult life was especially when you have nothing but debts, I decided to put my feet on the ground and started to analyse the situations, to be subjective to everything, to put reason on every action. Thinking, what is more important, is it money, gift, or friendship and my families future. So on the first Christmas that I didn't make a list of names and things to buy but rather debts I need to pay, a lot of words came out, some are hurtful, some are rather judgemental. Yes, it is true that there is no discipline seems pleasant at the time, but painful. It was indeed painful when you heard someone calling you madamot (selfish), kuripot (thrifty) in front of your face. I endure all of that because I need to start  my life in proper order especially in terms of my financial aspect, instead of spending my bonuses by showing off to those people who doesn't even care. Looking back now I can tell that during those time I also learned who are my real friends because they supported me all the way.

        So this holiday season be disciplined enough to think before spending, be wise before borrow money just to have something to give. There's nothing wrong in giving its one of the best attitudes every person must learn and have  but make sure that at the end of the day you will not end up crying because you spend more than you can't afford (just a little trick, just make sure you spend within your means). As I always say this to my children "helping others...by helping yourself first" for how can  you be able to give if you don't have something to give right. Happy Savings and have a fruitful life.

Paying off debt

I am not a financial expert, I am still on the process of learning how to be financially literate. After all of the roller coaster, I had with my husband in terms of our financial aspect I have learned to appreciate and give back not because I am financially capable now but because I know how it feels to have nothing. Though part of our culture was even though you help people in so many ways but they still don't know the word appreciation and satisfaction. That is why I am trying my best to use this blog as a venue to impart to them what I have learned in terms of financial aspect. I wanted them to experience the overflowing of blessings I have now not only financially but in all aspects of life and I wanted them to be financially independent just like us. Though money is not a big factor for happiness (how I wish everyone should know that) but it is one component or aspect in our lives to be worry free especially in our retirement day. According to one Chinese proverb "Give a man a fish and he won't starve for a day. Teach a man how to fish and he won't starve for his entire life." The last post, I mentioned about How to pay off debt, that we need to negotiate and it was one important thing to do. Now I am going to share to you another strategy of paying off debts. Last time my husband attended a seminar about financial literacy in their company and one of the topic was how to pay off debt properly. I told him if we just knew this earlier we were able to pay off our debts more easily, but I think God has a reason why only now that we manage to know all of these things, maybe now is just the right time for us. Below you will see the steps by steps strategy of paying off debts.

* Step 1. Self Discipline & Commitment before you even start
* Step 2. List down ALL your Debts
* Step 3. Identify the MINIMUM Monthly Payment required for each debt.
* Step 4. Compute the Payoff Months.
* Step 5. Determine the Payoff Priority.
* Step 6. Create a complete Payment Tracker Spreadsheets.
* Step 7. Be sure to religiously follow step 1. (Self Discipline & Commitment).

There you go next post I will try my best to discuss one by one in a simpler manner, I just hope each of us will learn from the mistake of others, of our forefather, of our ancestors. Try to analyse Bill Gates quotes, nowadays with so many resources it is impossible not to learn. Happy savings and have a fruitful life.

How to Get Rid of Debt: Negotiate

In my last post Now or Never I promise that I will tell in details how my husband and  I was able to start and get out of our debt. I want to share a lot of things that I knew when we first decided to get out of our debt. We made a lot of mistakes and although we can't go back in time and redo our life again, but I hope that our past experiences can somehow help others by learning through our experiences. 

Bo Sanchez suggested that if you really wanted to be financially free Invest, Invest, Invest, but how can you invest when you have a huge and sizable amount of credit and debt. This is where discipline coming in. Do you really want to be financially free and get out of your debt? have some goals. My goals then were just simply pay off all our debt before anything else, so what I did was I made a computation on how to pay off our lender monthly in a way that it was not difficult for us, my husband then already decided to go overseas. Out of worry that he will not be coming back hehehe me and my malicious mind (thank God he didn't turn his back on me). 

I was left alone physically with all the responsibility. I come up with a proposal, I made a payment plan with his approval of course because the majority of the payment monthly will be coming from him, a proposal on how to pay our lender easily with his consent. Then I negotiate, one thing I've learned when we got into this financial crisis was I learned to negotiate. Some of my lenders became my friends and soon they became my partner in some of my investment. Don't hesitate to negotiate because lenders love to negotiate rather than not paying your debt, don't make your credibility be on jeopardy credentials was far more important than money.

So remember when you cannot pay your debt don't forget to negotiate be honest. After all the negotiation and all of our lender say yes to our proposal we started to plan the next step which is how to INVEST. How we started Investing? What investment? you will find out on my next post for now it's time to say goodnight. Happy savings and have a fruitful life.

Mindset

I want to have a Rich mindset after all of what happened to us. Hope you too. For a better world to live in.

The first step to change is Awareness.

The second step to change is Understanding.

