According to the South African Savings Institute (SASI), South Africa's (SA) official savings rate at the end of March 2016 was 15%, household savings rate was 1.1 percent and debt as a percentage of disposable income was 76.6 percent. These ratings demonstrate that there is still a huge gap in terms of the SA savings behaviour. Being savings month, it's important to reflect on some of these behaviours and concomitantly identify steps that seek to unlearn behaviors that adversely contribute … [Read more...] about You can become financially astute
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Steps to avoid money temptations
In a perfect world, we would all spend only what was necessary and always put away any extra cash. Unfortunately there are always temptations which make us fall into spending traps based on emotions and wants, not needs. "There are a few tricks that you can use in order to stop the temptation of overspending or dipping into hard earned savings to fund unnecessary expenditures," says Eunice Sibiya, head of Consumer Education at FNB. Only take what you need "Our debit cards, credit cards … [Read more...] about Steps to avoid money temptations
Preparing for the costs of having a baby
There is nothing more exciting than a new baby on the way, but it does bring with it a few daunting cost considerations. You're shifted from being a young independent, to being someone who needs to all of a sudden, watch what they spend. Lezanne Human, CEO of FNB Savings, Investments and Fiduciary, says "Making the transition to being a new parent can be very intimidating, especially when considering the effect it will have on your finances. A new addition to the family brings with it … [Read more...] about Preparing for the costs of having a baby
Start saving early towards your next holiday
A well planned holiday can save on costs related accommodation bookings, flight deals, car rentals and even holiday packages. Despite the numerous bargains that are offered, taking a vacation remains a pricey affair. The answer to this holiday dilemma lies in managing your money properly throughout the year, as a way of proactively saving towards certain goals, like a well deserved holiday. "Save constantly. Every time you add money into your savings or investment account it brings you … [Read more...] about Start saving early towards your next holiday
Saving for your Gap Year
Taking a gap year may not necessarily be for everyone, but there still seems to be a growing appeal of a gap year amongst matriculants and graduates, presenting a time to explore both the world and oneself. Depending on what you plan to do in your gap year, your finances could play a big role. Whilst gap years are exciting - a year off without an income can be quite taxing so it needs to be planned for meticulously. "Whether you are a young person who needs more clarity to consider future … [Read more...] about Saving for your Gap Year
Businesses turn to new technology for crucial energy savings
Businesses turn to new technology for crucial energy savings: SHINING EXAMPLE: Rhino Lighting’s Jonathan Scheepers shows off the company’s recent installation of SA-manufactured new technology LED lighting at the popular Newton Park Swimming Pool in Port Elizabeth. The new lighting has resulted in a 50% reduction in the centre’s monthly lighting bill. Photo: (Image: Supplied) DESPITE a promise by parastatal Eskom of no load-shedding for the foreseeable future, soaring energy prices have forced … [Read more...] about Businesses turn to new technology for crucial energy savings
How to save for your wedding day
Tying the knot is an exciting step towards a new life together, but as the planning kicks off, the costs involved in making your big day special could be quite daunting. Between venue hire, cake, dress and photography, the cost of your wedding can quickly escalate and seem impossible without dipping into credit. The average cost of a wedding in South-Africa currently runs between R70 000 and R80 000 for 80 to 100 people and can easily escalate to R200 000, according to professional wedding … [Read more...] about How to save for your wedding day
You have six months to save for your December holiday
December holidays present an ideal time to take the family on a well deserved break, but given our current weakening economic climate many South Africans may consider dipping into credit in order to fund their holiday travels. Lezanne Human, CEO of FNB Savings, Investments and Fiduciary, says “paying for your vacation in cash would be ideal especially where indebtedness is a major setback. When it comes to saving, time is your ally. Plan well in advance so that you know how much you need to … [Read more...] about You have six months to save for your December holiday
South Africans must spend prudently and save
National Savings Month is fast approaching and there is no better time for South Africans to consider the importance of savings. Economic pressures, rising inflation and higher costs of servicing debt will continue to erode the real purchasing power of consumers, pushing an already vulnerable consumer towards the edge. "It's particularly important, especially when times are tough, that South Africans look at building up cash reserves, so that when an unexpected expense arises there are … [Read more...] about South Africans must spend prudently and save
If you are doing these 4 things then procrastinating is costing you money
Not getting around to sorting out your finances can cost you in the long run. With spring underway it is time review your unhealthy delay tactics and get on top of your finances. "Procrastination is when someone puts off tasks they think are unpleasant until the last possible minute," says Eunice Sibiya, Head of Consumer Education at FNB. "While sometimes putting off completing tasks in your everyday life is not a big deal, you shouldn't take that attitude with your finances as it can not … [Read more...] about If you are doing these 4 things then procrastinating is costing you money
5 money tips from parents to teenagers
With good financial habits not always taught at school, it is up to parents to make sure that their teenagers are equipped to face the world of managing their money. "Teenagers typically have a lot on their minds, however being financially smart generally isn't one of them," says Eunice Sibiya, head of Consumer Education at FNB. "It is important to teach our teenager children money skills so they can make good money decisions that they will use for the rest of their lives." 1. Create a … [Read more...] about 5 money tips from parents to teenagers
Quick and Easy tax-free saving
The final notice and regulations that allow for the introduction of Tax Free Savings and Investment Accounts (TFSAs) have been approved by Finance Minister Nhlanhla Nene. This will come into effect from 1 March 2015, the start of the new tax year. The incentive, said National Treasury in a statement on 20 February, is an important tool to encourage South Africans to save more and to reduce household indebtedness and vulnerability. It complements initiatives and incentives to promote … [Read more...] about Quick and Easy tax-free saving
How to prevent starting 2015 on a financial downer
You've worked hard and with the festive season around the corner, it's almost time to enjoy the results of your hard work, especially if you are looking forward to a very welcomed bonus or thirteenth cheque. Before you spend your bonus on holidays, meals out and fun-in-the-sun activities, it is important to take stock and consider your financial situation to prevent starting the New Year off on a bad note. "Apart from the fact that it's just a good idea to put aside some of your bonus in an … [Read more...] about How to prevent starting 2015 on a financial downer
Tax free savings accounts
National Treasury has published the draft Notice and Regulations required to allow the introduction of tax free savings accounts as of March next year. The draft Notice and Regulations aims to encourage people to save. The draft Regulations detail the products that will qualify as ‘tax free investments’ to be included in the tax free savings accounts, the disclosure requirements in respect of those products and the process for transferring amounts within a tax free savings account to a … [Read more...] about Tax free savings accounts
South Africa saved 575 MW of power during Earth Hour
South Africans saved a total 575 MW of electricity - enough electricity to power a city the size of Polokwane - during Earth Hour on Saturday, says Eskom. As part of its support for the Earth Hour campaign, Eskom measured the reduction in electricity used during the hour against typical consumption for this time on an average Saturday evening. Eskom had also switched off non-essential lighting at all its offices around the country, except at strategic facilities for security … [Read more...] about South Africa saved 575 MW of power during Earth Hour
