Budgeting More Effectively During the Pandemic

Remember in 2019? When suddenly our roads became like a runway for planes, our streets turned into empty canals, and our children’s parks and amusement or entertainment venues became dessert-like. While we may have preventative medicine in the form of booster shots, the virus can attack again at any time. This is why it is only right to start budgeting more effectively starting today. So that when the time comes for another round of lockdown, we are all prepared to face the challenges. Read through to learn more.

Food Consumption

Everyone must eat, and most small households spend 10,000 pesos every month on groceries and eating out. To construct an affordable monthly food and grocery budget for you and your family, be sure to account for the prices of your weekly grocery trips and dining out.

• Plan, plan, and plan some more. What portion size do you prefer? How frequently will you eat each day? How many people live with you? These are some of the questions you should ask yourself to ensure you are covering every family member’s need for nutrition. It would be helpful if you are aware of everyone’s diet to ensure you are not wasting your money on unconsumed groceries.
• Count things up. What foods are readily available, plentiful, and in limited supply? Listing down everyone’s common favorite snacks or meals can be helpful in making sure everyone has a happy tummy every day while staying on track with your budget.
• Assume that you require adequate food for 30 days during the lockdown. How many days can your food supply last based on your inventory?
• Evaluate. Change your serving size to reduce waste. How can food be “recycled” such that it is suitable for another meal? There are plenty of recipes available online that can help you cook up new ideas for recycling your leftovers into a brand-new meal. Food wasted means money wasted.
• Shop responsibly. The need to hoard will always be present, but by following a dietary plan, you might spare your wallet and conscience.

Household Essentials

Make sure to stock up on the necessities (DO NOT hoard), especially with the hot summer days and the crucial task of cleaning whenever feasible. A clean home makes a quarantine comfortable and effective in addition to serving as the first line of protection. Here are some strategies to maintain your WFH arrangement while saving money on household goods:

• Pick soaps that have antiviral qualities. Make sure your soaps can clean and protect, as there are few options on the shelf these days.
• Check the alcohol content of your cleaning materials, such as alcohol and bleach. Purchase one with at least 70% alcohol.
• Purchase as needed. The momentary feeling of security will disappear as soon as you realize how crowded your area is with too much stuff.

Utility Bills/Housing and Rent

You will notice the cost of working from home in your utility bills. Here are some suggestions for reducing your utility bills during WFH, from electricity to data charges:

• Keep in mind the due dates. Pay your invoices on time even though some businesses have granted consumers a reprieve (like this one), especially if you can afford to.
• Pay attention to data usage fees. Being online is crucial to WFH, but if your payments go unpaid, this might easily turn into offline working which won’t help much in completing your daily tasks. To avoid going overboard, purchase bulk data plans or, even better, sign up for an internet service provider with set monthly fees.
• Put into practice the lessons our parents taught us. Shut off the lights when not in use, shut the refrigerator door firmly, and stop letting the water run continuously from the tap.

Clothing and Personal Upkeep

Although each person’s average monthly cost for personal care goods and services varies, you should factor in the cost of essentials like haircuts, toothpaste, and soap when creating your monthly expense budget.
It could be simpler to include items like soap and shampoo in your food and grocery budget category if you purchase them at the grocery store. Make sure to account for the cost of shampoo, body wash, and other grooming supplies you buy from specialty shops in your monthly budget planner.

Investment, Retirement, and Emergency Funds

WFH’s excess time can also be used productively by enhancing your entire financial portfolio. This entails making sure that you take care of the essentials, including investing, life insurance, savings, and an emergency fund. Online resources for financial planning are many. Start right now by visiting Sun Life’s website.
Budget for every expense, then invest whatever is left!

Getting your monthly spending correct is crucial (and challenging), whether you’re making a new monthly budget or updating an existing one. Investigating certain budgeting conventions is a smart idea because underestimating or forgetting an item might upset the balance of your entire spending plan.

If you are ready to learn more about investing, schedule a free consultation with one of our Investment Specialists. Send us a message using our contact forms or talk with us through our Official Facebook Page.

About Cocolife Asset Management Co., Inc.

We started operations in 2003 and are licensed to operate as an investment adviser and principal distributor of Mutual Funds including United Fund, Inc., Cocolife Fixed Income Fund, Inc., and Cocolife Dollar Fund Builder, Inc.
Our Funds have received recognition and awards from both International and Local award-giving bodies such as Thomson Reuters Lipper Fund and Philippine Investment Funds Association (PIFA) for our superior returns performance over the years.

Learn more about us and our funds!