Saving vs Investing

Here is a good article why investing is better than saving. Read the article here.

Garage Sale

"A garage sale, also known as a yard sale, rummage sale, tag sale, lawn sale, attic sale, moving sale, garbage sale, or junk sale, is an informal, irregularly scheduled event for the sale of used goods by private individuals." - Wikipedia


Last Saturday, I joined a garage sale in my colleague's house. That was my first time seeing and joining a sale.


Two days before, I hauled my unused clothes and bags, and my sister's Reader's Digests. I also included brand new fashion accessories, which is a teensy sideline business I just opened recently. I sorted my items and put prices. In my mind, the price should be low but with allowance for discounts. Even if the buyer haggles at half the price, I can still sell the item.


The morning of the garage sale, as I was preparing to leave the apartment, my Hubby called. Talk about perfect timing! I assured him that his call is more important than the garage sale and I can be late for the sale if it means talking to him. :)

I arrived at my colleague's house two hours after the opening. She was already able to sell some of her items. I hanged the shirts I brought and put the accessories in a plastic basket.

At the end of the garage sale, I sold 7 out of 9 accessories, including the dangling earrings I wore that day, and 2 out of 5 shirts.


I compared having a garage sale with managing a store. It's fun to see your products being sold and the art of selling and haggling is enjoyable. Also, I learned that it is not all rosy. Waiting for customers can be tiring. Someone should always be in the "store" to oversee customers and you have to be alert for thieves.


The garage sale was an activity, an exercise, which can teach you lessons as you dip your toes in the entrepreneurial world.

No Junk June

I'm starting a new challenge for myself this June. For the whole month, I will not eat junk food (e.g. chips, chicharon, cheese curls, salty nuts, fish crackers, etc.). Junk food is part of my diet, sad to say. I want something salty after meals, while watching TV, while reading. When I can't pinpoint what I want to eat, by default, it's junk food.


This challenge is inspired by an article in Get Rich Slowly. For a month, you will refrain yourself from doing one thing with expense such as buying from the coffee shop, eating out, etc. It may look like you are depriving yourself but think of it as being a one month deal for the year. You have the rest of 11 months to do things as usual.


The money that you will save from this "challenge" can be saved or invested. Spending it might not be good since it defeats the purpose of the challenge.


Now, I'm starting my self-imposed challenge. Hopefully, I can NOT eat junk this month and be a bit healthier by the end of it.

Leveling Up

I attended GoNegosyo's 2nd Negosem last May 11 at RFM Bldg. in Mandaluyong City. The seminar had two parts -- testimonials from successful entrepreneurs and basics in starting a business.


I was excited going to this business seminar, though short (half-day only). That was one of my steps in fulfilling my dream of getting out of the rat race and having my own sustainable business.

The on-site registration was bit unorganized. Attendees were lining up to get registration forms, pay, show payments made, ask questions about registration, etc. There were only two staff in a small table attending to these myriad of needs.


In the Testimonials part, the speakers where owners of a tutorial center, spa, and a food cart. They shared how they got the idea for their business, their failures, how they saved for the capital, etc. Inspiration. Check!


Mr. Paulo Tibig, an Entrepchamp (champion entrepreneur), talked about the basics in starting a business. He introduced to us the checklist of knowing whether or not an individual can start and manage a business. I admit, that checklist made me review my intentions. :)

Next to speak was marketing expert Mr. Carlo. He discussed Marketing 101. I learned alot since he gave tons of samples on how marketing a product works. I was very eager to absorb the information he was imparting us.

I went home happy and satisfied. I gained knowledge about entrepreneurship and marketing, a book on starting a business, a certificate and a complimentary BusinessWorld newspaper. The P550 I paid for registration was so worth it!

Citiseconline Easy Investment Plan (COL EIP)

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I learned about Citiseconline through Bo Sanchez' newsletter. I attended their free seminars and got interested in investing in the stock market. The important term here is "investing". When you invest in the stock market, it means letting your money stay for a certain period of time. Regardless whether the market becomes bullish (up) or bearish (down), you will NOT take your investment until you reach the allotted time you set for your investment. You have to learn the skill to "invest and forget". To know more about EIP, visit www.citiseconline.com.


In 2009, I received my salary loan from SSS. I've heard that SSS members should make their SSS accounts active by applying loans so as to avoid other individuals of using your accounts. This is scary, if true. I received the check, already subtracted with 10% interest. I thought about whether spending the money or investing it. I decided to invest it.


In a personal finance article I've read, I've learned that when you get a windfall or extra money (as what happens to most employees), you should save it or better yet, invest it. Since I had no expected large expense in the horizon, I invested my SSS loan in EIP. 
Every three months, I deposited a fixed amount to my EIP account until the loan was fully invested in the market. I only bought shares of a food conglomerate. This investment is for my retirement so I have no reason to withdraw my investment anytime soon.
Fast forward today. My shares now gains double-digits! I've beat inflation and the 10% interest from my salary loan. I cannot get this profit in a bank. This is an example on making my money work for me.


People I know now wished they tagged along when I opened my EIP account three years ago. If they did, they would be able to experience the thrill of seeing your money grow, with only minimal effort.

Rich Dad, Poor Dad

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Just finished reading a borrowed copy. There are three things that made my juices flowing.

1. Do not say "I can't afford it." Instead, ask "How can I afford it?"
2. Be an "Indian Giver."
3. Assets buy luxuries.

Mr. Robert Kiyosaki advises us to stop saying "I can't afford it." when seeing items that we want to have or actvities that we want to do. This statement stops a person's thinking process. It's a dead end. Unlike asking "How can I afford it?," it makes a person think of ways on how to acquire these things.

Be an Indian Giver means getting something from nothing.It's not stealing, cheating or anything bad like that. It means investing your money, letting it grow for a period of time and then pulling out your initial investment, leaving your gains in the investment. For example, Mr. Kiyosaki said in investing in stocks, with the guidance of a broker, he buys stock of a company. After a week or a month, when stock prices move up, he pulls the initial amount while leaving his profit in the stock market. Regardless whether the prices fluctuate, he's not worried since he got his shares for free, so to speak. He got his initial investment money and has left the profit to grow and work for him. Now it got me thinking that I should also have that principle in investing. I have to have earned my initial capital and let the profit work for me. I can use the capital in another investment. Ka-ching!

Assets buy luxuries. I like nice things. I like new clothes though I seldom buy. I love to buy books. I want to travel and eat. Mr. Kiyosaki teaches us to use our assets, not our savings, when buying things that we WANT. We have to plump up our assets first before buying any luxury. If I get a windfall such as a bonus, 13th month pay, leave conversion, etc., I shouldn't go to the mall and buy whatever things I've been fantasizing about. I have to invest the money and when I get 100% profit from my investment, then that is the time to buy my luxury. Sounds difficult right? Well it is. That's why we go back to the "How can I afford it?" mantra.

Reviewing this post showed me that these three things are tied up together. :)