miércoles, 16 de noviembre de 2016

Financial freedom at home


by Alfredo M. Escalon Financial Advisor I Fisherman

The basic problem in handling my finances is that it has become a taboo to talk about my money. As we associate with the fact that having money is a sign of success, when we have problems we do not want to express them, do not seek help, do not know how to explain our situation, as it has become a problem that gives it.

Even people seeking help see that take two or three sessions to have all the financial problems.

The number 1 step to learn how to manage my money is knowing how much money each month story. This should be our wage bill minus discounts, which are the ISR, the AFP and the ISSS. This amount is the money available we have in the month for our living expenses. In addition to these revenues, we have our Christmas bonus and with our holiday, which divided by 12 gives us the monthly amount of this income.

The total amount is the money we have available every month. It is on this basis that we must make our budget.

Step number two is to know what I'm spending my money. You can not have financial freedom if you do not know where to go for our money. We must take the challenge of controlling the money and know what was spent. Sometimes you surprise us that is small expenses that we will much of our income. There is no way to have financial freedom if you do not know exactly how much money we spend and how much money.

Step number 3: the unexpected. Just as there are expenses that are daily, weekly, biweekly and monthly expenses are also there every two, three, six and 12 months. These expenses are often those that get us into trouble, we forget that we have to pay; when we have money left in the month it should be for these expenses, we spend it on other things.

The correct way to deal with these expenses is to identify what are, for example, maintaining my house, corrective and preventive maintenance of my car, holidays or trips, school tuition, gifts and so on.

We must add all these expenses and divide by the number of months that happen, that way I know how much money I have to save monthly to address them. You should save between 10% and 15% of your income to cope with these expenses. That is called provisioning.

Step 4 is to save for emergencies. Always in our lives things usually happen for which we do not plan. These are true emergencies. This requires creating an emergency fund that is at least two to six times the budget of monthly expenses. This is money that will allow us to cope with an accident or a job layoff.

My retirement money has to come out every month and is not negotiable, need to save between 5% and 10% of my income to retire quietly. There is a great chance to reach my retirement age so this should be a priority in my income.

If we keep between 20% and 25% of our income and learn to live with 75%, we will never have financial problems. Have financial freedom is 20% knowledge and 80% behavior.

Have courage and rewrite your story.

Global CEO of the parent company of Tigo expressed the interest of the company to maintain its contribution and investment in the country.


global CEO of Millicom, Tigo's parent company, Mauricio Ramos, expressed the interest of the telco and media in continuing operation and long-term investment in El Salvador. The executive, who took the reins of the multinational in 2015, was visiting the country yesterday as part of a tour of Latin America.

El Salvador is one of the seven countries of Latin America where Millicom operates today. "El Salvador is in the heart of what makes Millicom in the region. El Salvador for us is equal to or more important than other markets, "he said. 90% of the company's operations are concentrated in this region.

Ramos explained that some of the innovations that the company is implementing a global scale have begun in the country. An example of this is the recent release of "All You Can App", a plan that allows users to buy prepaid smartphone applications they like for unlimited use for a predefined period of time. "We are innovating as ever. It is a simple but tremendous innovation, "he said.

A few weeks of its release there have been 5,000 sales per day, the CEO of Millicom reported. "This is an innovation in the way Internet consumed worldwide. It is a profound innovation and we are testing in El Salvador. We're looking for a much more customer-friendly mobile data consumption when users are very sensitive to price, "he explained.

Ramos also highlighted the partnership with Netflix, the leading internet television, to offer Salvadorans ability to access innovative content via a high-speed integrated manner.

The innovations that have begun in El Salvador not only have to do with products and services, but also with systems, internal processes and technology infrastructure, said Ramos.

The executive revealed some of the figures Millicom, with almost 25 years of presence in the country, it has achieved to date. As regards telephone customers, the company registers 3 million mobile phone users, a fixed network which covers almost 700,000 households (hybrid fiber and coaxial cable last generation). Of these, 300,000 households are connected to broadband and digital television.

