5 Tings to do with your 13th Month Pay

Booyah! I’m sure everybody is counting the days because we (yes I’m included) are all excited for our 13^th month pay. After all those hard works and overtimes we are finally getting what we arbitrarily call “simbolo ng pagyaman.”

But before you spend your 13^th month pay, let’s do some reality check first. I have here some few things that you can do with your bonus in order to increase your financial stability.

1.  Donate some

The value is giving is very important when you want to gain financial stability. It gives you the sense of fulfillment and sense of humility. As a suggestion you can give alms to the beggars, donate to the church and the charity and give some cash gifts to your families.

 2. Save 20% for your emergency fund

The essence of having a cushion fund or emergency fund is widely discussed in my blogs because I believe that this fund is as important as having life insurance. So every time you receive money put away some for this.

       3. Pay your consumer debt

Have you been naughty these past few months with your credit card? Well I guess this is the right time to pay up every single centavo that you owe from the credit card company. Trust me, there’s nothing more liberating than not acquiring consumer debt. J

       4. Get a health insurance

Life insurance is a very common knowledge in the Philippines nowadays while health insurance maybe a subject that needs wider audience. If you have company health insurance then well and good but if the company does not provide then I suggest you need to get one on your own.

Read how Paul and I got our long term health insurance here.

       5. Get a life insurance

As mentioned, life insurance is very common here in the Philippines but most Filipinos do not have proper insurance nor have knowledge on how to compute for the right coverage. Still having coverage is still better than not having at all. I suggest you divert some of your bonus to get a life insurance. Better talk to a financial planner first so that together you can compute how much protection you need.

It is always nice to have the latest gadgets, best outfits, cool entertainment system and the likes especially during the holiday season. But we should not forget about our financial stability in exchange of the pretty little things we can do without. 

Advance Merry Christmas! J

13th Month Pay Arrived, So What Now?

My prorated 13th month pay arrived last weekend while I was camping at Mt Batulao. I immediately took the money and went shopping! Oooooooopppppppss! NOT TRUE! hahaha.

Few months before the bonus pay out, I already planned where my 13th month pay will go. So off my bonus to one of my favorite investment facilities - my long term health care.

I am saving for it for almost 4 years now. It was a plan designed to pay my hospital bills even at the age of 60 and beyond. The good part is, I am going to save for it for just five years. It took me lots of guts and will power to pay my plan but I am pleased that I went on through the process because today I know my money has a longer way to go.

I hope you have your long term health care also.

~Till then.