6 tips for using your 13th salary well

How to make the most of your 13th-month salary? Read our article and check out our tips for making the most of your extra pay!

Thousands of Brazilian workers spend the entire year waiting for their long-awaited thirteenth salary.

Merchants also spend the whole year waiting for this date, as they know that many workers will go to the stores to spend this money.

However, is this the right destination for this money? If this concerns you too, you're in the right place!

In today's article you will find 6 tips for use the 13 well°, so be sure to check it out!

See the index of this post below:

• What is thirteenth;
• Who is entitled to receive;
• Use it to pay off debts;
• Invest;
• Start an emergency fund;
• Pay off debts from the beginning of the month;
• Multiply your money with extra income;
• Invest in yourself;
• Conclusion.

What is the 13th salary?

Also known as Christmas bonus and Christmas allowance, the thirteenth salary is an extra bonus paid to workers in December.

This month, in addition to the normal salary, the worker also receives this extra salary.

The first installment of the bonus is free of discounts; they only occur in the second installment, which is usually paid by December 20th.

The discounts to be applied to the thirteenth salary are:

• Income Tax (for those who earn more than R$1,903.98);
• Alimony (if you happen to pay it);
• Social Security.

Who is entitled to receive it?

All workers with a formal employment contract, after 15 days of work, are entitled to receive the thirteenth salary.

However, if you have not worked for the company for 12 full months, the amount will be paid according to the months worked.

Now that you know what it is thirteenth and who is entitled to receive it, let's check out the tips for use the 13th well? Follow along!

1. Use it to pay off debts

The opportunity you've been waiting for organize your financial life and entering the next year debt-free is here!

Certainly, a great way to use well the 13th is to eliminate some debts and be able to start over financially.

So, start by calculating how much you owe and plan to pay it with that extra salary.

You will welcome the new year much lighter, certainly!

2. Invest 

Have you always wanted to invest, but never managed to set aside the money? How about using your Christmas bonus to do so?

You can be sure it's one of the smartest ways to use that money.

This attitude will ultimately open up a path of initiatives for you to save and invest even more.

Therefore, it will be a vicious circle, but beneficial in the future.

3. Start your emergency fund

In a world of uncertainty and unforeseen events, being prepared is always the best option.

That's why financial experts always recommend that we have a emergency reserve.

The reserve amount must also be invested in some Investment Fund, however, the purpose is different.

You should put the amount in an investment where you can withdraw part of the amount whenever you need it, but without losing the income.

Of course, it is important to study the market and have financial planning, but having the value of your extra salary to start is a perfect idea and a way to use the 13th well.

Experts recommend having at least 6 months of monthly expenses in your emergency fund. 

4. Pay off debts from the beginning of the year

Everyone knows that January is the most complicated month financially, let's just say, it's the month when the bills come!

It's true! There's property tax (IPTU), vehicle tax (VAT), school supplies, credit card bills that ballooned during the holiday season, and so on...

So, using your thirteenth-month salary money to pay these bills in advance will help you a lot and loosen your budget in January.

5. Multiply your money with extra income

How about taking advantage of this money and making it multiply without having to invest and receive it in the short term?

You can, for example, make something to sell or resell, December is a perfect time to do this.

This is because people are more supportive, have more money and perhaps they haven't read this text with tips for use the 13th well.

So, how about awakening the entrepreneurial spirit that exists within you and taking advantage of multiplying your thirteenth salary during the month of vacation?

6. Invest in yourself

Yes. Why not? 

The life of a worker is already so hard and sweaty, why not set aside some of that money to invest in yourself and do something that makes you feel good?

It could be a trip, a hydration treatment at a salon, a spa, or even investing in knowledge and buying a course to learn about a new area.

You will definitely feel better and more fulfilled, and yes, it is also a great way to use the 13th well.

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Conclusion

Only those who work to earn it know the value of our money, so it's important to use it wisely to always have it.

There are many end-of-year offers; at this time of year, retailers, business owners, major brands, and advertisers put their all into campaigns to encourage you to spend your thirteenth salary in their stores, businesses, and brands.

However, in most cases we spend money on superfluous things, when it could be used to bring you greater good in the future.

So, try to put our tips into practice, or at least some of them. Without a doubt, you won't regret it, because you will use the 13th well.

Finally, be sure to read our article that gives you 5 tips to save on your electricity bill. Electricity must also be consumed intelligently.