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A Mom’s Guide to Spending the Extra Money Saved from TRAIN

Majority of Filipino employees will take home more pay this year with the new tax law implemented in the country today. According to reports, around 7 million will be thousands of pesos happier considering their exemptions due to the annual income ceiling set at Php250,000.

The TRAIN law has triggered varying views on how it could affect consumers, employees and businesses. The household budget will be hugely affected, and mommies take the responsibility of balancing the earnings against the rising prices of commodities.

Whether you have already considered the new tax scheme as a disadvantage or not, you still have to consider how this big change can affect you. Here are a few tips from Mama Bear on making the most out of the extra pay you or your spouse will be taking home this month.

Settle your debts – Outstanding balances can be stressful especially when lenders keep on calling your home and office telephone to bug you about payment. This coming payday, make a list of all your unsettled debts and consider dividing your extra pay among your lenders to ease out the burden. Negotiate with banks and other lending institutions on easy repayment schemes and discounts. Lenders will always have a prepared package of deals for those who are willing to pay off the money they borrowed.

Think of small investments – The online world has opened several lucrative opportunities for anyone to start his own business. Check out some products which are available for reselling or rebranding and start your own online venture. The extra monthly income from TRAIN can cover for a few products which you can offer with incredible profits.

learn new skills

Learn new skills – Learning new skills opens different opportunities for you. You can broaden your connections, and you can grow as a person. Your willingness to learn will lead to self-improvement. New skills mean new chances of earning, too. Baking cakes, painting, or even simple designing ventures can be a great source of income.

planning trip

Plan your next trip – Going places is a valuable activity for the entire family. Your extra income from TRAIN for a year can afford your next weekend at the beach or travel to Palawan for you and your kids. Be vigilant on cheap fares and other travel deals so you can grab the best package for a year-end family outing. Make sure you check out the update credit card offers with GoBear to secure your trip.

savings account

Open a savings account – A savings account might not double your money, but it guarantees your cash and makes it readily available during emergencies. Saving your TRAIN rebate gives you more time to rethink of better actions in the future.



Review your expenses – More money doesn’t mean you already have the luxury to work away from your household expense list. This is a more crucial time for you to rethink your spending considering that TRAIN also imposes a tax on other commodities which you used to think essential at home like sweetened beverages and soft drinks. Spend some time to review your grocery list and try to eliminate those which are not a daily necessity.

Mommies hold the most significant responsibility in handling the household budget and in making sure that the family is flexible enough to adapt to endless inflation hikes and other budgetary constraints. The extra money from tax rebate is a chance for every mom to rethink and implement a cost-efficient financial plan that will work best for the family.