Posted by: jinoe | December 11, 2008

My Road to Riches – Living at 80%

Amidst the global economic crisis, we are being told to that it is time to be in survival mode. Those who are able to survive will have a good chance in bouncing back big time once the recession is over. So this morning, our company challenged us: How will you survive if you only get 80% of your salary?

Why did they ask that question? They said, because it may happen. The crisis is not yet at rock bottom. We need to prepare for the worst. Actually, we just had a significant cost cutting effort that really hurts. As in, it really really hurts.

So how will I survive with 80% left? I started to think about it.

  1. Cut down the expenses. I have to keep my credit cards now. I usualy use them for groceries to get some points and convert them to miles. But lately, I have been using them to buy other things. Mostly for running like shoes, shirts, and shorts. So I have to cut down on those things.
  2. Easy on the groceries. Buy a few ingredients. Skip the parmesan and olives on the pasta. No need for cheese and mayo on the sandwich. Its healthier that way. Goodbye chips. Goodbye sweets. Wait, I can have a cheat day in a month, right?
  3. Minimize fast foods. I have to bring lunch and snacks this time. Maybe include dinner for those times I have to do an OT.
  4. Cut down on the dine out and lunch out.
  5. Goodbye wishlist. No more PSP. No more iPod Nano. No more IXUS80IS. No more Asics. No more Garmin.

The list above is enough to cutoff about 10% of my monthly expenses. 10% more to go.

I suggest, you also start asking yourself the same question.

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Responses

  1. that is a good question.maybe,i will run bandit all year next year.at an average of say 36 races in the year at 200pesos/race,that is 7,200 pesos saved.that is around 7 cavans of rice.

  2. i would cut down on food, water, electricity, clothes, gas but no way will i give up in buying new running shoes. 🙂

  3. Jinoe, we’re going through that right now. Since I’ve been back from the Philippines, our hours have been cut 15%. I’ve done pretty much the same thing as you’ve said. The necessities are important.

    On top of this, our owner yesterday laid off two members of his staff. Of the six stores he owns, only one (New Balance San Francisco where I work) is in the black right now and just barely! You can rest assured that as long as I’m there, I’ll do my best to keep it that way. My networking with running clubs in the city has helped. Have a good weekend!

  4. I hope everything works out well for your company. I’ve been studying economics for over 20 years now and work in the finance field. This is the real thing and will likely last longer than most recessions.


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