MoneyDigest - Personal Finance, Lifestyle, Money Saving Tips

What Not To Do When Requesting For A Raise

Your heart is racing fast and thoughts continue to run into your head. You are about to ask for a pay raise. The best outcome that you can imagine is getting more than what you requested. However, you will be happy to see a small bump up your monthly salary.

Let us face it! When requesting for a raise, there are only a few ways to get it right and many ways to get it wrong. Here are just some scenarios that pertain to the latter:

A STORM OF ULTIMATUMS

Roger came into the room equipped with his egotistical tone. He said: “If I do not get a 20% raise, I am quitting today.” Like Roger, it is natural to crave for fair compensation. Our employers need to see how valuable we are. But, you do not have to waltz in the room with your ultimatums. You may end up quitting abruptly just to save face!

Treat the act of requesting for a raise as a business negotiation. Psychological strategies and conversation tools can sway the opinion of another through a pleasant exchange.

A PERSONAL TURMOIL

Your personal problems including the monetary ones are your problems alone. You took the coveted job and accepted the employer’s offer. I know that emotions can run through the roof when you feel like you are getting duped. However, it is not professional to blame your boss or unload your emotional turmoil onto him or her.

Image Credits: pixabay.com

Calm down and clear your inner conflicts before you discuss about your pay.

A COMPLAIN MENTALITY

In a 2015 interview, local comedian Hossan Leong highlighted that we live in a society driven by the “complain mentality”. He proved this by saying: “One complaint and everyone is up-in-arms. There is a knee-jerk reaction.” Do not let this mentality affect your actions when asking for a raise!

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Your argument should not be based on what your co-workers have that you do not. Instead, it should be based on your accomplishment and performance. Find out the average salary ranges for your position by visiting informative websites such as Payscale.com and by asking credible resources.

Sources: 1 & 2

You’re Flushing Money Away With These Grocery Habits

Since most of us consume food at least three times a day, a weekly trip to the grocery store is unavoidable. We do it on a regular basis until our actions steer into autopilot. More often than not, we idly shove familiar items into our carts and neglect better judgement. It is time for change!

You are flushing your money away with these automatic grocery habits…

#1: NEGLECTING THE EXPIRATION DATES

Say you entered the nearby grocery store and noticed the flashy brand deals. Oh! It is surely tempting to see your favorite items in the “marked down” section. However, some brands lower their prices to get rid of items that are reaching its due date. This is why you must allot a few seconds to check the expiration dates of the items before placing them into your cart. Doing so will save you an additional trip to the store and prevent the buyer’s remorse.

Image Credits: pixabay.com

#2: SHOPPING WHILE YOU’RE EMOTIONAL

If you want to fill your cart with unnecessary items, shop while you are emotional. Grocery shopping when you are “hangry” (i.e., frustrated due to hunger) is a recipe for disaster! It will not only make you reach for more items, but it will also make you lean towards unhealthy ones. An empty stomach may puncture a hole into your pocket just to satisfy its cravings.

#3: FALLING FOR THE BRANDS

Many people stick to the same brands as these have worked for them in the past. Shopping with raging brand loyalty makes you miss out the competitive products of other brands. Other brands may carry the same product quality with significant improvements and attractive deals. So, shake things up every now and then. Do not be afraid to explore the store brand or the generics too!

#4: SHOPPING WITHOUT A PLAN

You will not be able to control your spending habits (and transportation costs) if you enter the grocery store without a plan. Customize a meal plan for the week to set the tone of your shopping list.

Image Credits: pixabay.com

When money is tight, you cannot afford to go to the store spontaneously. Trust me, it rarely works!

Sources: 1 & 2

4 Times Your Parents Were Right About Money

Like most parents, mine were fond of imparting nuggets of wisdom to us. Whether we like it or not, we have to listen to the Hallmark-worthy quotes for every occasion. Be honest! How many times did you roll your eyes on your mother or father as they scold you in front of your friends?

Well, it turns out that some of their financial lessons are beneficial. You can either learn from their successful stories or their wrongful moves. With that said, here are “4 Times Your Parents Were Right About Money”:

DO NOT PUT ALL YOUR EGGS IN ONE BASKET

This statement does not refer to organizing your grocery items. Instead, it refers to the piece of advice that argue against putting your resources in one object or individual. My parents were right when they told me to embrace all the job opportunities while I am still young.

The technical term for this act is diversification. Not diversifying has its drawbacks. Diversification, according to Nobel Prize winner in economics Harry Markowitz, lowers the risk of loss and increases the chances for success when investing. You may apply diversification in other aspects of your life.

For instance, avoid pouring yourself to the workplace as you may neglect your physical health and emotional sanity. In friendships, you must devote your time to several people to create a personal support system or a business network.

MONEY DOES NOT GROW ON TREES

“Money does not grow on trees!”, exclaimed my father. I cannot recall how many times these happened to me as a child (who just wants to collect Barbie dolls). Oh! Hearing these words translated to our mother tongue had a stronger impact. I am sure that some of you had the same experience. As you read these words, your parents’ voices may echo in your head. You are not alone.

The idea of quick and easy cash may appeal to most of us during our childhood, but the real world does not work like that. Earning money takes determination, time, and effort. This is why you must not waste your money on things that you do not need. Teach the value of money to new generations as well.

Furthermore, it is practical to establish your own emergency fund should an unexpected event arise. Consider this “Clever Ways To Build A Sufficient Emergency Fund“ article as a guide.

