And so, after 490-or-so articles over the course of roughly two years, I am saying goodbye to MoneySmarts.

It’s a bittersweet spot to be in. I feel like I am letting go of a child that I have nourished and nurtured for quite a while. Although I feel comforted that she will be in good hands and that we will continue to stay in touch, I will sorely miss the great conversations here (especially those hateful comments haha!).

Many are asking why. There’s a time to let go, you know? Moving on has a personal finance as well as an emotional cost. Yet even when the cost can be high, there is reason to raise our glasses and be grateful because much of the growing up that we do over the course of our lives has to do with how well we handle transitions.
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FOR THOSE of you who made it your New Year’s resolution to spend less and save more, how are you in the compliance department? I know it’s not easy to do so, but really, as simple as it sounds, that’s how you can have more money left at the end of the month or year.

I’ve shared my own peso pinching tips to friends:

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IT’S TAX season once again, and with the deadline tomorrow, expect long lines at accredited banks and tax filing centers.

Doing this year’s ITR, one will notice the increase in exemptions effective July 6, 2008. Computing for exemptions for the year 2008 should thus follow this table:

For each dependent child, a deduction of P4,000 can be claimed for the first half of the year, and P12,500 for the second half of the year. For each child then, total additional exemption is P16,500. This is only for the first four children.

For those earning from the practice of a business or a profession, they may choose the itemized deduction to arrive at their taxable income, or the optional standard deduction. With the itemized deduction, each expense is accounted for. For those choosing the optional standard deduction, the old rate, 10 percent of gross income, is applied to income earned from January 1 to June 30. The new rate, 40 percent, is applied to income earned from July 1 to December 31.

And for those earning a gross income for the year of not more than P250,000, you are entitled to claim a deduction of P2,400 to cover premium payments on health and/or hospitalization insurance.

Have you done and filed your ITR? Do it now to avoid surcharges and penalties. (Karen Galarpe)

THESE DAYS when quizzes of all kinds make it to Facebook amusing and not amusing one’s network of friends (recent quizzes include “Are you UP material?” “Anong university ang bagay sa ‘yo?” and True Age Test), a money personality test would really come in handy.

A quiz like this would confirm your fears that you are a spendthrift needing help, or would give you cause for a victory dance if you’re really money smart.

A quiz I took today showed that I am a balanced person.

The result said: “People who exhibit a balanced money personality style enjoy making and managing money. They may view budgeting and investing as a game of sorts. Money is viewed as a tool that is used to achieve one’s goals. While they often have a budget, Balanced persons do not become overly uncomfortable with the occasional unforeseen expense or in purchasing the occasional luxury item. Balanced persons often feel that diligence, research and effort will reward them in the end. If they invest, Balanced persons tend to have balanced portfolios and are often comfortable seeking advice from financial managers.”

Now that’s cool! My siblings have always ribbed me for being “kuripot” to the point that I write down every expense I incur every day but my mom comes to the rescue, saying I do spend for the things that are worthwhile. One of my goals is to make money every year, and so I am careful to spend within my limits. At yearend, I tally all my income and expenses and see if I really made money (net income). I think it is a sad thing if at the end of a year spent working, one finds net loss instead of net income in a personal income statement.

So what’s your money personality? Take the quiz and post your result here. (Karen Galarpe)

By Karen Galarpe

With school out and the Holy Week break coming up, the usual question is, “Where will you be this Holy Week?” Or “What will you do this summer?”

Whether it’s to the beach, the mountains or the city you’re headed for (or staying put in), here are some ways to save money on your vacation as shared by frequent travelers:

1. Book and buy your plane tickets online. You may be able to get better rates online. And if you get the no-frills ticket (no meals, non-refundable, non-rebookable, with no check-in baggage), you will get even better rates. Cebu Pacific and Philippine Airlines offer special promos for those booking and buying their tickets online early.

2. Make a checklist of all things you need to bring. Don’t forget stuff like camera batteries, cellphone charger, an extra memory card, hat, sunblock, etcetera. These things may cost you more if you buy them at your destination.

3. Research on the places worth visiting in your destination. Plan your itinerary for each day to save on gas or transportation fare. It will also clue you in on where to eat, shop, get a massage, and so on at reasonable prices. Check out places you can get in for free, such as museums and art galleries, parks, etc.

4. Have enough cash with you and bring your credit card as well. It can be a hassle looking for an ATM when you’re in a remote place like the beach. Abroad, you may also get better foreign exchange rates by withdrawing local currency from your bank account using an ATM rather than having your money exchanged at the hotel. A credit card, on the other hand, will make it easier for you to make purchases and settle hotel bills.

5. Stay at a hotel that offers complimentary breakfast and free Internet access. This will save you a lot of pesos.

6. Bring snacks. Buying snacks at convenience stores will cost a lot more. And don’t raid the mini-ref in your hotel room. Good healthy snacks to bring include peanuts, trail mix, crackers, and cereal.

7. Buy pasalubong at the public market, rather than the mall or airport pasalubong counters. You’ll get the freshest stuff at the most affordable prices. In Baguio, strawberries and broccoli are best bought at the public market. In Cebu, head to the palengke for danggit and dried mangoes. Another plus: at public markets, you can bargain and make tawad.

8. Instead of patronizing the tourist-y places, go where the locals go and eat where they eat. Food in places frequented by locals are usually delicious and cheap.

9. Walk more instead of taking public transport. You’ll see more sights, put in some exercise time, and save money with just one effort.

10. Make sure your car is in tiptop condition. A flat tire, a conked engine, and an aircon running low on freon will not only inconvenience you; these will bore a hole in your pocket as well. Before you leave, check that your car is in good condition.

Have a great vacation!