Saturday, December 8, 2012

How to be an excellent money manager ?

Make this your habit

Manage your income this way :

1. 50% - N  - pay for Necessity
2. 20% - I   - Invest / Save (contingency fund)
3. 10% - P  - Play (travelling, entertainment, dining)
4. 10% - E  - Education
5. 10% - G  - Give away

If you earn $100 a week, leave aside $50 to pay for necessities (food, rent, clothing, household products etc). Then invest $20 in a growth fund (do it at a bank). Spend $10 for a movie. Pay $10 to buy a book. Give away $10 to the poor.

For children, if you have no income, offer yourself a service to your mummy or daddy.

Services at $10/hour:
1. Do laundry
2. Sweep & mop the floor
3. Wash daddy's car
4. Massage mummy & daddy
5. Revise school work yourself (save tuition fees)

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