MANILA, Philippines - So you already want to start your financial journey - but you have no idea where to start.
Whether you’re happy with your salary or hanging on until next payday, it’s best to start your financial journey sooner rather than later. Just remember that everyone’s financial journey will be different, so don’t compare yours to others’. The key is to get started as soon as you can.
Below are a few tips to get you started on your journey.
Get to know your money habits
To manage your finances, the first thing you have to do is to learn more about yourself in terms of spending and saving habits. Start keeping track of your income and expenses. Are you spending your paycheck the whole way through? Do you pay off your credit card on time?
Make it a habit to take a look over your records to check whether you’re living well within your means. Then from this, create a realistic budget you’d be able to follow. Assign a monthly amount to each expense.
Save money consistently
Your savings would look like this: total monthly income minus total monthly expenses. Expenses vary every month, which would mean that sometimes you end up saving less, but that’s fine. Start small. The key is to do it consistently.
To make it easier for you to save, you can also put your money in a passbook account. You won’t have easy access to your savings as you would with an ATM account. This gives you more time to think over frivolous purchases.
Set financial goals
Fulfilling goals take time, but setting them boosts drive and motivation. These goals can be as short-term as purchasing a car, or as long-term as having enough money saved up for retirement and emergencies.
This is where insurance and investments come in. They’re handy partners which can give you financial stability, and even safeguard you and your loved ones from accidents which could drain your finances.
Confused about which one to get? Sun Life offers different products for whatever stage in life you are in.
If you’re a health and fitness buff, Fit and Well provides life insurance and cash benefits upon diagnosis of illness or injury. This product comes with free access to community workouts and fitness classes in gyms and studios through its GoWell Community. For those looking to grow their wealth, Sun Life Prosperity Achiever Funds can help you generate higher returns for your money through stocks and bonds. If you’re more of a family person, Sun Smarter Life Classic protects your loved ones’ financial future whatever happens, and also provides cash benefits which you can use for life milestones.
Still confused? Talk it over with a Sun Life advisor. Having an advisor can make money matters easier to understand.
Start your journey ASAP
Admittedly, having to make financial decisions can trigger analysis paralysis. But don’t procrastinate. Start slow, but you have to start now. These days, you have all the resources you need to educate yourself with.
What financial goal are you setting for yourself this year? - Rappler.com