SPEND WITHIN OR LESS THAN YOUR MEANS

Spending within or less than the bounds of what you can afford can contribute to a stress-free life. I know this lesson sounds utterly obvious. However, some people do not understand the principles of cash flow. A number of Singaporeans are not afraid to whip out their credit cards to buy items that they cannot afford at the moment.

My cousin’s parents understand the prowess of a credit card. So, they did not allow their child to get one. You see, they believed that it is not a good idea to purchase something when you do not have enough cash in the bank to afford it. My cousin has to keep saving money until he could afford the thing that he desires.

You may argue that you cannot shop online without a credit card, but you can use a MasterCard or a Visa debit card. Spending wisely is a good practice to impart to your future children.

PATIENCE IS A VIRTUE

My mother is patience personified! Her actions taught that overcoming instant gratification is important to financial success. Impatience costs people cold hard cash.

If you are willing to wait instead of purchasing immediately, you are able to compare prices within other shops and to find cheaper options. Practicing patience gives you the opportunity to wait for the greatest sales, huge markdowns, and bargain deals that will help you save a lot.

Image Credits: pixabay.com

There are many ways to improve this virtue. You may employ breathing techniques or visualize how long you will wait while in a queue.

Sources: 1 &2

Is Childcare Only For Rich Singaporeans?

As an early childhood teacher from an internationally acclaimed school, I am exposed to the childcare industry. My mere exposure made me wonder why childcare is so expensive! For starters, the issue made the headlines last year due to the huge price gap between the different childcare services across Singapore.

The average price was S$1,004 and the median was S$856. This means that there are centers that charge more than S$2,000. It is ridiculous how this amount is near to the country’s minimum wage. With these overwhelming prices, here are some factors that you must consider before paying for childcare services:

1. VISIT YOUR OPTIONS

Ask credible resources about the available childcare services in your area. For instance, an affordable option is NTUC First Campus (NFC). NFC is dedicated to provide quality and affordable education services for working parents. The institution’s fees range from about S$1,300 to S$1,900.

Image Credits: ntucfirstcampus.com

On the other hand, premium childcare centers endorse specific methodologies such as Montessori. Research on these methods to determine whether they are in lined with your beliefs. Another option is hiring a live-in nanny. A nanny can help you out with other tasks such as cleaning the room and cooking dinner. Save money by hiring a caregiver nearby.

2. COMPARE THE COSTS

As with everything else, you should shop around. Compare the costs of hiring a nanny and enrolling in a daycare center. Have a sense of the monthly fees and requirements. Also, remember to include any government fees and childcare benefits from your company.

3. UNDERSTAND YOUR ECONOMIC SITUATION

Look at your budget and focus on two things. Firstly, figure out your current spending habits. Lastly, eliminate the unnecessary expenses. Are you ready?

Start by creating a list of the things that you spend on. A free software like Mint can help you with the compilation of information. Afterwards, you must go through your non-essential spending. Eliminate or minimize your coffee runs, restaurant visits, shopping sprees, and petrol costs.

Alter your budget according to your predicted childcare spending according to your careful examination.

Sources: 1, 2, 3, 4 & 5

6 Practical Solutions For A Sustainable Home

These practical lifestyle changes can often save your money and energy.

LET LESS WATER FLOW

Score up to 60% less than your regular water usage by installing a low flow shower-head. Some modern shower-heads are adjustable, which means that you can change the settings to low flow. Imagine having a controlled water flow while lathering up and an active rush while rinsing!

Alternatively, you can buy a low flow shower-head for only S$14.74 at Monotaro. Installing one could mean huge savings on your water bill.

CREATE PROPER VENTILATION

There are two ways to freshen up your space naturally. You can either build a proper ventilation system or make use of shading. Install ventilation by switching to ceiling fans that can facilitate air flow throughout the room. On the other hand, shading is done by closing the blinds at certain times of the day.

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If you are undergoing the process of renovation, ask the architect to include passive cooling designs to put your air conditioner to rest.

PATRONIZE INTELLIGENT DESIGNS

Energy (and cash) is wasted when there is a mismatch between your appliances and your lifestyle. Instead, you must patronize energy efficient appliances that boost its intelligent designs. Pick the right appliances by understanding your family size, frequency of use, and capacity requirements.

You may also adjust the energy consumption of your appliances with the innate smart programming.

COOK WITH RESIDUAL HEAT

I can still recall the day when my uncle imparted a practical solution, which saved me a considerable amount of cash. He knew that I usually boil pasta on a regular basis due to my fondness for Italian cuisine. So, he taught me to cook with residual heat. Simply cover the pot and switch off the stove after the pasta has been boiling for 7 minutes. Let the pasta sit for 5 minutes more.

You may also apply the same technique when boiling noodles.

SWITCH TO A DIFFERENT BULB

If environmentalists were tasked to replace your bulbs, they would turn to the power of Compact Fluorescent Light (CFL). CFLs were introduced in the ’80s and were improved a decade later. These are perfectly suited for study rooms, home office, and other spaces that need extra brightness. You see, CFLs last longer than traditional bulbs and use up to 80% less energy.

Philips Singapore has a range of CFLs. The only catch is that the price of these bulbs are more expensive upfront. However, the steeper cost of your utility bill makes it worth your money.

HOST A RUMMAGE SALE

Embody the “Reduce, Reuse, and Recycle” slogan by hosting a rummage sale in your community. Doing so allows you to save more space in your closet and to earn extra money on the side. There will be no resources or energy wasted on producing new stuff.

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Furthermore, you may include your neighbors to attract more customers.

Source: Greatist

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