Q3 and Q4 2011 Expenses

Since this will be a track of my financial freedom, I will be posting my budget every quarter of the year. I love creating budget but believe me it is very hard to stick to your budget. Last August 21, I saw a thread in one of the most popular forums for Filipinos - www.pinoyexchange.com - that asks "To single people: how much do you spend per month on your basic expense?".

I answered the thread with the following:
personal expenses

PhP 1,300 - Phone line and DSL connection  
PhP 850 - Mobile phone subscription  
PhP 4,000 - Groceries  
PhP 1,100 - Credit card installment  
PhP 6,000 - Allowance  
PhP 3,800 - Savings                                          

For a total of PhP 19,050  

With this kind of budget I have only PhP 3,800 savings which I follow the 80-20 rule. This money during that time only stays in my savings account which has very low interest rate. It must be God's intervention that I accidentally read "My Maid Invests in the Stock Market" by Bo Sanchez. This book have enlightened me to the idea that money should not only be staying in savings account of banks.

From this, I became interested to learn more about finances. I have also read "Rich Dad, Poor Dad" by none other than Robert Kiyosaki and followed by many other books by Bo. I liked Bo's style because its plain and simple. Since then, I have decided to revise my budget. This time following the tips of most people I met through forums and blogs and by reading books, too.

By September this year, I have started to invest. Since I have to allocate some part of your income to investment, my budget has changed also.

Budget after learning financial concepts

PhP 1,300 - Phone line and DSL connection  
PhP 850 - Mobile phone subscription  
PhP 1,500 - Electricity bill  
PhP 2,000 - Groceries  
PhP 1,100 - Credit card installment  
PhP 4,000 - Allowance  
PhP 1,500 - Emergency Fund (through Paluwagan)  
PhP 1,600 - Variable Life Insurance  
PhP 3,000 - Investments through Mutual Funds and UITF (Plan) 

For a total of PhP 18,250  

With this plan and proper discipline, I know that I will be financially free someday. Quoting this from a thread/blog I've read (sorry I can't really remember):

"Do what others don't do today so you can do what others cannot someday."

Mark Hugh Neri

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