Furthermore, 1 million people use Tigo Money, the platform for financial transactions via cell phones. "Fundamentally it is financial inclusion and mobile payment services, and has been in El Salvador a high degree of success," he said.

Another bet is to serve small and medium enterprises through Tigo Business. In this segment of the economy they will offer mobile voice and data, as well as a strong network that allows them access to "digital highway". According to Ramos, of the 8,000 companies that serve today, a little over 7,000 are SMEs.

For Ramos, Tigo operation in the country represents "investment, tax contribution, labor contribution, contribution to innovation and development of the country and a high degree of commitment to social development".

According to company data, annual investment in the country is approximately $ 350 million; of these, $ 250 million is for the maintenance of Tigo operations and $ 100 million invested in technology, equipment and networks. As for taxes, the company estimated that the country pay about $ 80 million each year.

The company generates 4,500 direct jobs, including payroll and contractors. Its products and services are sold in 25,000 outlets. Finally, Ramos stressed the commitment to the community, especially with the education of children and youth.

"We want to be members of the Salvadoran community, government partners, with a continuous dialogue to be positive agents of change and collaboration," he said. "Millicom is here not only for the next nearly 25 years, but hopefully by these and many more, by a desire to work constructively to solve all the digital challenges of education and building a digital infrastructure for El Salvador to the future" he added.

Millicom believes there is still room to grow in the country, especially in mobile and fixed data

Treasury bills are short-term debt and allow the government to obtain liquidity; however, they have a limit that is about to run out, experts warned.


the Government of El Salvador is running out of one of its main sources of liquidity: the placement of Treasury Bills (LETES).

The LETES are papers issued by the State to terms of less than one year and allow the government meet temporary cash needs. However, under the Constitution, placing the maximum is 40% of the revenue for each year. The 2016 quota is running out.

The legal limit emissions, according to the 2016 budget Article 5, is $ 1,327.3 million, of which $ 868.9 million has already issued this year. "There are LETES to expire until December of this year, an amount of $ 368,170,000, and while no fresh sources of funds, will have to continue paying to the issue of new LETES" said Alvaro Trigueros, director of the Department of Economic Studies the Salvadoran Foundation for Economic and Social Development (FUSADES).

Taking into account the above, there are only $ 90 million available to finance the fiscal deficit with new LETES.

Between September and December 2016 to finance the fiscal deficit will be at least $ 350 million. "The funding by way of LETES is clearly insufficient and will not reach December without new resources. Most probably in October exacerbate the situation, "said Pedro Argumedo analyst FUSADES.

Saturday due $ 88 million Treasury Bills, and has not been able to pay a placement for this maturity.

more emissions

A sample of the problems is that cash on June 23, with Decision No. 888, the Ministry of Finance requested approval to issue LETES $ 350 million to cover July to September 2016.

But on 12 August, in agreement # 1,133, requested to amend the agreement of June 23, he had already placed $ 265.9 million. The placement was extended to an additional maximum of $ 150 million. "These expansions placement LETES illustrate the difficult situation of public finances, as they are depleted faster fiscal space emission LETES" said Trigueros.

But the liquidity problems are only part of the gap is in the public finances, and that the Ministry of Finance has said should be corrected with more taxes and adjustments in spending.

The International Monetary Fund (IMF) has said the country needs an equivalent to 3% of gross domestic product (GDP), a $ 700 million adjustment. Is it possible to have an adjustment of this magnitude without the economy suffer consequences?

According Trigueros, there is a dilemma between two options: fiscal crisis or fiscal agreement for development. "A fiscal crisis generates high social costs, as history notes, for example, the lost decade of Latin America in the eighties, and always out of the crisis is due to a tax adjustment for order," he said.

For both analysts, the aim should be to achieve a tax agreement with development, finance and balance adjustment, prioritize the areas that provide development and improve the investment climate to increase employment opportunities for Salvadorans.

