MoneySense Apr-Jun 2014 Excerpt, Editorial, and Table of Contents

Cover Story Excerpt:

Camille Prats The Little Princess Grows Up

By Excel V. Dyquiangco

Donning a blue-striped T-shirt and a pair of floral shorts, she comes to the shoot with a fresh and vibrant zeal. Her hair a little bit damp from getting out of the shower moments before, she exudes a smile so radiant and fresh you can still clearly see in her the adorable and charming princess that both adults and children once loved.

The Makings of a Businesswoman

Camille started in the industry quite young. After throwing punch lines in Ang TV, she is best known for her portrayal of a young girl maltreated in Sarah, Ang Munting Princesa in 1995. But unlike her character who found favor only at the end of the film, she had already sought help at the beginning of her colorful career, especially when it comes to managing and handling her finances. “It was actually our mother who was the one taking care of our money for us – even when it came to my brother John’s (Prats) earnings too,” the almost twenty-nine year old actress says.

Learning Life’s Lessons the Hard Way

In 2010, she got married to Anthony Linsangan, a close friend of the Prats. But in unexpected turn of events, just two months after having their church wedding in the country, Camille found out that Anthony had nasopharynx cancer, a type of cancer originating in the uppermost region of the pharynx.

The Right Kind of Lessons

Nowadays Camille has realized that indeed, getting health insurance is as important as taking care of your health. “If you really love your family, you should really take care of yourself,” she says. “If you are working, put a portion of your savings to a health insurance that will cover you in case you need it – when you get pregnant, for your retirement or however you are going to need it. Some people might take it negatively, though, but save up for something that could save your family the trouble of taking care of you.”

She says to be practical, be mindful and be responsible for yourself, especially if you are earning much and that you are capable of availing health insurance. “At the end of the day if you don’t get sick, you’ll have the money anyway,” she says. “It’s still a win-win situation.”

Credits:
Photos by: Dodie Legaspi
Make up by: Carmel Villongco
Hair stylist: Angelu Dominguez
Stylist: Sidney Yap
Mint green dress,
Dorothy Perkins

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Editor’s Note

The 4 Money Conversations You Need to Have at Home

Financial literacy begins at home. Our schools rarely teach us about money. Our companies rarely teach us about money. Our churches rarely teach us about money (and it’s usually it’s too warn us about it). So it is up to us to teach our family about money. And that means you need to know more about it first.

Sadly, we hardly talk about money. If we do, it’s usually to fight over it. If you want you and your family members to have a healthy relationship when it comes to finances, you need to have these four money conversations at home:

1. Money Conversations With Your Spouse : Your Issues and Progress.

   The foundation for financial literacy at home is your relationship as husband and wife. If the two of you are not getting along with your finances, you will not get along with other family members when it comes to money issues.

   Start with your financial background. How did money figure in your growing up years? Were you spoiled or deprived? Did your family have a lot or barely enough? Was money a taboo topic or was it something you always talked about? Share what your financial priorities are and what your money personality is. Is education more important than retirement? Are you a spender and not a saver? Talk about all your financial issues and find areas for compromise.

   Set financial goals together for your family. And remember to discuss important things like who’s responsible for budgeting, investing, paying the bills, etc.? Finally, meet every month or every quarter to discuss your progress and brainstorm ways to improve your finances.

2. Money Conversations With Your Children: Your Rules and Lessons.

   Start them young. You can teach kids as young as pre-schoolers about the importance of money – where it comes from, what it is for, and how it helps them. For older children, guide them with budgeting their allowance and allocating money to saving, spending, and giving. Help them set small money goals they can save up for, like a toy they’ve always wanted.

   For teenagers, you can already teach them about investing in the stock market. In fact, make them start investing on their own. It’s also important to warn them about the dangers of debt, especially credit card debt (which they will soon have access to), as well as its proper use, like for a mortgage. You can even involve them in your financial planning so they themselves can work with you on how to cut back on expenses and save for your family’s future.

3. Money Conversations With Your Parents : Your Capability and Responsibilities.

   As a parent yourself, you may find yourself with two sets of dependents: your children and your own parents (and parents-in-law). That is what belongs to the Sandwich Generation. You need to be honest with your parents about your financial situation. If they need financial support, be upfront about how much you can afford to give. Remember that even as you do not neglect your parents, your priority now is your own family (your spouse and kids). You should not give what you do not have. But, of course, if you are in a good position financially, be generous with your support.

   If the situation is reversed and your parents are well-off while you are struggling, don’t be too proud to ask for help if you really need it, like in a financial emergency. But never abuse their generosity. You should be accountable for your money choices and grow up. If you need to lower your cost of living and adjust your lifestyle downwards, then do it, until you can get back on your feet.

4. Money Conversations With Your Relatives : Your Priorities and Obligations.

   It is possible at some point in time your siblings, nephews or nieces, uncles and aunts, cousins, cousins thrice removed, and in-laws will ask you for money, whether you have a lot of it or not. If you have the financial capability and it won’t affect your own family’s finances, feel free to give, especially if it’s a real need. Don’t even bother charging interest – just assume you won’t get paid back.

   Otherwise, you tell them your family has financial goals you need to prioritize. Help them in some other way, like use your connections to find them a job or teach them how to budget. Under no circumstance should you co-sign or co-borrow your relative’s loan.

   On the other hand, if you are the one in need and end up needing to borrow from a relative, take your obligation seriously. Draft a loan agreement with a reasonable interest rate and stick to your repayment schedule. If you miss a payment, don’t hide and do what you need to do to pay off your obligation – sell some stuff, do extra work, cut back on expenses.If you want to have healthy relationships with family members, have a healthy relationship with money. And the key to nurturing healthy relationships is by having honest and open conversations.

Heinz G. Bulos
Editor-in-Chief
hbulos@moneysense.com.ph

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Table of Contents

Cover Stories:

• Camille Prats: The Little Princess Grows Up By Excel V. Dyquiangco
• Funding Your Child’s Education By Edmund Lao, RFP®
• Rent, Buy, or Build Your Family Home? By Christopher Lim, RFP®
• Money & Me: 9 Steps to Turn Around Your Finances and Live the Life You Want By Sha Nacino
• Money & Your Honey: What’s Your Money Personality? By Heinz and Ambie Bulos

PLAN

• Making your Family Budget By Rienzie Biolena, RFP®, CWM,® AIF®
• Saving and Investing for Kids By Jesi Bondoc, RFP®
• Calculating Life Insurance Protection By Kendrick Chua, RFP®
• Insuring your home By Jake Lingan, RFP®
• Getting the Best Car Loan By Christopher G. Cervantes, CIS, RFP ®
• My Money Story: Shaping Filipino Investors By Floi Wycoco as told to Excel V. Dyquiangco
• My Money Story: From Singing to Producing By Jerah Templo as told by Excel V. Dyquiangco

INVEST

• Stock Market for Kids By Marvin Germo, RFP®
• 4 Steps to Get Started in Real Estate By Carl Dy