DUBAI: With Christmas just around the bend, two types of people would be hogging the limelight: those who spend because “we only live once anyway,” and those who’d rather save and invest for the future.
Thailand-based financial literacy advocate, Jun Amparo, also an overseas Filipino worker (OFW), said it’s a tough act to balance what he termed as being a YOLO for “You Only Live Once,” which is self-explanatory, or a PDG, or Principle of Delayed Gratification, or living under the habit of controlling impulse-spending by delaying or deferring the temptation of instant gratification hoping for a positive outcome.
“How can you draw the line between being frugal to save money and secure your financial future without depriving yourself of a deserved happiness?” Amparo said. “Sadly, being too much of a saver is just as bad as being too much of a spender,” he added.
The YOLO mentality lives with the philosophy “Aanhin pa ang damo kung patay na ang kabayo.” In other words, you’ve got to enjoy what you have—to travel while still young, to eat the food you like, and to buy the things you like.Your properties and money in the bank will all be useless when you die, said Amparo.
On the other hand, a PDG attitude takes advantage of using current opportunities to save or invest to grow their money.
“People who live with this philosophy prefer long-term financial goals over immediate pleasure or gratification such that they’d for instance keep their used shirt instead of buying a new one,” said Amparo.
Amparo, who is now working on his second book, said there is no point in being too frugal when you’re not enjoying your hard-earned money. “You also need to enjoy the fruit of your labor. Money is a great tool to spend on what you need and on what will create lasting memories for your family,” he said.
But, he pointed out, you will need to manage your money wisely while making a reasonable financial decision. “When you’re spending mindlessly, you’re not in control. One of the reasons people find it difficult to save is that it’s so much easier to spend,” Amparo said.
Delayed gratification, on the other hand, “develops patience as you would learn to wait and enjoy greater rewards in the long term,” he said.
So how to balance? Easy. “Spending lower than what you earn and have a strong discipline. As they say, tt is not the man who has too little, but the man who craves more, that is poor,” Amparo said.
