DTI Freezes Cost of School Supplies

 The Department of Trade and Industry issues the list of standard retail price of basic school supplies.  The cost of supplies must still be in the 2009 level since the effect of increase in the cost of raw materials can only be felt in the second half of the year.  This will protect the public from excessive profiteering and unfair business practices.  Check out the list below.

BRAND /TYPE /STANDARD RETAIL PRICE



COMPOSITION NOTE BOOKS

ADVANCE BOND 12.75

CONSOLIDATED ECONO 12.75

ADVANCE W/MARGIN ECONO 12.75

TOPLINE ECONO 11.75

BEST BUY W/ COVER ECONO 13.50

BEST BUY (ECONO) ECONO 9.50

NBS BASICS ECONO 11.00

YASAKA ECONO 11.50

PAPERLINE ECONO 12.75

VECO ECONO 15.50

MERIT CHARACTER W/ COVER BOND 18.75

MERIT CHARACTER W/O COVER BOND 14.75

MERIT W/O COVER BOND 11.00



WRITING NOTEBOOKS

ADVANCE BOND 12.75

CENTURIAN NEWSPRINT 10.75

TOPLINE ECONO 11.75

BEST BUY W/ COVER ECONO 13.50

BEST BUY (ECONO) ECONO 9.50

NBS BASICS ECONO 11.00

YASAKA ECONO 11.50

PAPERLINE ECONO 12.75

VECO ECONO 15.50

MERIT CHARACTER W/ COVER BOND 18.75

MERIT CHARACTER W/O COVER BOND 14.75

MERIT W/O COVER BOND 11.00



SPIRAL NOTEBOOKS

TOPLINE ECONO 11.75

NBS BASICS ECONO 11.00

BESTBUY ECONO 13.50

CONSOLIDATED ECONO 12.75

ADVANCE ECONO 12.75

YASAKA ECONO 11.50

YASAKA (KRAFT) ECONO 9.50

PAPERLINE ECONO 12.75

PAPERLINE (KRAFT) ECONO 11.50

MERIT CHARACTER BOND 19.75

MERIT BOND 17.75



GRADES 1-4 PAD PAPER

EASYWRITE (2S) BOND 22.50

NBS BOND 9.00

NBS BOOK 10.00

BEST BUY 90 LVS BOND 11.00

BEST BUY 90 LVS BOOK 12.50

BEST BUY 80 LVS BOND 10.50

BEST BUY 80 LVS BOOK 11.75

YASAKA 90 LVS BOOK 13.00

YASAKA 80 LVS BOOK 12.00

MERIT BOND 10.00



INTERMEDIATE PAD PAPER

EASYWRITE BOOK 24.00

VICTORY BOOK 21.50

NBS BOND 15.50

NBS BOOK 18.00

BEST BUY 90 LVS BOND 18.00

BEST BUY 90 LVS BOOK 23.00

BEST BUY 80 LVS BOND 17.00

BEST BUY 80 LVS BOOK 21.00

YASAKA 80 LVS BOOK 22.00

YASAKA 90 LVS BOOK 24.00

MERIT BOND 15.00



PENCILS

ACASIA 5.00

STANDARD 3.75

BEST BUY 3.25

CHIRP 3.75

LEONE 4.00

STAEDLER 5.50

MONGOL 5.50

TPENCIL 5.25

TPENCIL JUMBO 8.35



CRAYONS

CRAYOLA 8S 17.00

CRAYOLA 16S 30.75

CRAYOLA 24S 45.75

CRAYOLA 48S 96.00

NBS 8S 9.00

NBS 16S 18.75

NBS 24S 27.25

LEONE 8S 10.75

LEONE 16S 19.75

LEONE 24S 29.75

Opening An Online Store Business

Starting a business involves risks.  We need to calculate the risks involved and evaluate before we start.

