Saving and investing has become an important aspect of our lives. More so than before, we need to look at innovative ways to grow our money.
"With the increase in household expenses due to VAT, fuel and rising inflation, we need to ensure that we have enough saved for the future," says Ester Ochse, FNB Wealth and Investments Product Specialist.
Ochse suggests the following saving steps that will help you start your savings journey.
Savings Plan: This initial step is the most important step in the process. You need to plan, understand and choose what you want to save for. Be it for a gift, a new pair of sunglasses or long-term goals like education, retirement; your savings plan will be your blueprint to starting your savings journey.
Budget: There's nothing worse than not having spare cash on hand, especially in an emergency. Ensure that you have an up-to date budget that details your daily and ongoing expenses clearly. This budget should be updated monthly.
Goals: Ensure that your short and long-term goals are clearly defined. This helps you identify your priorities and distinguish between needs, wants and responsibilities.
Research and execution: So, you've planned and budgeted, now you need to decide where you would like to put the money. When making your decision, look at the interest rate offered and for long-term goal, partner with a trusted money manager to help you receive good returns.
Review: Monitor and ensure that you stick to your savings goals. This is an important step as we often tend to ignore our goals, and spending more than we should.
