For the past year, like many Americans, I had been living from paycheck to paycheck and had seen nothing wrong with that. To make it even more degrading, for the first few months of employment, I still had to borrow from my parents as my paltry paycheck couldn’t meet my exorbitant spendings.

However, as I find myself mixing with adults who are financially stable, I found myself more financially conscious and have been trying to somehow cut costs or break even. Although I’ve yet to be able to really save up, I’m glad to report that I have been improving in this sector, in the sense that I am able to last the entire month without having to borrow from anyone and I no longer have to resort to having Maggi for lunch during the last week of the month.

Confessions aside, it is but the sad truth that managing my finance has never been one of my positive traits. Even though I have been in the working world for approximately a year now, I am saddened to say that my savings still add up to a grand total of zero. But this, my friends, will change today onwards.

Believe it or not, I know many of you youngsters are in the same financial shit hole as I am so today, I will share with you two pieces of advice from the best financial consultants around - my colleagues. Hey, they’re successful people with the 5Cs ok!. Hehe.

After listening and digesting their suggestions, I noted that amongst all the words that were spoken, two suggestions were repeated throughout -

1. Create an Excel Sheet and keep track of all your spendings.
2. When creating that Excel Sheet, the first row should be for SAVINGS.

So basically, the logic behind the first bullet point is that when you jot down all your expenses (even the nitty-gritty ones like 70 cents on Newpaper), you will be able to analyze what kind of crap you’re spending on and thus, makes it possible for you to eliminate buying that same crap the month after.

Also, by giving yourself budgets for items, you’ll learn to allocate your spendings wisely and thus will not splurge on certain items and leave yourself starving at the end of the month.

As for the second bullet point, the problem with most people is that they will spend their paycheck away, and whatever that is left at the end of the month will be allocated as “Savings”. This situation usually ends up with the savings portion being made up of paltry amounts and most of the time, nothing. (Which is what I was facing, basically).

Thus, by making Savings the first component, I now have to find ways to make myself spend within whatever that is left. Although this sounds like a very sad story, trust me, it takes just probably one to two paychecks to get used to it and pretty soon, you will find yourself as comfortable as you were before :)

The following is somewhat similar to the Excel Sheet I am using (all figures and items are examples):-

*Click to download excel sheet*

Of course, everyone should create their own personalized spreadsheets, so as to have a better grasp of understanding of how it works and so that it’ll suit you better. Actually, I think that some of you won’t able understand how mine works (haha!) but I hope the above gives you a rough idea on its purpose.

And to finish this post, one piece of precaution here before you decide to utilize this tip - Without discipline, even the snazziest of excel sheets won’t save you a single cent! Haha…

So, will Faddy be able to start saving up, or will she remain as one of those who will fall into bankruptcy should, God Forbid, an emergency happens? Stay tune in the next few years kekeke…

P/s. I know this sounds so cliche, but seriously, I feel so much better about myself now that I know I can be financially independent if I want to. And if I, of all people, can do it, you can to! :)