With the advent of internet, business-minded people used this medium to their advantage.  One type of business which entails lesser risks is an online business store. Here, the store owner sells products in a virtual marketplace.  If you have some stuff that you want to sell, you can also post your products too. There are several sites that offer this service for free.  You can try http://www.sulit.com/, http://www.olx.com/, e-bay, multiply, even on facebook!

What are the advantages of an online store business?  First, you cut back on overhead costs.  In business, overhead costs refer to necessary expenses that do not add any value to the products.  For example, you have a mini grocery store.  The products that you sell are the groceries.  To operate your store, you have to pay the salaries of your employees, the electricity consumption, store rental fees and maintenance fees.  These expenses do not add any value to the can of sardine that your customer have just bought, say, the product is the same even if the customer have bought it in the public market or supermarket, but you have incurred the cost of overhead which you have eventually passed on to the customer.  This means, your product can be sold at a lower cost if you can cut back on overhead.

Second, you operate at your own time, at your own pace.  If you have a conventional store, you have to observe the regular store hours.  In an online store, you can work anytime, at the frequency that suits you.

Third, you're in business even when you sleep!  Yes, your orders will keep on pouring even when you are offline, sleeping, resting, playing or in your office.  The possibilities are endless, it's up to you if you're ready for the challenges.

Save Up!

You're itching to have your own small business.  You already have the business concept in mind.  The question is, do you have the capital needed to put it up?

We have previously given the tips on how to put up your capital, but if you don't feel comfortable selling your stuff or borrowing money from a bank or a friend, you have to build up your capital the hard but sure way, SAVINGS!

Saving up is the old fashioned way of putting up money for your much needed capital.  This may take a longer time (and a lot of will power!), but the rewards are much more fulfilling.  First, you don't owe anything from anyone.  The money is all yours.  Second, you will avoid the stiff interest rates from cash loans.  Third, you will still keep your valuable possessions, although, some of your stuff really must be disposed off, to have more space inside your home.

The catch here is that, you must have the patience to wait for another year, depending on the amount that you can set aside for your business.  Suppose you can save up to 20% of your monthly income.  For a regular employee who receives roughly ten thousand pesos a month, that means setting aside two thousand pesos monthly.  Deposit the amount of one thousand every 15th and 30th of the month, in a passbook account, to minimize the urge of frequent withdrawal.  The same goes for your whole 13th month pay.  Yes, 100% of your 13th month pay.

After a year, you have saved THIRTY-FOUR THOUSAND PESOS!  The amount may go up depending on your income and your control over your finances.  If you're getting twenty thousand monthly, you can save more than SIXTY-EIGHT THOUSAND PESOS!  Indeed, your future is in your hands!

Cash Loan

Unless you can borrow from a close relative or friend, you may also want to consider getting a loan from a bank. Have you ever received a call from accredited service providers of major banks, offering cash loans without collateral? With minimum requirements such as Certificate of Employment and payslip and with the ease of phone transaction, your loan can be processed within a week.  Just be careful on the pieces of information that you give over the phone.  They may use these for other purposes.  When in doubt, go directly to a bank and inquire.  The loans officer will gladly assist you with your needs.

Getting a loan is the fastest way that you can put up the capital to start your own business. One burden though, this comes with an interest rate from 1% to as high as 3.5% per month or 42% per year. For a loan of Php 50,000 at the rate of 3.5%, you may have to shell out Php 1,750 per month for interest payment.

Liquify your Assets

How much is too much?

You have to answer this for yourself, as you look around the house and inside your closet. Take a look and check the things that you can sell. You may have appliances that you think you can live without, old clothes that you have not worn for over a year, old bags that have been gathering dust in the corner of your bedroom, your son’s used school books in previous levels, anything of value which you can dispose.

Then, get your digicam or even your cellphone with camera and take pictures of these possessions. Assess their values and e-mail to everyone in your address book. You can also post these items for sale in the net, thru www.sulit.com.ph , www.olx.com.ph or other vendor sites.  The source of capital for your own business may just be within your reach.

