Another year has passed and the statement "I don't have savings again this year" is very common. Most Filipinos lack investment knowledge. Only few know about the stock market, mutual funds, bonds, etc. Most of us are happy with the 4% annual interest in the bank while enjoying the 3.5% monthly interest (that's 42% annual interest) in our credit card. It's because most of us where taught since childhood that the only savings facility are the banks.
The following could have been your mutual fund financial statement applying the concept of money cost averaging.
Wow! Your 120,000 capital gives you roughly 30,000 tax-free. Yes, its tax-free here in the Philippines.
That's money working for you!
If you continue saving 10,000 monthly for five years and considering a conservative 15% annual interest (conservative because the current actual average five year return is 20%), your money will grow to 930,448.61.
That amount might not be enough to buy your dream house or own a condo unit but who knows, you might be bored in investing 10,000 monthly and increase it 15,000. That would mean a higher return in the future.
Remember, "time not the timing is your best ally in investing". Do not procrastinate and start investing Now!