Money derived from careful planning and renouncing

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Money derived from careful planning and renouncing for some present desires constitutes one’s savings. Investments are savings placed in business and other forms of security with the expectations of a certain return. Other sources of money are winnings, inheritance gifts and the like. Types of Income: Money Income – refers to the purchasing power in dollar/pesos. Real Income – the flow of goods and services. Psychic Income – takes the form of satisfaction derived from the use of money and real income. Guidelines in Money Management: Clearly recognize and define goals to set the pattern for money use. Analyze probable income through time – the short and long view including the future. Forecast needs for money. Decide on the method of handling money that will generate savings. Control the use and flow of money through budget. Budgeting A budget is a plan for spending money during a specific period based on the estimate of funds available. It includes two essentials – a plan for using the income and an estimate of income. The important items for which a specific amount of money is allotted to the family budget are food, housing, transportation, clothing, education, medical case, savings and miscellaneous expenses. The family income should balance its expenses. A bigger income
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would ideally yield a bigger amount of savings. The budget records constitute an excellent reference in money management. Sample Monthly Budget for a Family of Three Living in the City Family Income 25, 000.00 Expenses Approximate Cost Food 10,000.00 Apartment 1,500.00 Transportation 2,500.00 Clothing 1,000.00 Education 5,000.00 Medical Care 1,000.00 Miscellaneous 3,000.00 Savings 1,000.00 TOTAL 25,000.00 Importance of Checklist/Schedule A checklist helps you as a caregiver to maintain a fairly routine schedule without actually forgetting or ignoring the areas that require less attention. Housekeeping is therefore simple, provided you are systematic in your methods. The important things to remember are that homemaking or house chores in general are only a part of your job. If you see time wisely and maintain a daily routine as your guide the schedule of activities, you should be done with the tedious routine during the early part of the morning. Aides for Systematic and Organized Daily Chores Housekeeping is simple, provided you are systematic in your methods. A checklist helps you maintain a fairly routine schedule without actually forgetting or ignoring the areas that require less attention. Start with the bedrooms in the morning. Sheets must be changed once a week, every Monday is a good day, or any day you plan your laundry. Many households have only 2 sets of changes and there are some homes with only one change of sheets. Linens get washed in the morning and get put back before bedtime.
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