Lets Talk about Money

Hi everyone..

Today I'd like to discuss the Parkinson's Law.
Before you fret away, this has got nothing to do with legal acts or lawyers or the law.

PARKINSON LAW
Definition: If you make more money, the demand for your money rises.

It can also be defined as "Lifestyle Inflation" and is your Option A


Option A
The more money you get, the more you spend, the more you swipe your plastics and the more the merrier right? Yes that's right. You keep spending and spending and get into more sinner deadlier debts! You get poorer by the day. Go ahead if you want to go bald by 40.

Option B
However if you spend less than the amount of money you make you are fighting against the Parkinson's law. And that is greattt! Its as simple as that. Give yourself a pat on the back.


Lets break it down.

If you earn RM 2500 per month

This is what you'll have to do to become richer by the dozen

COMPULSORY (FIXED)
1. Pay for your car = RM 500
2. Pay for your rent = RM 200

COMPULSORY (CONTROLLABLE)
1. Electricity Bill: RM 50
2. Phone Bill: RM 140
3. Water Bill: RM 20



Note: You have control over your electricity, water and phone bills.
#Tip 1: Switch off the power points when leaving the house.
#Tip 2: When buying electrical appliances, look for "Energy Saving" stickers.These include power saving light bulbs.
#Tip 3: Make phone calls only when its urgent, if its not, just send a text message.
#Tip 4: View bills online. Most telecommunication companies charge you extra when they send bills to your house.
#Tip 5: Wash your clothes once a week.
#Tip 6: Wash your car with a pail and not a hose.

SAVE, SAVE, SAVE!
1. EPF/ SOCSO = RM 250
2. Save 10% for rainy days = RM 150
3. Savings in case car breaks down = RM 100
4. Savings for annual holiday = RM 100

Basic NEEDS
1. Groceries (Food,Toiletries) = RM 500
2. Gas (RM 60 per week) = RM 240

Lets add them all up.

FIXED + CONTROLLABLE + SAVINGS + NEEDS
RM 700 + RM 210 + RM 600 + RM 740 = RM 2250

WELL DONE!
You still have RM 250 to spend for yourself.
To not go overboard with shopping, divide RM 250 into 4 weeks.
That's roughly RM 63 per week. So if you're dreaming of SKII, wait till you're allowed to spend RM 630 per week on shopping.




Until then, I'll keep on dreaming too.
Its all about discipline girls. Visit Irfan Khairi's website for more info on getting rich. Irfan Khairi, the internet millionaire is very disciplined.