Find out what current mindset do you have just listened to this audio for additional awareness and for better understanding

POOR

Who: Employees, Laborers, Wage Earners
Education: High School or College Graduate
Most Valuable Resources: Paycheck salary
Resource Focus: Salary or Hourly wage
Time Setting: Next Payday
Major Financial Goal: To Survive until next payday
Cash Flow Management: "How much do I have in my wallet?"
Investment Sources: The government
Expected Rate of Return: Get Rich Quick
Advisor: Broke Friends and Family

MIDDLE CLASS

Who: Employees and Self-Employed
Education: Values a College Education
Most Valuable Resources: Short Term Investments
Resource Focus: Networth (home & personal effects)
Time Setting: Long-Term
Major Financial Goal: To built up a vast net worth by age of 40 to 65 years old.
Cash Flow Management: Understands the value of CFM
Investment Sources: Invest in products or services created by others
Expected Rate of Return: 10% to 30%
Advisors: Financial Planner, accountants

RICH

Who: Entrepreneurs & Investors
Education: Values only "street smart" education from peers / self-learning / what works
Most Valuable Resources: Time and Long-Term Investments
Resource Focus: Cashflow, Net worth (real assets) and Network
Time Setting: Adapt to each financial goal or investments Financial and Time Freedom
Cash Flow Management: Understands that Cashflow Management is the key to all wealth foundation.
Investment Sources: Create products and services to sell to the middle class and masses.
Expected Rate of Return: 50% to 300%++
Advisors: Themselves, each others, selected professionals and mentors.

Have happy savings and fruitful life.

Think ang Grow Rich

Think and Grow Rich is  a motivational personal development and self-help book written by Napoleon Hill and inspired by a suggestion from Scottish-American businessman Andrew Carnegie. While the title implies that this book deals only with how to get rich, the author explains that the philosophy taught in the book can be use to help people success in all lines of work and to do or be almost anything they want. 

Even it was published a long time ago, several edition was made and it was still a highly respected and well-read books. It has sold millions of copies and always a best seller of all time. According to Napoleon what the mind can conceive and believe can be achieved (becomes our family motto) and that is the real essence of the book. The main character of the book was Andrew Carnegie one of the very successful businessmen in America. Andrew Carnegie was at that time this book was written he was the richest man in the world. An immigrant from Scotland with no money and with little education but he was able to worked himself up and became a giant steel manufacturer.

The formula mention in the book is as relevant and useful as it was 100 years ago. Maybe it is more relevant now that internet and information were so easy. People starts to understand that becoming rich is not all about the lucky stars and magic (I used to think that before). That being rich starts with the way how we think. The book teaches me to think differently. And if you wanted financial freedom this book is a must to read.

Some of the words that I want to share it with you that I think without my knowledge I already use them unconsciously. Until I've read this book and start to wonder and became more aware now.

1. Every adversity, every failure, every heartache carries with it the seed on an equal or greater benefit.

2. Great achievement is usually born of greatest sacrifice and is never the result of selfishness.

3. Education comes from within; you get it by struggle and effort and thought.

4. Self-discipline begins with the mastery of thoughts.

5. The starting point of all achievement is desire.

I once read this poem and according to author it was written out of Think and Grow Rich book.

If you think you are beaten, you are,

If you think you dare not, you don't,

If you like to win, but you think you can't,

It is almost certain you won't.

If you think you'll lose, you're lost

For out of the world we find

Success begins with a fellow's will

It's all in the state of mind.

If you think you are outclassed, you are,

You've got to think high to rise, 

You've got to be sure of yourself before

You can ever win a prize.

Life's battles don't always go

To the stronger or faster man,

But soon relate the man who wins

Is the man WHO THINKS HE CAN!

Happy Savings and Have a fruitful life.

Now or Never

When my husband and I got into a big financial crisis, those few who are close to us and  those who devoted their time and money in our first ever business venture can testify what we've been through and it was a total failure, it seems like yesterday. When we fail I began  asking myself how to be a millionaire? Is there a way? Not because of any other reasons I just wanted to pay all of our debt. There were so many "what if" in my mind at that time. Because we really need to pay our debt but I don't know how. What if I have millions right away I can pay my lenders easily. What if my lenders will file legal actions I might end up in jail, what will happen to my children if I go to jail. What if I will just disappear and never show up again what will happen with my work, with my family, my friends (though few remain loyal). Those were all the what ifs that running through my mind several years ago. Yes' that was years ago and at that time I thought everything is impossible, thinking that situation will stay until forever until the rest of my life. But I was wrong, it is true that nothing is permanent in this world. Everything has an end, just like rain the sunshine will appear after the storm, the leaves will fall after the summer and spring will follow thru. Our life is like a cycle full of ups and down, I think God let us experience all the down fall in our life so that we may learn how to do better in life. How to appreciate all the things that we had and we will have. And for us (my husband and I) we learned how to seek financial freedom, we became hungry in terms of financial aspect in our lives seeking how to be free from our debt and how to have a peaceful mind and wanting not to think of  how to have money to pay for our everyday financial obligations, and making sure, that part of our life (nightmare I may say) will never happen again. That the million in my what ifs years ago can make it possible. That I can be a Millionaire because it is by choice. We all have a choice I believed and  according to one of Bo Sanchez article which I find it so appealing. Starting today, I will post articles base on my experience about financial literacy and how I apply it on my personal life. It is my way of telling each and everyone that nothing is impossible just have faith and dream high.

