Financial Literacy

Financial literacy is the possession of the set of

skills and knowledge that allows an individual to
make informed and effective decisions with all of
their financial resources. 
 Having an effective
decisions with all of the
financial resources. 
 Papano nga ba
pagkasyahin yung
allowance ko?
May sasahurin
pa ba ko?
What is the worst outcome when a person have a lack of
knowledge in financial literature?
1.
2.
Let’s start learning
Financial Literature

By identifying

The 3 main negative syndrome of

Filipino when it comes to money
#1 The One Day Millionaire
 How to Escape from this Syndrome?
Your main goal is to destroy this hobby.

1. Create inconsistency.
2. Pay your bills first
3. Always list down your expenses and

make it as your hobby

4. Desire to have another income
 #2 70/30 Rule Syndrome

The 70/30 rule in finance allows us to

spend, save, and invest. It's simple.  Only use 30%
Divide the monthly take-home pay because you
by already use the
1. 70% for monthly expenses, and
70%
2. 20% savings (including debt),
3. 10% to tithing, donation,
investment, or retirement.
 The Larger the Income the
#3 Larger the Expenses

John
Rent = 1,000
Utilities = 500

Total = 500
Salary Before= 10,000 Salary After= 25,000
Rent = 1,000
Rent = 4,000
Utilities = 500
Utilities= 5,000
Car Lease= 10,000
Total = 1,500
Total = 19,000

Net Income= Income - Expenses

10,000-1,500 = 8,500 25,000-19,000 = 6,000
 Salary = 25,000 Salary =20,000
Rent = 4,000
Rent = 1,000
Utilities= 5,000
Utilities= 400
Car Lease= 10,000
Total = 19,000
Total = 1,400

Net Income = 6,000 Net Income = 18,600

John
1997-2017
1997-2017
 2018
Wala namang
yumayaman
1997-2017 sa pagiging
employee
 2018 Wala namang
1997-2017 yumayaman
sa pagiging
employee

2021
Ano nga bang kinalaman ng
mga yan sa Financial
Literature?
2 TYPES OF AMBITIOUS PERSON

1. Business Dependent
2. Academe Dependent
Kakeibo Method
Kakeibo Method
Net Income =
Income - Expenses
•How much money do you have?
•How much money would you like to
save?
•How much money are you spending?
•How can you improve?
MAIN ELEMENTS OF FINANCIAL
LITERATURE

1. AWARENESS
2. DESIRE
3. KNOWLEDGE
4. DISCIPLINE