Money for Business

The first thing that you must consider in putting up your own business is your capital. In common language, capital refers to cash and properties that you can set aside and use for investment. You may have a lot of business concepts in mind, but your capital dictates the scale of things that you can start up with. It may not pose much of a problem if you plan to put up a small business, if you have enough savings in the bank, maybe a hundred thousand pesos at least, but to those who will start from scratch, you may consider ways to build up your much needed capital.

Starting a Business

It has been said that the Chinese people have a unique way of bringing up their children.  Unlike Filipinos and other Asians who teach their children to study hard and get good grades in order to get a good job after graduation, Chinese parents teach their kids to become entrepreneurs even at a young age.  This is probably the reason why most successful business tycoons in Asia are of Chinese descent.

Most of us want to engage in business as well, but several hindrances have to be hurdled.  One, we need stability.  For the average employee who goes to work 5-7 days a week, he/she is guaranteed to receive his/her salary come 15th and 30th of the month.  In business, there is no such guarantee.  We need a stable source of income to make both ends meet that's why we have to hold on to our job.  This deprives us of precious time to endeavor into a business plan.  This cycle continues, year in and year out, until we realize that we need to consider other means or ways to generate income.

Two is the lack of resources.  A business plan will only materialize if we have enough capital.  Banks and lending institutions have stiff requirements and qualifications for borrowers.

Three is a concrete business concept.  What type of of business do you really want to engage in?  A food cart, a retail shop, buy and sell?  There are several options available and we need to tap which concept can we best deal with.

Time, capital and concept- these three are essential for any business to materialize.  After considering the three, everything else follows.

The Cliff Royale Subic Resort

The Cliff Royale Subic Resort is the perfect getaway for your family this summer.  Feast your eyes in the beautifully landscaped greenery or simply relax and enjoy swimming in their cove beach and swimming pools.

Approximately two and a half hours from EDSA Balintawak via NLEX-SCTEX road, The Cliff Royale  Subic Resort is an accessible  vacation place for families on a budget.  Check out their affordable accomodations:

1.  DORM ROOMS- GREEN&PEACH COTTAGES 7&8

     -PHP 2,000 for 4 persons; additional PHP 500 per mattress

     -maximum of 6 persons

2.  STANDARD ROOMS- GREEN&PEACH COTTAGES NOS.1-4

     -PHP 2,000 for 2 persons

     -With 1 Queen sized bed for Rooms 1 & 2

     - 2 Single beds for Rooms 3 & 4

     -additional PHP 500 per mattress

     - maximum of 4 persons

3.  MINI-SUITE - GREEN&PEACH COTTAGES NO. 6

     -PHP 2,000 for 2 persons

     -1 Queen sized bed for 2 persons

     - additional PHP 500 per mattress

     - maximum of 4 persons

4.  MASTER'S SUITE W/ LOFT & KITCHEN- GREEN&PEACH COTTAGES NO. 5

     -PHP 3,000 for 2 persons

     -1 Queen sized bed for 2 persons

     - additional PHP 500 per mattress

     - maximum of 6 persons

All rooms are fully airconditioned, with mini ref, TV and uniquely designed shower and toilet for tropical living.

This distinctive resort is situated on top of a cliff, 25 meters above sea level, the highest point in Barrio Barretto and majestically overlooking Subic Bay.  A carefully designed trail will safely lead you to the cove beach.

For reservations, you can call the following numbers:

Contact Nos.: +63-917-8515273
                       +63-906-3089480

or visit their website at http://thecliffroyale.com

Budget Vacation 3- Blue Rock Beach Resort

One of the more popular beach resorts in Subic, The Blue Rock Beach Resort offers affordable accomodations for couples.  The rooms are comfortable, with aircondition, cable TV, hot and cold water and mini bar.  The place may not be suitable for families with small kids, since this resort may also be touted as an adult resort.  For that part, you have to check that out for yourself.

