A Pulse Asia survey released today says 70 percent of Filipinos feel they are “worse off now” than three years ago and most expect that things are going to get even worse.
Pulse Asia’s survey didn’t indicate why the respondents feel this growing pessimism: are they losing their jobs, eating less, suffering a loss of income, etc? Just that the quality of life is going downhill.
I don’t see these yet in the people that I interview. Aside from the voluntary reduction in spending to prepare for the hard times ahead, like choosing to eat at home instead of having dinners in restaurants, or going potluck when organizing parties, and reducing gift budgets for Christmas, I haven’t seen any mass layoffs yet and the malls are still packed with people carrying all sorts of purchases. At least, so far.
How about you? Are you feeling the crisis? How are you preparing your finances? Here are some suggestions:
- Save more aggressively and shop more responsibly. If you used to save 20 percent of your salary every month, see if you can raise the notch up a little bit.
- Postpone vacations. Make staying at home a little bit more exciting for spouse and kids with simple and creative activities.
- Postpone big purchases.
- Pay off credit card debt faster. Just by doing that, you let your finances breathe so much better.
- Manage telecommunications cost. Texting and mobile phone usage can be a quiet financial termite, and so can Internet connection.
Any more tips you want to share?
25 Responses to “Are you feeling the crisis?”
Pages: « 5 4 [3] 2 1 » Show All
Pages: « 5 4 [3] 2 1 » Show All
November 21st, 2008 at 10:47 pm
I think in times of crisis, the ones who have lots in savings should start spending more so there will be balance of trade. If everybody will save what they earn there will be surplus in bank deposits but lacking of money in circulation, businesses will close and more people will lose their jobs which will eventually affect tax collections of the government. Thanks to the OFWs whose incomes do not depend on the local government our economy stays afloat amidst the global crisis.
November 21st, 2008 at 10:07 pm
I felt the crisis just like millions of ethnic Filipinos the moment PGMA assume the presidency. She is the epitome of a President who gave pittance for the poor while she spend the rest of hard earn taxe money on superficial, over priced, and poorly planned projects, not to mention the billions of pesos syphoned by corrupt government officials.
No other than the IMF or International Monetary Funds made mention of the seriousness of corruption in our country. Senator Chiz Escodero and Lady Senator Miriam Santiago made mention of this anomaly. The magnitude of funds which runs into billions is lost, such amount which has never happened during the terms of past Presidents.
During the term of PGMA, prices of basic commodities have ariticially gone up with the tacit approval of our government. One of the commodities affected like cement, which is price per bag at 87 pesos per bag in 1997, went up to 200 pesos or more. Even a small item like band-aid, which was just recently priced at 1 peso apiece, is now 2 pesos.
The much vounted government subsidized fertilizer which was six months ago was less than a thousand peso, is now price more than 2 thousand pesos per bag. Under Secretary Arthur Yap made mention that the money for fertilizer subsidy was directly given to the distributor, so why is the fertilzer expensive? Is this another double talk? Not only did the fertilzer gone up but also insecticides and hybrid rice seeds. How do you expect self-sufficiency on food production as mentioned and still being mentioned by PGMA when the farmers can hardly finance their planting?
These ethnic Chinese has ariticially jack-up almost every commodity. Look at what is happening to the price of fuel. It should be ranging by now around 35 pesos according to Ralf Recto, the “father” of E-Vat, yet, what is our government doing? Are they not morally obligate to take drastic measure against these profeteers? What is Angelo Reyes of the Department of Energy doing? If he cannot decipline these profeteers, he might just as well resign.
What do you call the Pulse Asia Survey wherein 80% of ethnic Filipinos hardly eat a square meal a day? If this is not crisis, what is?
After all the empty rethorics delivered by PGMA, how far has the government done to allliviate the poor Filipinos? Are we. the Filipinos, again, holding the empty bag?
November 21st, 2008 at 3:09 pm
I still save aggressively, around 50% to 60% of my income. I still manage to feed and house a family of four, so we’re doing fine. With the peso going down against the dollar, and with my online income completely in dollars, this means I get more for each dollar I earn. But is it enough to cushion me against the rising cost of commodities? I don’t know.
I did not postpone our 9-day vacation in Bohol this month, mostly because I knew it would be worth it and we kept expenses within the budget. We saved up for this vacation in small increments over the months, so its dent in our monthly expenses was hardly felt.
I don’t have any debt (no credit cards), so #4 doesn’t apply, and I’ve always kept our telecommunications costs to a minimum.
As for postponing big purchases, like I said, we incrementally save up for them over the months. Right now, the only big purchases we’re saving up for are getting our provincial house built and the home repairs I have to pay for in my mother’s house. While I’m on track for both goals, I’d like to do a little better (save up more each month for them).
November 21st, 2008 at 12:42 pm
Well I’m feeling the crisis now in terms of cost-cutting measures made by my current company. Their US client just got a new service provider.
But in terms of pay, I have yet to feel it to where I will transfer.
November 21st, 2008 at 11:52 am
Financial crisis is self fulfilling. If everybody cuts spending because they think there will be a recession, it will really happen due to huge drop in consumer spending. If everybody sells their stocks because they think the stock market will crash, it will really crash due to massive sell off. As Peter Lynch said, unless you’re a short seller or a poet looking for a wealthy spouse, it doesn’t pay to be pessimistic.