The most delightful season of the year is Christmas, and how to spend your 13th month's pay can be the hardest decision to make because of the festive decorations, the number of goods on sale, and the numerous parties taking place.
The eagerness and desire to fulfill your and your loved ones' wishes can make budgeting your holiday budget hard and painful. You worked so hard all year; of course, you want to treat yourself to the newest gizmo. Additionally, you want to spoil your family with a lavish Christmas feast and fantastic presents.
When should the 13th month's pay be given?
13th-month pay Philippines should be given on or before the 24th of December. Employees are mandated cash bonuses to enjoy their Christmas and New Year celebrations.
Here are some tips on How to Spend your salary wisely, especially your 13th month's pay:
Treat Yourself
You have worked so hard the whole year, and treating yourself is one of the best ways to spend your 13th month's pay. After surviving months of stress caused by work and life responsibilities, it is only suitable to let yourself have some pampering and rest.
If you are uncomfortable spending all your bonus on pampering, treat yourself to something that would make you happy and motivate you to work harder.
Pay off your Debt
One of the best presents you can offer yourself this Christmas season is undoubtedly peace of mind. You're allowing yourself to live a debt-free future by paying off your bills.
It is beautiful to know that you are debt-free, enabling you to appreciate the holiday season fully and celebrate with your loved ones.
However, you are not required to pay off all your debts with your 13th month's salary. First, figure out your actual debt and pay off the loans with the highest interest rates and fees.
Start Financial Investments
Consider investing your 13th month's pay if you have little to no debt and are unsure what to do with it. Regularly fund investments like stocks and mutual funds can also be excellent sources of passive income. It will provide you with various investing and saving tips for spending your Christmas bonus.
Mutual Funds and UITFs
If you haven't tried investing yet, Mutual Funds and UITFs should be a good start for investing. You can start for as low as PHP 1,000, and it only has minimal risk.
Government Regulated Funds
Another low-risk investment you can start is government-regulated funds like Pag-big MP2 Savings and SSS PESO Fund. These government funds are long-term investments that will help you fund your retirement plans.
The SSS PESO Fund is available for SSS members who want to save more voluntarily on this provident fund program.
For members of the Pag-IBIG Fund, there is a savings program called the Pag-IBIG MP2. Also eligible for this savings plan are pensioners and retirees who were once active Pag-IBIG Fund members.
Stock Market
You can also test your luck with stocks if you're looking for something more challenging. Make sure you understand how the stock market operates because it is a high-risk, high-reward investment.
Real Estate Investment
If you are looking forward to having your own home in the future or if it's one of your goals to move out to live independently, real estate is one of the best investments you can give yourself. Without a doubt, your bonus won't cover all the costs. But it ought to be sufficient to cover the down payment on a vacant lot or a condominium that is rent to buy. Even if you don't intend to live there, you can rent it out to individuals or businesses and make money off the rent.
Start a Business
If you have this business idea that you've wanted to start but are hesitant to do so because of lack of capital, then this might be the best way to spend your 13th month's pay. There are a lot of businesses you can try that only require low capital. With the right business strategy, your 13th-month pay can turn into a company that helps you stabilize your financial standing better.
Invest in your education or skills
Besides money-making investments, investing in your skills is also an intelligent choice. You can either enroll yourself in a course related to your work or something you are passionate about. Whatever it is, investing in education or skills will never be a waste of money.
In this pandemic, remote learning and online education have grown increasingly common. You can use this chance to sign up for a course and further your education. Even though there are free online courses available, you can prefer to spend money on programs that will improve your abilities and reveal the potential that lies within you. Furthermore, a certificate that verifies that you completed the course is always included with these for-profit online courses.
Get Insurance
Let's say you are a breadwinner and don't have the monthly budget to save for your future. Then this might be the best way to invest something for yourself. Helping your family is a good deed, but it is also important to remember that you must invest in your future. One of the best financing and saving tips is to invest in insurance.
One of the most crucial investments you can make is in insurance. Since it is not an urgent need, most Filipinos frequently ignore it. However, the world is arbitrary and unfair; you never know when calamity will hit. You may now afford the following types of insurance in the Philippines thanks to your 13th month's income.
Here are some insurances you can get:
- Health Insurance
- Life Insurance
- Home Insurance
- Car Insurance
For more information on Vista Residences, email [email protected], follow @VistaResidencesOfficial on Facebook, Twitter, Instagram, and YouTube, or call the Marketing Office at 0999 886 4262 / 0917 582 5167.