Drink Now or Drink Forever

Some few words are excerpt from Bo Sanchez article

This is a great picture of why people are poor. 

The money that you hold now, no matter how small, is like that jug of water. And you always have a choice. You can drink now or you can drink forever. You can have money now or you can have money forever.---Bo Sanchez. When I've read this article I thought of why not follow Bo Sanchez advise, nothing to loose because I don't have money at all, after all we were buried with debt at that time. But the question is How? 

A lot of people do not know how and where to start. I, myself been through that process but by the determination that I really wanted to get out of the situation that's why I tried my best. Later on or maybe on my next post I will  tell you how I started it all. But first let me tell you what is the real problem why people are struggling to get out of their debt but they cannot and this is proven because I was like this before until I've started the curiosity of reading books, articles, attending some seminars because I am trying to look for an answer and I was already fed up with our financial situation.

A lot of people according to Bo they don't know how to handle their money. They spend whatever they have, and it's true, been there, done that.  I've been with several people who earn as much as fifty thousand or more a month and they spend everything. Some few really doesn't have that much of money but still they spend everything they have and much worst they keep on borrowing to a loan shark so to speak just to feed their hunger for material things. That's why their money pump remains dry. And they'll remain poor forever. Once I've read this quote and on the day that I decided to change my life I've posted it on my table inside my office. It says, "It's not about how much you earn, It's how much you save that matters. Don't wait until the situation becomes perfect because trust me it won't. You have money now. It may be small, but you have it. Act now, think on how to take care of your money, decide, after all it is our choice, our life. At the end of the day,  it's between you and God and nothing else.  Happy Saving and have a fruitful life.

Teaching Tips

Teachers teach children to read, write, do the math, but more than that teachers are here to teach us to achieve something in life, in the future. 

Teachers are like parents we consider them as someone who influence us in so many things, especially in life. I remember several teachers who really serve as my inspirations and leave some marks on my life. Actually I never imagine myself to be someone in a teaching profession. It was not my decision, but I think It was written that I was destined to be in this field.

Just like mothers, teachers try to make their lessons easy to understand. They teach things in different ways so that different students can learn in the way that is easiest for them to understand. Just like our children as a mother, students also have different characteristics, attitude and background. Nowadays with the internet as a helpful tools teaching becomes more difficult in a ways on how to get students attention. Teachers like to see children learn and achieve something, but sometimes teaching lots of students can be stressful. Teachers also have to deal with children who misbehave.

Though I consider myself lucky because nowadays no need to attend a lot of seminars just to learn the methods. This video lets you into the tricks of the trade that will help you be the best teacher can possibly be. I know this video also help us understand how to manage difficult classes or maybe  difficult children at home as well. Happy viewing hope this one help to all the teachers out there and also to all the mothers who do some homeschooling.

Monday Blues

                                           

Monday was the worst day for every working people and I am not an exemption to that any more since the day when I've decided to go back working. Except of course if we are going to take it positively. Monday was the beginning of everything in a day it is the day of the week between Sunday and Tuesday. It is the first day of the work week. But do you know that according to the Islamic and Hebrew calendar Sunday is the first day of the week. The name Monday derived from an English Monandaea and middle English Monenday which means "mood day". Blue Monday is name given to a date stated as part of a publicity campaign by Sky Travel to be the most depressing day of the year, and yes it was after the weekends wherein you enjoy every hour of the day. But as what I have said you can take it positively if you want or put yourself in a deep depression (hehehe). For me here are some of the list that I should be thankful for so I don't have to be depress.

I am thankful for this nice weather.

Just this morning as I've read the news paper about the killer tornadoes in  some part of the United States (thinking about my family there hope they are all okey). Thirty-eight (38) or maybe more were killed and hundreds were hurt so sad to hear that news. That is why I need to be thankful living in a country that is disaster free I think.

I am thankful for clean clothes.

I got all my laundry done this weekend...Okay, that is partially a lie hehehe. Though I got most of my laundry done this weekend. But all stuff that really matters is clean. The house floor can say thank you for now they can breathe and no ants to bite them hehe. Actually that pile of cloths are getting big so this was no small feat for a working mother like me and without any household help a big clap for me yehey (just a part of motivation).  

 I am thankful for I was able to put decent food on our table before leaving the house this morning.

I am thankful for I have a job to get busy each day. 

Actually the real things I am grateful for today are in a way really the reflection of the weekends that I had. Thinking back to how I spent the weekend, this morning really made me realize how much I have to be grateful for. I may not be rich in so many ways but actually what matters most is as long as you earn enough to put food on the table, have a decent place to live, a family you can call your own and a friends whom you can spent a happy and fruitful weekends.