If you are on Facebook 24/7 you might have seen this two post about how Pinoys handle their money.
source: http://www.unleashinternational.com
I am not promoting the books of Unleash International Corporation of Vic and Avelynn Garcia but their book is indeed an eye opener to the “masang Pinoy”. The two famous post that you see are from their book “Kontento ka na ba sa kaPERAhan mo?“
These two principles are the ones that are currently popular but the book is pack with more powerful principles that will help you rise up from your poverty mentality which if you follow the principles at heart will surely lead you out of such poverty.
Let me just explain in short terms these two principles.
Piso Yan principle is all about learning to value. The Philippine Peso is not just a mere Peso. The problem with most Pinoys these days is that we belittle the humble Peso thus we easily spend it. It may not have the same great buying power it once had due to inflation but no matter what we should value it and always think of ways to make it grow.
So don’t start saving your peso, after saving make sure to grow it by investing it with good returns.
On the other hand Kurot Principle is all about delaying of your gratification. We must learn how to separate wants from needs. In real life there is nothing we can do about our needs, they are essential for us to be alive and survive another day but wants on the other hand is well within our control.
Learn to tame your “Want Monster” in you. Only buy or satisfy your “Want” when your capacity to buy makes this “Want” of yours just a pinch of what you have already save and invested. Remember the amount of money to buy or spend for your want should be a “Kurot” or a pinch of your savings if it is not so make ways to make it so that you can buy your “Want”.
P.S. The book “Kontento ka na ba sa kaPERAhan mo?” is available at National Bookstores and Powerbooks. It is written by Vic & Avelynn Garcia under Unleash International Corporation.
To learn more check out their site
http://www.unleashinternational.com/
or check their Facebook page
https://www.facebook.com/unleashinternational.
You can see the entire post of this two principle by clicking the links from cbnasia.org below
http://cbnasia.org/home/2013/04/piso-yan-principle/
http://cbnasia.org/home/2013/04/kurot-principle/
About the blogger
Louis Delos Angeles is a Certified Public Accountant, blogger behind Investing in Philippines, and author of Investing in Stocks: Preparing for the future small amount at a time. Check him out in Google+ Learn more about Louis and his financial freedom advocacy here.
I totally agree with this kurot principle. However, upon closer inspection, I do not actually practice it. HAHAHA I seem to give equal value to both investing and travelling. Thus, I spend a good chunk of my savings for travel expense. And now I’m confused as to whether I should give more importance to investing… or whether I should continue my current strategy in saving.
Arlet just like what the article said you can splurge on such things as long as you know that it is just a pinch of your savings. So while you are not in that level why not set a target that you view as kurot(I hope it is indeed just a kurot
) and once you achieve it go on with the thing you like most which is traveling. In principle that is kurot principle, that is to make sure such expensive expenditure is just a pinch of your net worth so that in reality it has no effect at all to your finances…. and it takes time for that to be achieved. So dream but start early to make it a reality.
I have been participating in a seminar for filipinos here in Abu Dhabi and my topic is Getting Out of Debt and I used the kurot principle as an example to entice my audience to think on the ways they spend their hard earned money. And this principle is a good eye opener for all of us in all of our seminars.
Thank you Joselito for sharing your idea about the Kurot principle. We hope all our kababayans there in Abu Dhabi truly start looking at their hard earned money as future investment so that the small portion they set aside for investments, may it be for the stock market or small business, will one day bring them back home and enjoy every piece of it not worrying where to get the money to put food in the table because they now have a stable source of income(passive income from investment or active income small business) from their disciplined setting aside of money while working.
Mr.Louis delos Angeles ,thank you for sharing this info.- its highlighting what’s behind on the book and promoting the rest of it.I’m trying to search in Google if they have a PDF file of the entire book.maybe there’s none- for its business purposes or copyright law.but apcourse I’m gonna support the author by buying the original.and on their Facebook theunleased (the publishing of the book) they have a seminar- im looking forward to join- im also into stocks but im focusing in my “alkansya challenge” hehehe.
I would like also to create a blog like this to promote saving and investing.but thank u very much Kuya .I’m looking forward on other tips from u