Finance Minister Carlos Caceres said during the accountability of the institution they expect the tax agreement is a "nation agreement". -

Tourism Minister explained that this will be the first tour package "seriously". It will cost between $ 25 and $ 60 per person.



l Ministry of Tourism of El Salvador (MITUR) and the micro-region of Balsam announced that the Summit Senderos circuit, covering different near the Cordillera del Balsamo municipalities already have tour packages that cost between $ 25 and $ 60.

Jayaque, Sacacoyo, Talnique, Comasagua and Colon are the municipalities that make up the circuit. "This is the first tour package seriously our marketing and sales system tourism," said Tourism Minister Jose Duarte.

Although the announcement of the tour packages Senderos Summit was held yesterday, this circuit was already being visited by people. "From January to September this year there have been 45 activities and have an average of 150 visitors per activity. The average income per visitor is $ 25 and all this is domestic tourism, "said Minister of Tourism.

According to Duarte, the micro-region has created 125 permanent jobs and 65 temporary workers, and income that has received so far is about $ 168.000. "These are prices (tourist packages) just because they can be paid by the people. Worth paying $ 45 or $ 60, "he added the minister.

The general manager of the micro-region of Balsam, Francisco Lira, said any kind of tourism, either adventure or ecological community, aims to improve the economy of the populations of the circuit.

"The main component of the marketing strategy is to articulate the beach hosting services to link and move to sustainable rural mountain tourism," said a statement from the micro-region.

In addition, the Peoples Living MITUR announced the fair for 10 and 11 September at the International Center for Fairs and Conventions (CIFCO). As explained, this will market 53 packages.

The prices of these packages will be similar to the Summit Trail.

According to Minister of Tourism, this edition of the fair involved 256 municipalities, representing 95% nationwide.

"These packages have been built by the municipalities, through its tourism development committees have managed to make coordination between mayor and microentrepreneurs who allowed this great project," said Duarte.

During the launch event, Minister reemphasized that should promote local tourism, and said circuits Peoples Living allow it because they are not only recognized in the country but also internationally.

He had previously stated that packs these circuits are one of the projects that will help the tourism industry grow by 5% at the end of 2016.
- See more at: http://www.laprensagrafica.com/2016/09/09/presentan-paquete-turistico-en-zona-de-la-cordillera-del-balsamo#sthash.GqIXhGOf.dpuf

148.343 households no longer receive subsidized energy and gas 30.687


the Ministry of Economy (MINEC) reported Friday that 148.343 households and entities no longer receive subsidies for electricity, and that 30.687 households have no gas subsidy.

MINEC ruled on the targeting of subsidies that the government gives consumers of liquefied petroleum gas and families using electricity "most in need". Cutting this subsidy began this month.

As for the gas subsidy, are 1,190,852 households those receiving this subsidy throughout the country, an amount equivalent to $ 3.89 per cylinder of 25 pounds. However, it has begun to exclude those whom their financial position allows them to finance this amount, ie, high-upper and upper-middle class according to the map of socio-economic stratification of the study conducted in 2010 by FLACSO, MINEC and UNDP.

Similarly, and based on the same study, they are excluded from the subsidy to electricity users who can cover the amount. Also cease to enjoy the benefit businesses, churches, NGOs, people with beach huts and more than a house registered in his name as well as households with higher consumption 100kW time. MINEC clarifies that payment of the subsidy is solely for CEL.

The institution states that the focus is to "be consistent with the efficiency of public spending and the requirements of international organizations such as the IMF, which recommends that subsidies are granted to those who really need it." "We must remember that the amounts granted come from tax of the entire population and, while it is true that are needed to support families and their income, they must be well managed," he says.

Stresses, however, that special consideration to those who have been excluded and believe they should continue to enjoy the gas subsidy, will specifically. These users should approach Care Centers on Demand (CENADE) or fill out an application for verifical socioeconomic status on the website of MINEC. The form will be enabled from September 12 and then made an inspection of their homes.

