Baby Steps

I returned the P5,000.00 withdrawn from my investment which was supposed to be for down payment for a new apartment me and my cuz were looking for. I couldn't look for a nice place suitable for our budget so I guess I'm gonna have to wait it out a while. Current balance as of March 26, 2007 is P29,303.00. Pretty small still but the most I've ever had, honest.

One day, my money's gonna grow big, really big. I just have to trust the power of compounded interest. Honestly, I would be much happier with P30,000.00 since I like it when 20s become 30s. It's like reaching the next level or something. Oh, it's just me.

I've been reading Colayco's Wealth Within Your Reach but I still like Suze Orman's book better.

In a rut...drat!

I'm in a rut. So far, I have P28,153.00 to be exact and I had to take out P5,000 to look for a new apartment. Damn, and I'd been so impatient about how I won't be seeing any growth until July. Didn't know I had to touch that money so soon. Anyway, I was informed by the company I've invested in not to worry. Said the cut-off's not until the first 3 working days of April. I've just gotta catch up, the nice lady said. Hope I make it or my dividend's busted.

Step 5. Clothe your plan with action!

Since I now have a concrete plan on how to grow my money - Save and Invest. I think the proper course of action to take next is to actually acquire that money to save and invest. Now, let's see here... My only source of income is my salary, which is my active income (income I generate while actively working)and nothing else (voila!). And my main objedctive is to have a steady source of passive income (income generated from investments - your money working for you!) So, I have no other choice but to tap my only resource - my salary!

What I did last February 23, 2007 was I took out a loan worth P24,717.00 from an insurance company so I can save and invest that money. But I can't put it all into my savings since I have to take care of some expenses to afford that loan. But first, here's a look at my pitiful current financial status on a monthly basis (prepare to cry a river):

**Income:
Monthly Salary (NTHP) - P5,978.00

**Fixed Expenditures:
Monthly aid to family - P2,100.00
Rent - 1,000.00
Payment for cellphone - 1,000.00
Payment for TV - 600.00
TOTAL - P4,700.00

**Other expenses (balance):
Payment for glasses - P 400.00
Avon - 250.00
TOTAL - P 650.00

GRAND TOTAL OF LIABILITIES- P5,350.00

So, that pretty much is it! Food's not included there as are toiletries and other stuff I need to live. And it does get worse, because I'm expecting the start of salary deduction for my new loan on April, which is P1,220.00, so that my NTHP will be reduced to a very meager amount of P4,758.00!

But, I feel pretty good, because I know I'm in the right place, right track right now. And I swear I can move that liability. How? Well, simply because I can live on just P1,000.00 for two weeks. What do you mean how? I don't need money for transportation because I walk to work, office is a few blocks away. And we actually have free lunch at work. How cool is that? As for amusements, I can watch DVDs galore at home. I have tons of unwatched DVDs and I don't have electric and water bills because I live in a boardinghouse. Nice, huh? Besides, I can go to the mall whenever I want and don't feel like I have to buy tons of stuff for myself because I've already done that before when I still didn't have a plan. So, basically, when I go to the mall, all I do is eat! This is a charmed life, what can I say?

So there, I can do this. But there is an expense that I seriously need to settle before I'm really good with this - pay my cellphone! I have a balance of P5,950.00 and I'm taking P4,500.00 from the P24,717.00 so that the remaining balance will be P1,450.00 only as of Feb. I still have March to pay P1,000.00 more before my deductions start so finally, that leaves a balance of P450.00 for me to worry about. I'm not worried though. God will make a way. Now, why do I need to make full payment of my cp? You may ask. That's because it will mean that I will have a deduction of P220.00 only instead of P1,220 every month! I pay P1,000.00 per month for the cp, remember?

Seriously, paying my cp will mean that I will be left with only P19,300.00 to put into my savings account which currently has P8,850.00 right now (I will be taking P900.00 from the loan money for some stuff I need). That makes P28,150.00 savings. But it's the most money I've had in my entire life that's really mine, to tell the truth.

Again, I still can't believe I'd only be paying P220.00 every month for that loan! (because I paid my cp).

Step 4. Read a lot of books on how to grow money

To tell the truth, this whole quest for big bucks has been accidental. As in, I didn't plan this, it just sort of happened. Once I was strolling in a mall, sorting through their book sale and I chanced upon this great sale: a book by Suze Orman called "The 9 Steps to Financial Freedom." It's original price was in dollars that if converted to pesos, would probably cost more or less P1,500.00, but they were giving it away for just P150.00! Now, I was not the type to pass up that good an offer, so the rest was history... Or history in the making (as the case may be).

