Recommended
More Related Content
What's hot
What's hot (20)
Similar to Financial literacy 101
Similar to Financial literacy 101 (20)
Recently uploaded
Recently uploaded (20)
Financial literacy 101
- 2. Basic Financial Literacy HERMINIO B LIEGEN JR, MBA Financial planner . Investment adviser Business consultant . Christian
- 3. Kumusta ang ating estadong pinansyal? Kumusta ang inyong budget?
- 8. The average Filipino family is in debt 80%-90% of Filipinos have zero savings Sources: 1) Wellness Unlimited Inc.; 2) Consumer Finance Survey 2012 of the Bangko Sentral ng Pilipinas
- 9. 80% of marital problems are money-related 1 in 5 households receives financial assistance abroad Sources: 1) Wellness Unlimited Inc.; 2) Consumer Finance Survey 2012 of the Bangko Sentral ng Pilipinas
- 10. Only 2 out of 10 Filipino households have bank deposit accounts Less than 1% of households in Metro Manila invest in stocks, bonds, mutual funds, or government securities ₱200 is the average emergency savings Sources: 1) Wellness Unlimited Inc.; 2) Consumer Finance Survey 2012 of the Bangko Sentral ng Pilipinas
- 11. 43.8% spent more than their income 51.5% spent as much as their income Only 4.6% spent less than their income Sources: 1) Wellness Unlimited Inc.; 2) Consumer Finance Survey 2012 of the Bangko Sentral ng Pilipinas
- 12. 7 in 10 own their home 1 in 6 own real property other than their home Sources: 1) Wellness Unlimited Inc.; 2) Consumer Finance Survey 2012 of the Bangko Sentral ng Pilipinas
- 13. 8 out of 10 parents fail to prepare for their child's education 7 out of 10 patients fail to prepare for health emergencies 6 out of 10 breadwinners fail to safeguard their income 6 out of 10 seniors fail to prepare for their retirement Sources: 1) Wellness Unlimited Inc.; 2) Consumer Finance Survey 2012 of the Bangko Sentral ng Pilipinas
- 16. The 28,000 by Sanjay Tolani
- 17. What are our main financial needs? 1. Protection 2. Children’s Education 3. Savings due to critical illness and hospitalization 4. Retirement 5. Medium to long-term investments 6. Estate Conservation 7. Others
- 26. Total Income Less: Total Expense Balance I P 30,000 35,000 (P 5,000) Deficit II P 30,000 30,000 -- Even III P 30,000 20,000 P 10,000 Surplus/ Savings
- 29. CASH FLOW QUADRANT By: Robert Kiyosaki
- 30. EXPENSES CASH FLOW OF THE POOR Job or Profession INCOME LIABILITIESASSETS - Larry Gamboa Think Rich, Pinoy!
- 31. EXPENSES CASH FLOW OF THE MIDDLE CLASS Job or Profession INCOME LIABILITIESASSETS - Larry Gamboa Think Rich, Pinoy!
- 32. EXPENSES CASH FLOW OF THE RICH Job or Profession INCOME LIABILITIESASSETS - Larry Gamboa Think Rich, Pinoy!
- 33. THE TEN (10) FINANCIAL COMMANDMENTS
- 34. The Ten Financial Commandments 1. Identify or find your WHY?
- 35. 2. Manage your expenses and liabilities (needs vs wants) 3. Liquidate non-income generating assets to settle liabilities 4. Get another job to increase income The Ten Financial Commandments
- 36. 6. Pay yourself first 7. Invest your savings 5. Protect your income by protecting yourself The Ten Financial Commandments
- 37. Types of Investments CATEGORIES RETURN (PER ANNUM) RISK Bank Savings 0.4% - 1% Low PAFCPIC Savings 4.5% - 6% (tax free) Low Bank Time Deposit 1%-3% Low PAFCPIC Time Dep 8.5% (tax free) Low Bond 3%-5% (can be tax free) Low Stocks/Equity Up to 100% High PAFCPIC SC 20-22% (tax free) Low
- 38. CATEGORIES RETURN RISK Forex Up to 100% High Cryptocurrency Up to 100% High Mutual Fund/UITF Up to 10% Moderate Traditional Life Insurance Up to 4 times the contribution if insured pass away + riders Low to moderate Variable Universal Life Insurance (VUL) Up to 25% on investment + insurance + riders Moderate Real Estate Up to 50% (passive income & capital gain; high capitalization) Moderate Precious Metals Up to 100% (protection against inflation) Low
- 39. 8. Create a contingency/emergency fund 9. Put up a business The Ten Financial Commandments
- 40. The Trilogy of Enterprise Adopted from the book A Trilogy on Entrepreneurship by Dr Eduardo A Morato Jr 1 • Preparing for Entrepreneurship 2 • Creating the Enterprise 3 • Growing the Enterprise
- 45. • Books and magazines • Internet • Seminars • Business schools • Mentor • Experience • Financial adviser • Financial and business games The Ten Financial Commandments 10. Improve your financial knowledge
- 46. Joke but true
- 47. “Understanding changes our minds; action changes our lives.” -John C Maxwell
- 48. Thank you very much!
Editor's Notes
- Note: Ask audience What will happen to your finances if the following happen
- To top it all, alam nyo ba na ang Pilipino ay hindi ganun kayos humawak ng kanilang aspetong pinansyal?
- Along these life stages, what we need is MONEY so provide for our NEEDS.
- So what are our main needs? (Ask participants to identify their needs)
- “In order to provide for these needs, we have to build our financial building blocks.” * Income replacement – in case of death
- “Given the needs that we have, how wide is our financial need gap?” (Get sample need from audience (i.e. education))
- “ What if nag ka-cancer kayo?”
- “What if natanggal kayo sa trabaho?”
- “ What if nagka-kaso kayo?”
- For house of for car….
- 6% of the net estate.
- ”Para mapunan mo ang gap na yun, kailaangan may ipon ka.” “Ngayon i-check natin ang budget mo kung makakaipon kaba.”
- ”Repeat after me.”
- Now, I will share to you the ten financial commandments.
- “Tukso layuan mo ako” (shopping, buying sites, gaya2x, etc.); “ang utang ay may interest”, so use leverage/credit wisely. Garage sale, etc. 3) Sample jobs are Grab driver, tutorial, private security, etc.)
- Recommendation is based on risk/return and economic outlook for 2020
- Recommendation is based on risk/return and economic outlook for 2020
- * May borrow capital from PAFCPIC * There is a separate module in starting a business. They may consult you.
- Note: would deal on steps 1 and 2, in a simple manner
- Note: More on planning
- Note: What is your passion? Willing to do without pay Experience flow and happiness Loss track of time doing
- Note: Opportunity seeking, screening, seizing Idea from travel Idea from school Problem Trends Books Internet Are you ready to convert this opportunity into business? “Wag gaya2x”