The room rates are as follows:

1.  STANDARD BACK ROOM   PHP 1,500

2.  DELUXE BACK ROOM         PHP 1,800

3.  BEACH FRONT FAMILY      PHP 3,850

4.  BEACH FRONT W/LOUNGE     PHP 2,350

5.  BEACH FRONT W/ PRIVATE VERANDA PHP 2,450

6.  STANDARD BEACH FRONT  PHP 2,100

7.  DELUXE BEACH FRONT        PHP 2,680

8.  SUPERIOR BEACH FRONT    PHP 3,150

9.  EXECUTIVE BEACH FRONT PHP 3,850

10.JUNIOR SUITE ROOM            PHP 4,950

Strictly no outside food and beverges may be consumed in the rooms or in the resort premises. 

CONTACT NOS.  +6347-2248236 to 38

                               +63910-5115142

EMAIL                   sales@bluerocksubic.com

WEBSITE              http://www.bluerocksubic.com/

Budget Vacation 2- Rama International Beach Resort

Situated almost in the center of the Zambales provincial coastline, Rama International Beach Resort in Botolan, Zambales is perfect for a family vacation on a budget.  You will have access to the clean and uncrowded beach of Zambales and the salt-water pools.  They have airconditioned and fan ventilated rooms which can accomodate up to 9 persons at very reasonable rates.

BUDGET-FRIENDLY ACCOMODATIONS:

1.  SINGLE VIP ROOMS - good for 2 persons

     -Double bed with fan    PHP 1,675

     -Double bed with AC   PHP 1,895

2.  COTTAGE

     -Bungalow with AC for 2 persons   PHP 1,850

     -Bungalow with fan for 4 persons   PHP 1,895

3.  DELUXE BEACH SIDE ROOMS - with AC, TV, hot water and patio

     -for 2 persons       PHP 2,125

     -for 4 persons       PHP 2,995

     -for 6 persons       PHP 3,895

4.  FAMILY ROOM- with AC, good for 4 persons  PHP 2,325

5.  APARTMENT STYLE- with AC, good for 6 persons  PHP 3,495

6.  FAMILY DORM STYLE ROOMS- with AC, good for 9 persons PHP 4,125

7.  BAHAY KUBO - good for 2 persons, PHP 750

ADDITIONAL PERSON  PHP 350

DAY USE (7AM- 8PM)   PHP 150

CORKAGE                       PHP 50/PERSON/DAY 

FOR RESERVATIONS
EMAIL  ramabeach@gmail.com
CONTACT NOS.  0918-9101280 or 0917-523RAMA
Visit their website   http://www.ramabeach.com/

Budget Vacations-Laiya, San Juan Batangas Beach Resorts

Summer is here!  For most of us who want to make our summer memorable and to beat the scorching heat, we opt to pack our things and head on to the beach with our family and loved ones.  At times like these, we also need to consider our budget.  This site will feature interesting and affordable vacations that you can consider without breaking your piggy bank.

LAIYA, SAN JUAN
BATANGAS BEACH RESORTS
Only a three- hour drive from Manila, Laiya, San Juan takes pride of having the best white sand beaches in Batangas.
 
1. BALAI SA LAIYA RESORT
The perfect place to enjoy the outdoors, frolic in the sun or simply relax in their native cottages, this resort gives the visitor more value for money.  Check out their rates:

SEASIDE ROOMS
Overnight Accomodation for 2:   PHP 1,700, add'l person, PHP 550
UPPER ROOMS & LOWER ROOMS
Overnight Accomodation for 2:  PHP 1,500, add'l person PHP 450
*Additional PHP 600/night/room for use of Aircon

 Rates are inclusive of 2 days/1 night accomodation, bottomless tea or cofee, free use of volleyball court, bonfire pit and billiard table.