On the other prte, MINEC explains that the payment to the gas companies that distribute the product are already regulated, which is expected to be standardized in September.

The audit subsidy through the solidarity card generated savings of $ 46.2 million in 2015 and $ 11.3 million in the first four months of 2016. This allowed the Finance Ministry to reallocate resources to education, health and safety, according to the MINEC. 

Agency also reported that 30.687 households are no longer part of the beneficiaries of the subsidy on gas. The largest number is in San Salvador.


The Ministry of Economy (MINEC) yesterday officially announced the departure of 148.343 households in the list of beneficiaries of the subsidy to electricity. This figure represents between 14% and 15% of all households receiving the allowance, as stated by the Minister of Economy, Tharsis Solomon Lopez, during the act of accountability of the appropriate state portfolio to June 2015 and May 2016 .

In El Salvador 921.099 households receive the subsidy to electricity, according to the MINEC. The parameter for the delivery of the contribution will be energy consumption does not exceed 100 kilowatts per hour, said the state portfolio.

Government officials as the technical secretary of the Presidency, Roberto Lorenzana, and the minister Lopez have said that the objective of rationalization plan this grant is to exclude companies, NGOs, churches and individuals who own ranches beach or more than one housing his name or who are located in the "to medium high high-top and classes" according to a socio-economic study prepared in 2010 by the MINEC, the Latin American Faculty of Social Sciences (FLACSO) and the United Nations Program for Development (UNDP).

"Subsidies are for people who really need them and that people have always asked, think tanks, the private sector and agencies," Lopez said during the announcement.

Organizations like the International Monetary Fund (IMF) have insisted on this and other governments in targeting subsidies. MINEC clarified that in the case of this subsidy, the portfolio is responsible for the analysis and management of the database and the Executive Hydroelectric Commission of the Lempa River (CEL) is responsible the payment of the subsidy.

Propane gas

Lopez also explained yesterday cut 30.687 homes propane gas subsidy. The holder disaggregate the departments where beneficiaries have been eliminated: in Santa Ana are 1.535, Sonsonate Chalatenango 266 and 196. In San Salvador they were removed from the standard 19.587 beneficiaries and 8,680 in La Libertad, which are the largest cuts. San Miguel 423 homes were abolished.

"It has begun to exclude those according to their economic position can cover this amount: High-upper and upper middle classes," the official said.

During this month MINEC disburses $ 3.89 for families who buy gas. The cylinder most used in the country, 25 pounds, has a cost of $ 8.79 for end consumers.

Beneficiaries who believe they deserve to continue receiving government aid can be submitted Attention centers Demand (CENADE).

Lopez reported that as of Monday will be available on the web form to request verification Consultas.minec.gob.sv/socioeconomico staff MINEC.

"We clarify that families identified within the high-low, medium-high, medium-medium, medium-low social stratification and subsequent lower classes are not being included in this process of focusing or streamlining" read López of a statement by MINEC.

"The will of this government is to implement this efficiency in spending and give the subsidy who really need it, because in rural and poverty $ 3.89 areas often mean the Lunchable all week," he reiterated.

MINEC reported that the gas subsidy they receive 1.1 million households across the country.

Furthermore, the portfolio said that "the payment to the gas companies that distribute subsidized product has been regulated and is expected to be normalized this month, according to the offerings of the Ministry of Finance.

Some businesses have reported that they have not received the funds to transfer the subsidy to the beneficiaries (see sidebar). The technical secretary, Roberto Lorenzana, acknowledged a few weeks delay in disbursements ago, but said they were already catching up with the gas companies.

In 2011 the MINEC implement a new scheme for the delivery of gas subsidy. He went to deliver it to gas companies to pay the people directly. Years later implemented the use of a card for the beneficiary is identified in the establishment and receive the subsidy. MINEC reported yesterday that the project involved the identification and registration of approximately 1.3 million Solidarias cards and registration of 9,000 outlets. It said that there was a savings of $ 46.2 million in 2015, but did not specify what period against the comparison was made.