Finances by Inday

This is not my usual entry.

This year I want to take control of our finances and manage it right. We've been spending too much last year that I thought we'd lie low this year to save a bit for the rainy days.

Please note that I've always been a thrifty person so this comes naturally to me. I am going to enumerate some tips that I have been doing

1. I never think of "future money",  if I buy something even by credit card I make sure that I have money in our bank to pay for it. "Bibilhin ko to kasi swe-sweldo ako this 15 at meron akong bonus next month" is no-no to me.

2. I always pay off our credit card in full (according to statement balance) because interest rates will bite me big time.(excluding 0% interest for x years purchases)

3. I keep multiple credit cards depending on the cash back. I play the credit card game and have amassed a lot of points. 20% of our cruise expense last year was paid by my credit card points. Hotel stays were all completely paid by points.

4. Since I am into shopping online, I make sure I get cashback from my purchases. Hello Ebates and credit card cash back deals.

5. If possible I don't pay full price so I always have a coupon in hand. When I go to a shop, I pull up coupons I can use via my mobile phone.

6. Because I hate paying $$$, I am not brand conscious. Kevs lang ganoin.

7. I know the bottom prices when doing groceries. I know that 1.89/lb for chicken and 1.69/lb for pork loin is cheap, when I see these prices I buy in bulk and freeze them. If the price is $2 higher that the bottom price, I don't buy them and wait until it gets to that price again.

8. Automatic deduction can do wonders to one's budget, right now I've set 401k, 529 college plan and Dependent care fsa to auto deduct. Not only do I have to work with what's  left of our salary, it  also decreases our tax rate. Win-win.

9. Yes, we do eat out a lot but I use groupon, livingsocial and coupon books to save. We rarely do appetizers, drinks and desserts. I have a set budget for each dine out.

In the future I plan to

1. live off with only 1 salary. This was what we did pre-kids and would want to do this again especially now that daycare expense will soon be gone.

2. Eat less outside and cook more or let Sir cook more *cough*. I've never been a good cook, I can bake but can't for the life of me cook decent ulam everyday. If I were the one cooking I would always end up cooking spam, hotdog and instant noodles.

3. Max out our 401k

That's it pancit. It's already 12:52 am and it's time for my beauty sleep.