MEAL PACKAGE PER PERSON
Guests have to avail their meal packages as follows:
Daytrip- 8AM to 5PM:  PHP 500.00
Overnight Package-10AM to 9AM or 3PM to 2PM: PHP 950 for 3 meals
                                 -10AM to 2PM : PHP 1,300 for 4 meals
Corkage- PHP 200 per bottle

MANILA BOOKING OFFICE
Telephone No. 240-2927
Email               BALAIRESORT@YAHOO.COM
Website           http://www.balai.resort.com/
Office hours    9:30AM-5:30PM, M-F

2. SABANGAN BEACH RESORT

Unlike the other resorts in Laiya, Sabangan Beach Resort allows families to bring in food and drinks.  The rooms may be a bit pricey compared to other resorts, but you can cut-back on the budget for food.  The cottages have a fully-equipped kitchenette, with a refrigerator, hot & cold water dispenser with a 5-gallon purified water, electric stove, rice cooker, pots & pans, plates & cups.

The swimming pool is under construction and may be finished in March 2010.

The rates are as follows:

ONE BEDROOM BUNGALOW

Perfect for a small family, the bungalow is good for a family of 4 to 6 persons.  Each unit has 2 double sized beds, private toilet & bath with water heater, sala set, cable TV and room safe.

Non-Beach Front  PHP 6,720 per night
Beach Front          PHP 7,280 per night

TWO BEDROOM BUNGALOW
For larger groups or families, this cottage can accomodate upto 9 persons.  Each unit has 2 double sized bed and a queen sized bed, and also has the same amenities as the one bedroom bungalow.
Non-Beach Front   PHP 10,080 per night
Beach Front           PHP 10,640 per night

LOFT TYPE COTTAGES

The four loft type cottages have 2 rooms each and can accomodate from 12 to 15 persons.  Each cottage has a private toilet & bath, cable TV and patio area with a refrigerator, water dispenser with 5-gallon bottled water, cookware & dining utensils.

Overnight rate at PHP 16,800

MANILA BOOKING OFFICE
Telephone No.   914-9640
Fax No.              667-3997
Email                 info@sabangan.com
Website             http://www.sabangan.com/
Office hours       9:00AM-4:00PM, M-F

3. LA LUZ BEACH RESORT
The resort prides itself in having a very relaxed and natural atmosphere.  They have 9 cottages with a total of 33 rooms.  Each room has a private bathroom and a balcony facing the beach and has a good view of the beautiful sand and clear waters of San Juan.  The rates are as follows:

STANDARD - PHP 1,800
Fan Ventilated Room with 2 semi-double bed, maximum capacity of 6 

JR. PREMIER- PHP 2,550
Aircon Room with 1 queen sized bed, maximum capacity of 4

PREMIER- PHP 3,500
Aircon Room with 2 semi & 1 double bed, maximum capacity of 6

PREMIER LOFT- PHP 4,300
Aircon room with 5 semi & 1 double bed, maximum capacity of 10

ANNEX- PHP 2,550
Aircon room with 2 semi-double beds

MEAL PACKAGE FOR OVERNIGHT GUESTS - PHP 1,100 per head
DAY TRIP WITH MEALS-                             PHP   750  per head

MANILA BOOKING OFFICE

Telephone No. 726-6687, 726-4977, 726-7445, 727-7032
Fax No.            744-4819
Email                info@laluzresort.com
Website            http://www.laluzresort.com/

4. TRIPLE-G BEACH RESORT
Located near the Verde Island Passage, the Triple-G Beach Resort has 22 bungalows with terrace.  The rooms have queen sized beds, gas stove, refrigerator, water dispenser and bathroom.  Check out their rates:
 
Aircon room capacity
2 persons                    PHP 1,800
6 persons                    PHP 4,500
10 persons                  PHP 6,500
13 persons                  PHP 8,000
 
Contact No.         0915-9001570
Website                http://www.triple-g-resort.com/    
 
5.  PALM BEACH RESORT
Probably the most luxurious but still affordable beach resort in Laiya, The Palm Beach Resort has an infinity pool, kiddie pool and jacuzzi as added amenities.  The resort is a Wi-Fi zone, so you can also bring your laptops and stay connected.  Check out their rates:

