What will you do if you have Php 20,000 in your wallet?
Nowadays, Php 20,000 not a fairly big amount in terms of purchasing power unlike several years before.But if your are wise enough, you can grow this Php 20k over time. All you need you neec to do is to know where to invest it. Not sure where to put it? Here are some tips to invest your 20k smartly:
Start a small business
With a 20k capital, be your own boss and start your own small business. There are a lot of business ideas out there to choose from ranging from food to fashion to service. With the advent of the internet, you don’t need to rent a commercial place in order for you to showcase your products and reach potential buyers. In order to become successful in growing your Php20k to unlimited income you need to consider these things (1). start a business that you are passionate about and (2) offer good quality products and at par customer service.
Set up an emergency fund
Most of us are guilty of not considering putting up an emergency fund for rainy days. If you have not set up one yet, your Php 20,000 is a good amount to start it up. Set a time deposit for your fund and religiously grow your savings until such time that you are confident enough that you have enough money to cover your three month expenses just in case something happens to you or you suddenly lose your job. In this way your mind is at ease that you have something to fall back just in times of dire financial needs.
Invest in UITFs or Mutual Funds
Many people are afraid to invest in the stock market because of its volatility and are afraid that they might lose their money in the long run. However, if you want to grow your money exponentially, stock market is one of the best ways to do it since the percentage of yield is higher than bank interests. You can choose to put your money in a unit investment trust funds wherein your money is being managed by financial managers and are invested in stocks deemed to yield high percentage of return fo a period of time. Or, you can pool it in mutual fund and choose the stocks to invest in.
Build your retirement fund
We do have the government sponsored retirement plan program like the SSS and GSIS but it is always nice to have a retirement plan of your own to look forward to when you finally quit your job. Many banks and financial institutions are offering retirement plan programs for a surprisingly small amount of money. Start your retirement plan now and enjoy your golden years without worrying about money.
Invest in yourself
One of the best investments is to invest in yourself. Enrich yourself with new knowlegde that you can use to advance your career. Or you can always learn new things that you can use in the future like new hobbies.
There is no big or small amount if you set your heart and your mind to grow your money. You have many options out there. All you need to do is to start doing it.