Dream Map

and
Financial
Planning

Activity 2:
FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy
TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 Dream Map
 Make a simple drawing/diagram of how you
see yourself (and your loved ones) 5 years
from now.
 Put a price on each item in your individual
drawings.

 You have just set your Life Goals into

financial objectives.

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 Activity 4:
Workshop on
Saving for Investment
and Retirement
Fill-up forms for saving for investment
and saving for retirement

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
Borrowing
FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy
TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 When is it advisable to
borrow money?
 Investment in business if the business is
going to earn more than the effective
interest of the loan.
 Buy a home especially if you are renting.
 Buy a car if it will increase your
productivity and earning capacity such as
people in sales.

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 When is it NOT advisable to
borrow money?
 To celebrate birthday, fiesta and other social
events
 To splurge during vacation in the Philippines
 To buy wants and not needs
 If you do not have enough funds to pay it off

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
Sources of Loan
 Banks

 Cooperatives

 Microfinance Institution

 Credit card Companies

 Employer

 Relatives

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 Debt-to-Income Ratio

Debt-to-Income Ratio:

Borrowers with a debt-to-

income ratio of over 40% are
generally considered to be
going through a financial
hardship, while an excellent
debt-to-income ratio is about
20% or lower.

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 Investments

Don’t let it just sit in the bank. With low-interest rates

from 0.5 to 1.5%, you’re better off investing it
elsewhere.

TYPES OF INVESTMENTS

1. Stocks – are units of ownership in a corporation

2. Retirement fund
3. Insurance – policy holders pays premiums that
states the terms and conditions in which the
insurer is required to pay.
4. Real Estate

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
 Investments

Variable Universal Life Insurance (VUL)

• Insurance bundled with investment component

• Flexible premiums

Minimum Investment is P1,000-P3,000

FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy

TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES
for Listening!
FINANCIAL LITERACY AND ADDRESSING BARRIERS Financial Literacy
TO REINTEGRATION FOR OFW’S AND THEIR FAMILIES