Casita de Luxe Jr.          for 2-3 persons   PHP 4,000
Casita de Luxe Regular       4-5                         5,000
Casitas Premier                  4-6                         6,000

Meal Package

Overnight- Adults  PHP 1,150 Children (3-10 yrs. old)   PHP 575
below 3yrs. old  FREE

Daytrip-      Includes entrance, use of pool, welcome drink, buffet lunch & afternoon snack  Adults PHP 990    Children (3-10 yrs old)    PHP 750
Below 3 yrs. old, FREE

MANILA RESERVATION OFFICE
Tel Nos. 850-9544,  489-0337,  772-2704
Website: http://lafrondosa.com/

6. SIGAYAN BAY BEACH RESORT
Relax... Enjoy... Feel at home in their native cottages.

Cottage A  PHP 5,500-    for 9 persons
One airconditioned bedroom with 5 single beds and 2 double decks
With private toilet & bath, veranda
With refrigerator, hot & cold water dispenser with 5-gallon purified water, gas stove

Cottages B & C  PHP 4,500-  for 6 persons
2 Airconditioned bedrooms- the first with 1 double bed & 1 double deck, the second with 1 double deck & 2 extra beds
With private toilet & bath, veranda
With refrigerator, hot & cold water dispenser with 5-gallon purified water, gas stove


Cottages F & G  PHP 7,000 - for 14 persons
One Airconditioned bedroom with 7 double beds
With little veranda, private toilet & bath
With refrigerator, hot & cold water dispenser with 5-gallon purified water, gas stove

Maharlika Rooms A, B, & C - PHP 4,000 with breakfast for 2 persons
Airconditioned Rooms with 1 queen sized beds & extra mattress or 2 single beds & extra mattress
With veranda, private toilet & bath

Nipa Rooms - PHP 2,500 for 2 persons
Airconditioned Rooms with 1 double bed, veranda

Coffee Shop is available inside the resort serving breakfast, lunch and dinner

FOR RESERVATIONS

Contact Nos. Fax- 658-2752
Cellphone No.-  0917-9441731, 0920-9329625

Website     http://sigayanbayresort.com/

7. KABAYAN RESORT
Kabayan Resort provides various facilities for their guests.  They have a swimming pool, chapel, multi-purpose hall, souvenir shop, convenience store, fastfood, bar and aviary.  Their room rates are as follows:

Dapo Rooms (4 units) - PHP 4,500 for 2 persons
1 bedroom w/ 1 queen sized bed


Hotel Gumamela - PHP 4,000 for 2 persons
1 bedroom w/ 1 double-sized bed

Dorm Rooms (4 units) - PHP 6,000 for 12-15 persons
1 Bedroom with 7 bunk beds & 12 locker cabinets

Gladiola - PHP 6,500 for 8-10 persons
1 Room w/ 4 double sized beds

Mid-sized Rooms (9 units) - PHP 6,000 for 4-6 persons
1 Bedroom w/ 2 double sized bed

Ilang-ilang - PHP 9,500 for 8-12 persons
2 Bedrooms, each with 2 double sized beds

Sampaguita & Jasmin Cottages- PHP 10,000 for 8-12 persons
2 Bedrooms, each with 2 double sized beds

Rosal & Casa Blanca Cottages- PHP 9,000 for 9-12 persons
1 Bedroom with 4 double sized & 1 single bed

Nipa Huts for Daytrip - PHP 1,000 (15 persons)/ PHP 1,800 (30 persons)
Daytrip Entrance Fee  - PHP 100 (12 yrs old and above)/ PHP 50 (11 yrs old & below)

MANILA BOOKING OFFICE

Tel Nos.  709-1470, 709-0115
Email       kabayanbeachresort@yahoo.com
Website   http://kabayanresort.com.ph/

A Tough Balancing Act

A budget helps you organize your expenditures. It itemizes how much money comes in, how much money you spend, and where the money goes. A budget can also show where some changes might be needed. It will help identify expenses that aren’t as urgent to you so you can use and free up money for the important ones.

