The Abundance Formula: A Simple Money Hack Every Young Pinoy Needs to Know

Young Filipina adult reviewing a notebook with budget notes at a minimalist desk in soft morning light, symbolizing structured money management.

Let’s be real—money’s tight. Whether you’re fresh out of college, stretching your first salary, or juggling side hustles, saving can feel impossible. But what if there’s a simple formula that helps you build wealth without starving yourself or giving up milk tea?

It’s called the Abundance Formula: 100 – 10 – 20 – 70.

It sounds like math, but it’s really just a system for handling every peso you earn. Here’s how it works:

10% Tithe or Give

First, give 10% of your income. Yes, before anything else.

Whether that’s to your church or to a cause you believe in, giving trains your mindset. It reminds you that you’re not operating from lack. Even if your income isn’t huge, you still have something to share.

And mindset matters. Money isn’t just numbers—it’s behavior.

20% Save or Invest

Next, take 20% and pay yourself. That means:

  • Building your emergency fund
  • Investing in mutual funds or stocks
  • Setting aside capital for a future business or additional income stream

This 20% is your ticket out of “lagi na lang kulang.” It’s your stability fund.

While the 70% keeps you living today, the 20% quietly builds your future. Emergency fund? That’s protection when life throws surprises. Investments? That’s money learning how to grow beyond your monthly salary. Business capital? That’s planting seeds for something bigger later.

This isn’t about short-term enjoyment. It’s about long-term strength.

And here’s the key: you don’t save what’s left. You save first—even if it feels small. Because at the beginning, consistency matters more than size.

🧾 70% Live on the Rest

Now, you live on the remaining 70%—rent, utilities, food, Shopee checkouts, Netflix, and yes… milk tea.

This is your lifestyle budget. It’s not meant to feel luxurious, but it also shouldn’t feel like punishment. The goal is sustainability.

If you can live within 70%, you create space for growth without constant stress.

If 70% isn’t enough? That’s not failure—that’s data. It may mean:

  • Your fixed expenses are too high.
  • Your lifestyle grew faster than your income.
  • Or your income needs to level up.

Living on 70% forces you to be aware. You start asking better questions:

  • Do I really use all these subscriptions?
  • Is convenience worth the extra delivery fee?
  • Am I spending because I need it—or because I’m bored?

Most money leaks don’t come from one big purchase. They come from small, repeated habits.

💡 Try this: Track your spending for one month. No judgment. Just observe. You’ll probably notice that 10–20% of your spending doesn’t actually add much value.

The 70% rule isn’t about restriction. It’s about awareness. When you know your limit, you stop reacting. You start choosing.

And remember: your lifestyle should fit your income—not the other way around. If you can control lifestyle inflation as your income grows, your savings and investments accelerate fast.

That’s how wealth quietly compounds.

Why It Works

Most people spend first, save later, and give when there’s extra—which is almost never. By the time sweldo hits, bills and random expenses have already claimed it.

The Abundance Formula changes the order. Giving and saving become non-negotiable. They happen first. Whatever remains is what you live on.

That shift creates discipline without feeling extreme. You’re not starving yourself. You’re just putting structure around your money.

And structure creates progress. As your income grows, your 10% and 20% grow too. You don’t need a massive salary jump to feel ahead. You just need consistency.

It’s simple. It’s repeatable. And over time, it compounds.

Real Talk for Young Adults

  • You don’t need six figures to start.
  • Discipline beats income. Plenty of high earners are still broke.
  • It’s not about being kuripot—it’s about being intentional.

Final Thoughts

The Abundance Formula isn’t magic. It’s structure.
You don’t need a higher salary to start. You don’t need perfect timing.
You just need discipline and a decision.

Give first.
Save next.
Live on the rest.

Do it consistently.

If 10-20-70 feels heavy right now, adjust it. Start small. Increase later. What matters is building the habit early. Once structure becomes normal, financial chaos stops being the default.

And when opportunities show up—new job, business idea, investment—you won’t scramble. You’ll be ready. That’s the real flex. 

If you’re currently struggling with debt, focus on paying it down first.

 

Written with StackEdit.

Location: Philippines

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