Finding other ways

Whether we like it or not, we’ll have to talk about money eventually. People, who don’t, usually get into trouble. That was the case of the former NBA Most Valuable Player Allen Iverson (2001), who earned $100 million throughout his American basketball career, and was buried in debt just last year. Usually, it’s just a lack of communication. We don’t like talking about money because we think we know what we’re doing.

But wait until you start recording your expenses.

University students are probably the guiltiest of this sin. We feel that we’re in complete control of our money. My parents give me my weekly allowance anyway, and I can ask for more in the unusual case that I run out of money (which can be more usual for some people). I have an ATM account which I can use in the future, which will earn interest over the years, and I won’t be poor when I graduate. And then there are my friends who are almost always willing to grant a loan, without the need of providing collateral, which they’ll probably forget anyway.

However, life after college does not work that way. It’s not a very forgiving environment. If you don’t have the money, you’ll starve to death; it’s a dog-eat-dog world out there. These are the things I have learned through the courses I’ve taken up in Business Administration and in the various seminars I have attended in college. And I’ve also learned that there’s one way to get out of that bad habit of not caring, and that is to experiment with other ways of using your money.

The stock market can work wonders!

Fortunately for us, we have the stock market. There are two ways for us to take advantage of this wonderful opportunity. One is to trade during the day – buying a stock at a low price and selling it after a few minutes or hours when the price is high. Another is to invest passively – buying stocks, leaving it there for several years, and returning with up to a hundredfold. Whichever path you take, it’s still a better idea than just dumping all your cash into the bank! So, instead of just letting your money stagnate in your savings account while inflation eats it up, why not put it in a different account that will give you much higher returns? And yes, even university students can invest well! Just ask this dropout who earned millions just by investing P5,000 a month!

Financial security can only be achieved by playing the game smartly. We don’t just earn money and spend blindly; we plan, and this includes planning where to put your money. Record your income, jot down your expenses, track where your cash is, and you’ll surprise yourself when you see you can actually save a lot more money than you currently do.

-Justin,17, BS BAA