With a balanced budget, managing your money will be easier. Set up your financial goals and make a plan to forecast your expenses. Develop the discipline and good financial maneuvering. Know your limitations and top priorities. Be focused and keep your expenses within your budget. You can make it happen! Managing your money is possible. With this, you can achieve your financial goals.

Understanding Credit Card Charges

You love to shop for credit. You must understand how much you spend or the additional expenses that you incur when using that plastic. You must understand also that credit cards don’t give you money, they just give you the purchasing power even without cash in hand. To understand further, I have listed below the additional burdens of keeping and using that card.

1. Finance Charges- The most common monthly interest rate on credit cards is 3.5%, if you fail to pay the outstanding balance in full. To illustrate, suppose you have an outstanding balance of P10,000 on your last bill and you have paid only the minimum amount of 5% or P500.00. At 3.5% interest, out of the P500.00 payment, only P150.00 will be deducted on your credit card debt. That means, you have incurred an additional P350.00 for using that card.

The next month’s bill will reflect an outstanding amount of P9,850.00, and you will pay again another P500.00, suppose that is your monthly budget for card debts. It will take you 35 months or almost 3 long years to pay off that debt…

Balance    Interest   Payment   Forwarded Balance


10,000.00  350.00     500.00   9,850.00 FEB

9,850.00    344.75     500.00   9,694.75 MAR

9,694.75    339.32     500.00   9,534.07 APR

9,534.07    333.69     500.00   9,367.76 MAY

9,367.76    327.87     500.00   9,195.63 JUN

9,195.63   321.85     500.00   9,017.48 JUL

9,017.48   315.61     500.00   8,833.09 AUG

8,833.09   309.16     500.00   8,642.25 SEP

8,642.25   302.48     500.00   8,444.73 OCT

8,444.73   295.57     500.00   8,240.29 NOV

8,240.29   288.41     500.00   8,028.70 DEC

8,028.70   281.00     500.00   7,809.71 JAN

7,809.71   273.34     500.00   7,583.05 FEB

7,583.05   265.41     500.00   7,348.45 MAR

7,348.45   257.20     500.00   7,105.65 APR

7,105.65   248.70     500.00   6,854.35 MAY

6,854.35   239.90     500.00   6,594.25 JUN

6,594.25   230.80     500.00   6,325.05 JUL

6,325.05   221.38     500.00   6,046.42 AUG

6,046.42   211.62     500.00   5,758.05 SEP

5,758.05   201.53     500.00   5,459.58 OCT

5,459.58   191.09     500.00   5,150.66 NOV

5,150.66   180.27     500.00   4,830.94 DEC

4,830.94   169.08     500.00   4,500.02 JAN

4,500.02   157.50     500.00   4,157.52 FEB

4,157.52   145.51     500.00   3,803.03 MAR

3,803.03   133.11     500.00   3,436.14 APR

3,436.14   120.26     500.00   3,056.41 MAY

3,056.41   106.97     500.00   2,663.38 JUN

2,663.38    93.22      500.00   2,256.60 JUL

2,256.60    78.98     500.00   1,835.58 AUG

1,835.58    64.25     500.00   1,399.82 SEP

1,399.82    48.99     500.00   948.82 OCT

948.82       33.21     500.00   482.03 NOV

482.03       16.87     498.90   (0.00) DEC

 

At this rate, you have to pay almost twice as much as you have purchased or 175% of the original balance for three long years. Is it really worth it?

2. Late Payment Fee- If you think finance charges make you sick, the Late Payment Fee is even more sickening. This is an additional expense for not paying on or before the due date. So, in addition to that bothersome and burdensome finance charge, you will have to pay another 7.5% of the minimum payment due. In the illustration above at P10,000.00, you will pay an additional P37.50 for this, which further deducts your supposed payment of P500.00, bringing your outsanding balance to P9,887.50. Yes, it’s very disappointing, to say the least, that you have paid P500.00, but have lessened your debt by a measly P112.50. So be very cautious on your payment due date, your failure to pay on time will really hurt your pockets.

