Holiday Allowance, or THR, is one of the most awaited incentives for the Eid al-Fitr celebration. We often use THR to shop for Eid al-Fitr needs and to share with relatives during visits.
Without us realizing it, THR often runs out without any leftovers because there is no good THR management plan. So that your THR doesn't run out just like that, you can read the following tips:
1. Create an allocation for using THR
One way to manage THR so that it doesn't run out just like that is to apply a budget allocation to THR. You can apply the formula for managing THR quoted from the Financial Services Authority (OJK) below:
A. Allocate 10% to pay zakat and alms
The first suggestion from OJK is to allocate 10% of THR to pay for Zakat, which must be paid during Ramadan. If the allocated funds are still left over after paying zakat, you can also use the remaining funds to give alms to people in need.
B. Allocate 10% - 30% to pay debts
In addition to meeting the needs of the Eid celebration, you can also use THR to pay or settle your installments and debts! OJK recommends allocating 10% - 30% to pay debts.
C. Allocate 20% for savings and investments
OJK advises allocating 20% of the THR you receive for savings and investments. These savings can also become emergency funds in the future. You can also save THR in MAS Saving, which can be opened online!
D. Allocate 40% - 60% for basic needs
As the name suggests, THR is intended to support and meet needs when Eid arrives. You can allocate most of the THR you receive for basic Eid celebration needs such as necessities, clothing, and homecoming needs.
2. Avoid impulsive shopping
Businesspeople often use the Ramadan and Eid al-Fitr moments in malls or marketplaces to offer big discounts. This can be a temptation in itself, triggering you to shop impulsively using the THR you get.
Before deciding to buy something before Eid, consider whether you really need the items. If not, you better leave it and don't be tempted. Using THR to shop impulsively can make you regret it later. Using your THR to save or invest for your future is better.
3. Use THR for important things
THR should be used for things that are very important and urgent and need to be fulfilled. For example, if you plan to go home to your hometown, you can allocate THR for homecoming needs first because the Eid homecoming moment often only happens once a year. Then, you can allocate THR for other needs such as buying Eid clothes, souvenirs, or THR money for relatives in your hometown.
4. Budget discipline
The most important thing in managing THR is discipline in implementing the budget. You still need to ensure that the financial plan and budget allocation that have been made do not deviate so that your finances during the Eid holiday.
Let's, stay wise in managing your THR so that it doesn't just pass by, and you can save!
You can also use Bebas by Bank MAS to make it easier to pay and meet your daily transaction needs. It has various features and products that are right for you. You can check the Bebas by Bank MAS features here!
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