Most mothers wish that they had more than enough money to never have to think of making a household budget, but a budget is still necessary, no matter the amount of pesos your household is bringing in.
According to Nannette Ferreria, Managing Director and Senior Financial Consultant of Money Doctors Inc., and mother of six children, here’s how to pinch those pesos even further:
Plan the expenses before payday comes, rather than the other way around. So when your income comes in, you can allocate the money as planned. These are the expenses that you need to prioritize:
- School related expenses
- Househelp salaries
- Medical / dental
- Work-related expenses (transport to work, auto amortizations, fuel, toll, parking, meals)
Resist the urge to spend on "lifestyle" expenses. For other expenses that aren’t included in the list above, Ferreria says that you should ask yourself this question before purchasing anything: If I didn’t buy this item or do this lifestyle item, will I die?” If the answer is no, then that expense can be cut off.
Find a more affordable option. Be it food, clothing, gadgets, travel purchases, and the like, there will always be a more affordable piece of clothing, a cheaper hotel, or a gadget that you can purchase when it goes on sale because of the release of the newest model.
For more tipid tips, go to the next page