3. Annual Fee- Most credit card companies waive off the annual fee for the first year, but on the following year, they will automatically charge you with this fee, which ranges from P1,200/p.a. to P2,500/p.a.

This means that just by keeping the card, you will pay the card company for P100.00-P200.00 per month.

4. Overlimit Fee- You have an assigned credit limit for your card. If you use your card above that limit, you will be charged by P500.00 or more. How is this possible? Since most credit card companies have a system which blocks transactions above your credit limit, you may wonder how on earth can you exceed your spending limit.

This happens if you maximize your allowable limit on or before the cut-off date. Suppose you have a P20,000 assigned credit limit and your cut-off date is every 12th of the month. If you have used up your limit up to P20,000 on Feb.12, and you have a previous balance that you have not fully paid this will incur finance charges, which will add up on your outstanding balance. This will lead to overlimit, or over credit limit, which entails the overlimit fee.

5. Cash Advance- You need cash right away and you can’t withdraw from your ATM, you have the option to get cash using your credit card. You may have to think twice or thrice before availing this service, because for each withdrawal, you will be charged an additional P300-P500 on your bill. In addition to that, if you fail to settle the full amount, additional charges will apply. Unless you’re desperately in need of cash, this service is definitely not advisable.

There are other charges that card companies impose such as transaction retrieval fee, payment for lost/stolen card replacement fee and account maintenance fee. Check their website or call the customer service hotline numbers for details.

Cash and Credit Card Payments

When you write down your expenses, does it matter if you pay in cash or by credit card?

The answer is NO. Whether you pay in cash or by other means, the expense remains the same. For example, when you go to the supermarket to buy meat, vegetables, fruits and canned goods, and you use your credit card to pay, there is no cash outlay on your part, at the moment, but you carry the goods with you. You are now a debtor of the card company, which will bill you for the purchases you have made using their card, on a later date.

This means that credit card payments are not accounted entirely as expenses, only the portion of payment for finance charges are recorded. Finance charges are the expenses that you incur for using the credit card, and not paying the whole outstanding balance in full.

Writing down the entire payment to the credit card company as expense will double up the purchases which you have previously taken up before. The redundancy will result to bloating up of expenses and will definitely affect your prepared budget.

Accounting for Expenses

In order to prepare an efficient budget, you must first account your current expenses. List down all items paid for during the day, on a daily basis. A sample of which is shown above.

It’s easier if you’ll keep the receipts in a purse and jot down in your notebook or planner at the end of the day. Include all disbursements, even your personal allowance for the day. You may have some loose change to go with that, you can put that in your piggy bank, or simply placed in your coin purse for future use. It’s a tedious task to account for the minimal costs involved.

This goes on week after week after week, until the last week of the month. By the end of the month, we’ll have the full account of your expenses.

How to Prepare A Monthly Personal budget

After defining what budget is, we will now prepare your monthly budget. First of all, we will NOT prepare your budget for the current month. This will be your budget next month or the month after next. Confused?

This is the principle behind an effective and realistic budget. We must first gather receipts, list down payments to a notebook for one whole month. Then we will classify them accordingly. To make it easier to track down your expenses, you can use a planner instead of a notebook. If you can’t find one in your home, don’t buy! Just find an old notebook and label the pages per week. If you can attach the receipts, so much the better. This will be helpful in analyzing your expenses for groceries, shopping, school supplies, etc. There may be expenses incurred for the current month which may not recur the following month, like purchases of items with future use, such bath towels, pillow cases or a vase. You don’t buy these items on a monthly basis, but these are mimimal expenditures with little or nominal value in the future.

Can’t wait for another month? Okay then, if you can vividly recall all expenses last month, you may also write these down in your notebook, this time on a monthly basis, since you may not be able to recall the dates of payment but only the cost paid. Are you ready?