The 3 Most Basic Expenses
The 3 Most Basic Expenses are Housing, Transportation, and Food cost more than 60% of the average household budget. That is why these are the top priorities of a Family, which I called “The 3 Most Basic Expenses”. Let us Learn on How to Turn Your Basic Expenses Into Income.
While it is important to meet all of these “3 Most Basic” expenses, In this article, I am going to teach you on how to Turn Your Basic Expenses Into Income.
If you are interested on how to turn your daily expenses into passive income, you can check out on this Article.
Let us talk first about Housing Expenses. When thinking cost-of-living expenses, housing is one of the biggest expenses. Rent or mortgage payments, utility costs, property taxes, homeowners association fees and household maintenance are all common housing costs.
In our country, The Philippines, house rental is a problem to below average income earners. The percentage of it against salaries is more than 50% and families will suffer on their other expenses like food and clothing.
Example, Minimum wage is around Php 7,385, small apartments cost Php 3,500 to Php 4,000 for a family to stay. Therefore they will only have Php 3,385 budget left for other expenses. Which around Php 113 daily budget for food. How about transportation, electricity, water etc?
This is the REASON why, a Person should LEARN ON HOW TO TURN EXPENSES INTO PASSIVE INCOME because a family will never survive the Head of the family is earning below average income.
Second most basic expenses is the Transportation. Especially if you are working far from your house, you really need to have a budget for Transportation.
For Provinces, this will not cost much since most of the provinces in The Philippines use only Tricycle or TriSikad or some call it Padyak. It will cost arount Php 5 to 10. Therefore budget for transportation will only cost Php 40 to Php 50 per day. Times 5 days , total of 20 days monthly, will be Php 1000 Total monthly Transportation Cost.
Both Housing and Transportation will cost more than 67% of salary. What will happen to the Basic Commodities expenses? It is best to Learn on How to Turn Your Basic Expenses Into Income.