Financial freedom: That's what everybody wants. Whether you're a fresh grad or a few years into the wonderful world of employment, everyone just wants to have enough room to breathe. If you're not sure what financial freedom is, it's the feeling of security. It's knowing that if an emergency happens, you're covered. It's knowing that if, for whatever reason, your paycheck doesn't come next month, it's not the end of the world.
Of course, not everyone is going to have the same amount in their heads for what this freedom looks like—you all have different responsibilities, after all. For instance, some of you chip in by paying for the WiFi at home while others are breadwinners.
According to Janine Meg Tamayo, a certified public accuntant, when you start earning your own money right out of college, the first question most people ask is: How do I spend it? "The general response is to offer part of your salary to your parents and budget the rest for daily expenses: food, transportation, accommodations, and other miscellaneous expenses."
After a few years, the next question is, Where did my money go? Kapag kaya na, "you start setting aside 10 to 20 percent of your payroll, cutting down on unnecessary costs."
While this is a good start, Tamayo stressed that people should seriously think about investing. "I can't speak for everyone. Some may be happy and content with their savings, living their lives just fine. So I'm saying this based on my experience," she continued, "Now is a great time to [invest], as the opportunities that abound in this day and age are varied and endless. Investing, I believe, is now easier than ever."
And an "investment" can be anything. Tamayo said, "It doesn't necessarily have to be stocks or bonds or as big as franchising a business—but this is a great option. It can be as simple as investing time to learn new things: like enrolling in a digital marketing class, taking a course on fashion merchandising, or perhaps even photography. I'm saying this because you can be earning income not just from employment but also as a freelancer or a business owner."
One lesson she learned from one of her mentors is that you should "invest in things that create value for you." Her example, "Perhaps you bought a car because you want to go to work hassle-free. However, a car depreciates in five years. After five years, what's the value of your car? Yung benefits ba ng car five years from now still weigh as much as they did before? Think of something that makes your money work for you and not the other way around."
What have you always wanted to invest in?
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