Early this year, the US News and World Report put the Philippines on the list of top investment destinations due to its relatively large young population. It is partially made up of millennials – people who were born between 1981 and 1996. These young people are usually considered as an exceptional bunch, except they aren’t really the best generation when it comes to finances. If you are a millennial and you live paycheck to paycheck, here’s how you can get around your finances.
Be financially literate
Financial illiteracy is one of the root causes of the money problems of Filipino millennials. According to Global Filipino, only less than 1% of the Philippine population invest in bonds, stocks, government securities, and mutual funds. Filipino millennials may constitute a third of the nation’s population, but only quite a few are financially savvy. If you find this alarming and you want to start learning about financial management, it’s never too late!
Cut your spending to save more
Another reason why many Filipino millennials are financially incapacitated is they are bombarded with a lot of financial responsibilities. Many of them are breadwinners who constantly support their parents and pay for their siblings’ education. From matriculation fees to family debts, these duties always tend to burden many young breadwinners. If you are the breadwinner of the family, you can still set aside some money for savings by reducing your expenses.
Earn extra income
Many Filipinos are affected by wage stagnation in which there’s no income adjustment despite inflation or remarkable economic growth. This is according to the Philippine Economic Update report, April 2018, produced by worldbank.org. If your income has not changed and is too low, making it impossible to save money, then it’s best to find other means to earn extra money.
Ask for a raise
Another way to get away with income stagnation is to get a salary boost by asking for a raise. If you think you deserve a promotion, then don’t be afraid to ask.
Millennials are by nature internet savvy, they get many things done with the internet, and among those things is shopping. While online shopping makes it easier to spend money, it can also be a platform to save money as long as you observe prudent financial practices.
Lazada for one is an online shopping website known for their wide array of affordable day-to-day items. They’re also known to throw out seasonal storewide discounts like the upcoming 11.11 Sale. This online shopping event is Lazada’s biggest one-day sale, where you can get up to 90% off on products and vouchers worth up to ₱1,111!
The millennials and the current generation may be stereotyped for their poor money-management decisions, but when you think about it, some people from the previous generations are also experiencing the same financial struggles today. What truly matters at the end of the day is your attitude toward money management. You may not have everything you need and want today but if you make wise spending decisions, your life could change course for the better.
This report is written by Reymart Sarigumba from iPrice Group.
About iPrice Group
iPrice Group is operating as a one-stop shop e-commerce aggregator across 7 markets in Southeast and East Asia with key feature in price comparison. It’s meta-search feature collates e-commerce products: home and living, cosmetics, grooming, fashion and electronics while its key feature in price comparison specifically caters to electronics. For the latest start-up, business and technology insights please visit the iPrice Insights page: https://iprice.ph/trends/insights/