In line with the rebranding of this blog, I hope to be able to publish more articles/posts like this one, which falls under “Our Resources | Finances.” God has blessed all of us with the capacity to earn income and grow our finances — so we can provide for ourselves and our loved ones… and also bless others. So I hope and pray that our finance-related articles will help others somehow — to learn how to be good stewards of the financial resources He has given us.
A new year often symbolizes hope for many of us — a chance to start over, an opportunity to revisit our dreams and goals. It’s often also the time for making resolutions, in the hopes of being better and doing better as compared to the previous year.
Now, while making New Year’s resolutions is usually a good thing, it may help to heed the advice of the “wiser” among us before we make out list of promises for the year ahead — the year that has already begun, actually. This applies to all aspects of our lives, including our finances.
To help you get started — yes, even if we’re already nearing the end of the first month of the new year — we share some tips from three well-known financial experts. Remember, it’s never too late to take charge of our finances.
“The New Year brings new hope to every individual and that’s why we always have our New Year’s Resolutions. The problem is how we are able to sustain that habit,” Fausto explains. “So my tip or ‘life hack’ for everyone is to AUTOMATE IT!”
What does this mean, exactly?
Once you’ve decided that you will save/invest every month, sign up with your payroll account for an automatic investing facility such as Easy Investment Plans/Programs.”
“This eliminates all the inability to sustain [investments] due to different excuses. This would spell a big difference by the end of 2016: You would either have invested 3 out of 12 months, or 12 out of 12 months!”
2. Think of others.
Create an automated ‘Charity Fund.’”
Ngo says, “We normally think of money in terms of accumulation, but one of the most powerful impact money can have is through generosity. That’s why I created a charity fund. It’s a separate bank account I set up to which I automatically transfer a certain percentage of the money in my main bank account every month.
“I personally use BPI’s Save-Up account. You can inquire with your own bank for such facilities.”
Related to the first point in this article, Ngo emphasizes the importance of automation.
“Remember, we are taking hard-earned money away from our own personal use, and that can be painful. So making it automated takes that emotion away and enables continuity,” he explains.
“I use this [fund] to support my sponsored children from World Vision, donate to charities when calamities strike, and help out a friend or relative in need.
“Mentally, since I’ve already earmarked this for helping others, it enables me to quickly help others wholeheartedly. Personally, this fund has made a tremendous impact in my life, and I hope it does the same to you.”
3. Obey the “laws of money.”
Fausto advises those who need financial guidance to use her “simple 3 Basic Laws of Money*” starting January. “They’re so simple that even young kids can understand, remember and practice them throughout the year,” she adds.
The “laws” are described in Fausto’s book, The Retelling of The Richest Man in Babylon, which can be purchased from major bookstores, and are as follows:
“Pay yourself first.”
“Get only into a business that you understand; and seek advice only from competent people.”
“Make an army of golden slaves before you buy luxury.”
4. Live 100%.
Dean Pax Lapid, bestselling author, and mentor of the Truly Rich Club, says it’s best to start every new year by asking yourself, “How do you live your life (including the financial aspect)?”
“Use the abundance formula,” he shares. “Bro. Bo (Sanchez) has the 100-10-20-70 formula. Mine is earn 100% + LOVE 100% = LIVE 100%.
It’s always good to make a living but it’s best to make a LIFE.”
To end, remember to heed the words of Suze Orman, American author, financial advisor, motivational speaker and television host:
No one’s ever achieved financial fitness with a January resolution that’s abandoned by February.”
As with all New Year’s resolutions and with every nugget of wisdom from finance experts, what matters most in the long run is consistent application of what you’ve learned and perseverance in achieving your dreams. Don’t give up on making your finances work for you, and never stop learning.
Do you have any New Year’s resolutions when it comes to your finances? Please feel free to share them in the comments! Also, if you think that this article will help others, please do share it!