What could be more exciting than knowing that the year is about to end and you’re getting your 13th-month pay soon? After all the hours of hard work and extra hours you’ve rendered to get an overtime pay just to be able to give yourself and your loved ones a memorable Christmas and New Year’s Eve, you’re still bound to get a bonus. But have you thought about where you’re going to spend the extra money you will get? To help you nail that decision, here are four points that can help you wisely spend your 13th-month pay.
Add it to your emergency fund.
When spending your 13th-month pay, think not just twice, but multiple times. Do not go buying just anything that your eye sees, just because you know you have extra money to spend. Be wise and think long-term. So, it would be very smart if you would choose to add it to your emergency fund. Keep it, just in case you need it in the future. Remember that there will always be unexpected expenses you’ll have to deal with and it is best if you would allot a percentage of your income to that.
Pay your debts.
With your 13th month pay, you can always choose to pay and clear all the debts you have, or at least a portion of all the debts you have. This can make you gain a better sense of financial freedom, especially with the year that is about to come. From the money you owe to your friends to the amount of money that you need to spend on your credit card – it would always be a good idea to use your 13th-month pay on these things.
Reward yourself, but with mindfulness.
Getting your bonus can really make you impulsive, especially when “I deserve a reward for all my hard work” comes in your mind. When you go to the mall, there are countless material things that can catch your attention – from gadgets to pieces of clothing. Well, there’s nothing wrong with giving yourself a reward every once in a while, especially if you think that you have worked hard enough to deserve the things that you wish to buy. However, make sure that you reward yourself with mindfulness. Make sure that the things you’ll buy will really be useful to you, not only now, but in the future, as well. Think a lot of times before you spend your money on anything.
Finally, if you wish to make the most out of the extra money that you have, why don’t you use it to invest in the stock market, or at least, learn how you can make a good Philippine stock market investment decision in the future? I am here to help. Since the inception of my Stock Signals last September 2014, hundreds of investors have already availed of this service to get my guidance in doing long-term position investing in the Philippine stock market. Click here to check what’s in the Stock Signals.
With the ideas and tips offered to you, have you already made up your mind regarding the smartest decision you can make when spending your 13th-month pay?
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