Updated: December 9, 2021
Listen to Episode 48:
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Episode 48 Chapters:
- 02:09: Inventory
- 03:02: Cashflow
- 04:03: Savings
- 04:32: Insurance
- 05:22: Health
- 06:29: Episode Break
- 08:32: Portfolio
- 09:15: Documents
- 10:27: Rewards
- 11:33: Accounts
- 12:58: Goals
Excerpts and Highlights:
As another year ends, I believe it’s a good time to take stock of what you’ve achieved financially this year — to analyze and learn from your money mistakes, note and celebrate the good decisions you’ve made, and plan how you can do better.
End the year with a clear view of where you are now, so you can navigate the coming year equipped with proper information about your finances, and rightly determine the best way to reach your financial goals.
Ask me a question for the podcast: Send a voice message here.
Pre Covid-19, I would track our net worth at the end of each month. It was a thrill to see the result each month as we always re-invested our profits. During the pandemic we, like so many other business ventures, were shuttered and refrained from making collections on accounts receivable. I stopped tracking and only concentrated on taking care of immediate business, meaning caring for family, keeping everyone healthy and well fed to ward off problems. We continued and even increased support for charity. My survival plan was to AVOID all debt and live within the income limits for what was still coming in. I guess it worked!!! My Beautiful Bride agonized over the shutdown, loss of income and what might happen in the future. My thought was to concentrate on what we had control over and simply wait patiently to repair any damage to the business when the reopening happened.
When we reopened, we soon learned that approximately sixty clients owing over P1.3 million are MIA (Missing In Action). They never returned to their place of employment after the reopening. Ten clients owing approximately P300,000 had either passed away or become totally disabled, never able to work again. We had a discussion with BIR on how to handle the situation and fortunately, the laws here are very similar to what I am used to in the US. Family of the ten deceased and disabled clients were quick to provide the necessary paperwork so that we may do a write-off of their past due account when taxes are filed in 2021. For the sixty who simply forgot or worse, thought they could walk away, they will have a nasty surprise the next time they need an NBI clearance to obtain employment.
Now, for the goods news. When we updated the books over the past weekend, we are very close to our business being fully recovered!!!! I am not suggesting that we have replaced the missing earnings from many months of lockdown yet. What we are thankful for is that our business is almost back to the breakeven point as if the drawdown from non-paying accounts had never occurred. Going forward, any past due account that does come back will be a bonus. I have great faith that many of those missing accounts will be settled. I also see the remaining weeks of 2020 and next year as a time of tremendous growth for the Philippine economic engine.
So there you go, I purposely slacked off on keeping the books or asking BB (Beautiful Bride) to do the accounting as I did not want to see her tears. Everything else on the list in Fitz’s post stayed fully updated. Remember, we all had the gift of much free time during the pandemic to update old paperwork and clean out old receipts etc. NOW is the time to go forward, we remain thankful family and our business survived the pandemic for the most part unscathed.
[…] For the show notes, visit my blog post here. […]