From making ends meet to pushing through tough economic times, Filipinos have been known for their resilience. But how about financial awareness? Financial awareness gives people the confidence to make informed choices, prepare for the unexpected, and build a future that's not just about getting by, but also getting ahead.
Practicing financial awareness is more than just budgeting. It’s proactively planning how you can support your future financially.
As of 2024, 70% of Filipino households lack any real savings, while 65% of Filipino laborers work more than 48 hours weekly just to afford their everyday needs.1
So how can this generation change this kind of statistic?
Ways to Financially Prepare for the Future
Keep your budget and credit health in check. A ceiling on your monthly expenses outside utilities is a great start to change your mindset about finances. Knowing your spending limit helps you manage finances and avoid relying on credit, reducing the risk of falling into debt. Reserve this for your other long-term and meaningful purchases, like auto or housing loans.
Build savings, then grow them. Having an emergency fund is smart, but what’s smarter is a fund that grows along with your future. Life insurance plans now offer products that have built-in investments that can help you grow your savings faster than just letting it sleep in the bank for interest. Life insurance with investment features can give you higher returns and more protection than a regular savings account.
Protect yourself and your loved ones. Only 28% out of 112 million Filipinos are protected by life insurance.2 For many, life insurance may just be an afterthought rather than a need. Many regard it as only useful when they die, overlooking its benefits instead of educating themselves about the reliable safety net it provides. Protection matters because it ensures you and your family won’t face financial hardship if the unexpected happens.
Plan for tomorrow. 7% of Filipinos will be 65 years and older by 2032 as per World Finance.3 As of December 2024, only about 36% of the country’s senior citizens received pension benefits from SSS,4 which generally ranges from PHP 1,120 to PHP 18,000.5 Monthly living expenses alone can cost up to PHP 35,000 to PHP 85,000 -- and that’s living frugally.6 To support that, it would be wise to explore additional sources like personal savings, retirement investments, or insurance with living benefits.
More than making ends meet, securing your future calls for intention, consistency, and care. Don’t leave your future to chance. With the right habits in place, you can move closer to a Healthier, Longer and Better life.
References
1. IBON Foundation. (2024). Filipino families left behind despite govt’s vibrant labor market claim – IBON. https://www.ibon.org/filipino-families-left-behind-despite-govts-vibrant-labor-market-claim-ibon/
2. Mag-aso, J.L., Cuyos, T.M., & Pelmin, M.A. (2025).Spill Some Tea! I’ve Got You Covered: Understanding Filipinos’ Perceptions of Insurance. https://rsisinternational.org/journals/ijriss/articles/spill-some-tea-ive-got-you-covered-understanding-filipinos-perceptions-of-insurance/
3. Ayuste, R. (2023). A revolution in retirement planning for the Philippines. World Finance. https://www.worldfinance.com/wealth-management/a-revolution-in-retirement-planning-for-the-philippines
4. SSS. (2024). SSS releases over P32B 13th month and December pensions to 3.6 m pensioners. https://www.sss.gov.ph/news-and-updates/sss-releases-over-p32b-13th-month-and-december-pensions-to-3-6m-pensioners/
5. Sinaltrainal. (2024). Maximum SSS Pension 2024: How Much Is It and How Can You Calculate It? https://www.sinaltrainal.org/maximum-sss-pension/
6. Filipino Wealth. (2024). How Much Does It Cost to Live Comfortably in the Philippines 2024. https://filipinowealth.com/how-much-does-it-cost-to-live-comfortably-in-the-philippines/