I was hooked from the first pages so I decided that this was the one book on financial management that I was gonna read to the last page. Well, I didn't. But can't say I didn't try. Thing is, I liked the part that I can understand (like the first three chapters) until the author started talking about stocks, bonds, the stock market, interests and mutual funds and how they all work and I felt I was gonna give myself vertigo, so...

Well, the point is that, that book got me started in this whole quest business - the quest to make me rich, richer than I could ever hope for. It gave me an idea, that blossomed into a plan, that is now being religiously carried out by moi. The plan - the concrete plan - is to save and invest money so that it can grow to take care of my needs and the needs of those I love. Suze said that that is the most powerful and respecful way there is to earn money. That concept alone was the turning point of my otherwise humdrum, easy-go-lucky, devil-may-care life wherein I had no savings and investments to show for and no plans for a better future. I simply squandered my hard-earned money before - buying stuff I don't even need.

I'm also planning to get another book. This one from Francisco Colayco called "Wealth Within Your Reach." I've heard a lot of buzz that it's good and it's got a sequel now. I'm sure it will be just as helpful to me in my quest.

Step 3. Believe that you can achieve it!

Gasgas na! This is so overused that if the concept of positive-thinking/ autosuggestion/the power of faith in your ability to achieve your goals and dreams were a shirt, it would have holes in it the size of Alaska! This is the root and the driving force behind every individual success - by first believing that you can. So, I believe. I believe. And "I believe" shall be my mantra.

Step 2. Psychological hardness against the devil's advocates

Lo and behold! I've not even been halfway near my quest and already the devil sends a couple of his advocates to torment me. These advocates are the people who the apostle Paul might have referred to as "thorns in his side." They are those who lack understanding of the inner workings of the mind of the people who plan for their future and who have their own designs on their own resources.

If, for some warped reason, that sounded a little vague, I would have you understand that you do not expect people to easily dispense of their resources because no matter what, they will always have plans with it. In plain english, I'm talking about other people's money. You don't touch it!!! YOU DON'T TOUCH OTHER PEOPLE'S RESOURCES. They're not your own. You would have thought that MAN has come a long way. You would have thought that we've finally FINALLY achieved civilization. You would have thought that it was plain common sense that sets us apart from the animals. But, what do i find out? SOME PEOPLE SERIOUSLY NEED TO BE EDUCATED ON THE CONCEPT OF OWNERSHIP! Everybody say it again: CON-CEPT OF OW-NER-SHIP. That's right.. Uh-huh.. Getting there. Now, say it again, and learn to respect it.

Now, I may have sounded harsh here, so a little disclaimer. I totally support helping out those who are in need and I do my little charity works here and there. I also lend my money to people who need them. BUT, it depends mostly on where they're gonna use them. Mostly, the people who I loaned my money to were gonna use it for medicine, food, allowance for school, driving lessons for work, bills, pamasahe, and other urgent needs. I draw the line for non-urgent matters like recreation and amusements. However, I have encountered lamebrains who labeled me as selfish because I wouldn't shell out money for those non-pressing matters. Well, this is my only message to you: Up Yours! There is only one thing I wanna give you - THE FINGER!

To all those who have a motivation, goal or purpose of any kind (except criminal), do not give up and do not let these losers get you down and steer you off-track. Have that psychological hardness and order them to EAT YOUR DUST!

The Quest

This is a quest to find out if it is indeed possible to break away from the chains of poverty in the third world country. How can a single girl, working as a clerk in one of the offices of the Philippine national government, be able to make herself richer beyond her wildest imaginations? This, without engaging in morally demeaning tactics and desperate measures?

As a minimum wage earner, I have become virtually acquainted with the ails and limitations brought forth by poverty. Life in poverty is no way to live. I know this because I live in a third world country where opening your pretty brown eyes means you'll have to see evil and suffering all around and that's hard to bear. It means you'll have to seeth in rage by the way politicians and the government seem to take it all in stride that their people hardly have anything to eat while their own tables overflow. Shame on them. And shame on me for becoming part of all of that. For choosing to shut my eyes and turn my head away because I'm in no position and have no resources to help the poor. Why? Because I, myself, am poor. There's no shame in being born poor, but the shame lies in wanting to help but being unable to.

Thus, explains the whole cause of this quest. And, of course, snagging that humungous house in Tagaytay overlooking the magnificent Taal Lake wouldn't hurt as well.

The big question is, can I pull this off? We'll get to that part eventually.

Meanwhile, here's me taking a big leap for a first step:

Step 1: GET STARTED.