Athletes and staff in the sports industry need to be equipped with knowledge financial arrangements so that they can live safely and in a planned manner. Moreover the golden age of athletes tends not to be as long as workers in other fields. Financial literacy is an important key early so that athletes are accustomed to managing finances properly and correctly, so that at retirement they can enjoy the investment they make optimally.
PERSIB as the oldest soccer club in Indonesia, with a number of fanbases reaching 17 million people, is one of the biggest soccer clubs in the world. As a professional soccer club, PERSIB has special attention for the players and staff, both at work and retirement. Therefore, SBM ITB in collaboration with PT PERSIB Bandung Bermartabat (PBB) held a financial planning webinar, Tuesday afternoon (6/23/2020).
This event is a continuation of collaboration between PERSIB and SBM ITB to increase the knowledge and awareness of each party regarding the importance of financial planning for athletes and staff in the sports industry.
The activity was attended by 60 participants from Persib players and staff, presenting three speakers namely Dr. Raden Aswin Rahadi, Dr. Sylviana Maya Damayanti, and Dr. Subiakto Soekarno.
SBM ITB lecturer, Dr. Raden Aswin Rahadi said the importance of planning personal finances, because people find it easier to shop than save. “If it’s payday, first spent, the rest will save up. That’s not right, “Aswin said. Financial planning is important to help achieve financial goals. For example umrah, buy a house, continue school, and other things that are more useful.
Financial planning also makes finances more controlled. Moreover, humans do not know what is happening up front, so it needs to be prepared from the start. “Covid-19 Pandemic now nobody knows,” he said.
Dr. Sylviana Maya Damayanti, another SBM ITB lecturer, added that almost all were affected by Covid-19, including the world of Indonesian football. Like some time ago, PSSI allowed the club to only pay 25 percent of employee salaries.
For this reason, in financial planning, the emergency fund must be prepared. These funds are allocated separately for needs that are very emergency. The amount in theory, for a single 3 months of monthly expenditure. For small families with two children, it is better to have a fund of 6 times the monthly expenditure. While large families, 9-12 times monthly expenses.
Then, where to get the emergency fund? There are three criteria namely safe, easily accessible, and easily disbursed.
Then cash flow management. It’s good to make financial records. Look at spending going up and down during a pandemic, checking health conditions, surpluses or deficits. Then do the priority scale.
“The priority in finance is firstly liabilities such as mortgages, SPP, and insurance premiums. Second, needs, namely primary things like food, health, and safety. Then the three wishes, “he said. In terms of debt management, it is best to have a maximum debt of 30 percent of income. Then, pay the debt with the highest interest first. For those who have a credit card, make sure to pay in full, take advantage of 0 percent, if possible you do not need to have a credit card.
During this pandemic, one can still invest. Director of MBA ITB Bandung Campus, Dr. Subiakto Soekarno said, at the time of the pandemic, investment was more aimed at security rather than multiplying. For this reason, he suggested money market funds. Although low risk, low return, money market mutual funds are relatively safe. “The lowest money market funds still provide 7 percent without any deductions. Later, after conditions improve, they can move to fixed income, and others, “he said.
He also reminded the players and staff PERSIB to be careful of people who offer investments. “The formula, if to good to be true, is not true. If we do not have any intervention in our investment, we should not, “said Subiakto.
In the discussion section, the PERSIB players looked so enthusiastic. Various questions were raised, especially regarding the right way of investing during a pandemic. They also hope that there will be further classes. Director of PT PERSIB Bandung Dignified (PBB), Teddy Tjahjono welcomed this event. Going forward, Persib wants to continue collaborating to improve financial literacy.
Photo Courtesy of PERSIB