Makeover Your Life Activity: Save And Invest In A Fab Future

Amie gets expert financial advice from the Colayco Foundation on how to save, invest, and build wealth.
Posted on October 14, 2010 12:00 pm by Amie Perez
Photo: Godofredo Gono III (seminar) and Camille Santiago (one-on-one talk)

Do you want to get rich?

It isn't easy to become wealthy if you're pretty much starting from scratch like I am, but I just learned that it is also not impossible, especially when you learn the smartest, savviest ways to make money. For this month's Makeover Your Life activity, Cosmo had me attend the PISObilities Seminar at the Colayco Foundation, facilitated by Mr. Armand Bengco, Executive Director. They also set me up for a one-on-one talk with best-selling and award-winning author of the Pera Mo, Palaguin Mo books, wealth manager, and financial guru Mr. Francisco Colayco. Here, I found out about different ways to save, the smartest methods of investing, and how to make your savings and investments grow without having to lift a finger.

Don't get me wrong, though. The workshop didn't teach me a get-rich-quick scheme. Here, I learned that it takes a lot of hard work, not just to earn money, but to save and make it grow as well. In other words, it's not just working for money, but making money work. So how can it be done?

Set Your Goals

First, I learned that it's important to know where you're going and how far ahead you still need to go before you can start getting there. We were taught how to prepare our own Statement of Assets and Liabilities (SAL) and Personal Income-Expense Statement (PIES). Through the SAL and PIES, I was able to determine my most up-to-date financial standing. It's just like knowing your size and body shape before going shopping for the perfect outfit.

But what exactly does it mean to be wealthy? In the words of Mr. Colayco, it's when "your present financial resources can support your lifestyle over a long period of time, even if you do not work to generate income." It's the ability to afford the things you need and want, without having to work. Sounds really enticing, huh?

Reach Those Goals

The workshop, then, taught me different ways to make wealth reachable, with tips that were very practical and simple to understand. It gave me insights on the different methods and instruments for investing, so that my savings can grow over a long period of time. The thing is, all along, I thought that all I had to do was make sure that my salary increased as often as possible so that I could keep upgrading my lifestyle. Here, I realized that we won't get rich by spending more as a consequence of earning more. It's really about how much of our income we can save and invest.

Ah, but isn't that quite tough? Don't I deserve to enjoy the money I worked hard for?

Well, I was fortunate enough to have a one-on-one talk with Mr. Colayco, just a few days after the workshop. For an hour, he helped me make a personalized financial plan, based on the actual figures on my SAL and PIES. We did some goal-setting, and he gave me tips on how much I needed to save each month to achieve my long-term and short-term financial goals. He even computed the exact amount I need to save every month, so I could have enough money for downpayment for a house in five or ten years. But what really struck me were his words of wisdom.

"Pay yourself first," he advised. At first, it didn't make much sense, until he explained that ideally, I should first save and invest 20% of my income for my future self so I can retire comfortably. As for the remaining 80%, that's what I get to spend on my present self, the one who works to earn. He pointed out that I obviously wouldn't want to be working for the rest of my life. To be able to afford the things I can afford now, I should responsibly set aside a portion of my income.

I also asked him, "What if I just want to enjoy my life and buy all the comforts money can afford?"

He answered, "It's okay, as long as you only spend within 80% [of your income]."

We Cosmo girls take care of ourselves, the best way we can afford. But more than just being fabulous while we're young, we also need to think about investing in the future. It's still a little hard for me to grasp, being the happy-go-lucky, live-in-the-moment type of person that I am, but I am grateful that I learned all these. I've been working for more than five years, and looking back, I wish I knew then what I just learned now. I could've saved and invested at least some of all my earnings.

But of course, it isn't too late. At least I know these things now. Unlike most of the other makeovers that gave me almost instant (if not instant) results, it will take a long time and a lot of effort for me to reap the rewards of this makeover. On the other hand, though, if I embrace the principles I just picked up and apply them everyday, from now on, I can be sure I'll always live the Cosmo girl lifestyle—fabulous, fun, fearless—even in my 50s, 60s, and beyond.


Hey, Cosmo chicks! You can experience this makeover, too! Attend any of the workshops below, and find out how you can also invest in being fabulous in the future!

Investability: The Stock Market on Oct. 19, 9AM to 12PM
PISObilities: Wealth Within Your Reach on Oct. 23, 2PM to 5PM
Investability: Mutual Funds on Oct. 27, 6PM to 9PM
PISObilities: Wealth Within Your Reach on Nov. 13, 2PM to 5PM
Investability: Fixed Income Instruments on Nov. 18, 6PM to 9PM
Investability: Mutual Funds on Nov. 26, 6PM to 9PM

For more details, you can contact Eric or Whitney at (02) 577-9540, (02) 637-3731, or (02) 637-3741. You can also email info@colaycofoundation.com, or check out their website, Colaycofoundation1.com.

Related Articles

• Cosmo Quiz: Can You Manage Your Budget?
• Cosmo Sale And Bazaar Alerts
• Cosmo Top 10: Super Tipid Tips From The Fab, Rich, And Famous
• Where To Get The Best Budget Finds
• Cosmo Money-Saving Tips And Sale Alerts

POPULAR IN BETTER YOU

Join thousands of subscribers enjoying our fab weekly Wednesday sendouts, and get EXCLUSIVE celeb news, tips, and promos right in your inbox.