Every person has financial goals. Saving money to reach those financial goals, be that as it may, isn’t a simple task. The cost of living in South Africa is so demanding in our pockets every month that our efforts to save money often fall short.
If you’re wondering how to save money in South Africa, the answer to that question is relatively straightforward. Incorporating all changes to your monthly and daily spending habits will allow you to save money for your long-term financial goals. This is what we call prioritizing your saving goals. Once you have a clear goal in mind, your next step is to budget. Your commitment to budgeting and saving will be what determines how successful you are at saving money.
Keep reading to an easy-to-follow guide on the most proficient methods to save money every month.
The best way to save money every month is to make sure that you pay yourself before anything else. Automate your savings and put away your savings first, before you spend on anything else. This allows you to pay yourself first!
If you start to think about putting money away in your savings the same way that you feel about paying your other bills, it’ll guarantee that saving turns into a habit instead of something you do sporadically. A decent method to ensure that you save money is to automate the process of saving money. Set up a debit order so that a specified amount of money is automatically taken from your income and moved to your savings account every month on payday. That will avoid you forgetting to pay yourself.
Just by keeping track of where your money goes, you’ll be motivated to spend less money. Start by taking note of how much money you consume daily and what debit orders you have set up, so you can identify your current ways of managing money. An easy way to do this is with 22Seven. Read about the 22Seven App here.
Then, at that point, choose which of your expenses are essential and which aren’t. Keep in mind; your essentials should always be taken care of first. That said, if there happens to be additional money to spend after you’ve saved 10% of your salary, you can spend it on other things that you want.
When it comes to buying groceries, planning is vital. Grocery shopping can be a big budget saver or budget waster. Make a list and look out for specials that are available that month. If it means going to various stores, try to do your grocery shopping at a shopping centre with more than one supermarket so that you don’t waste money on petrol. Also, be wary of specials and deals on things that you do not need. Even if items are unique, only buy something that you would typically buy.
You can keep an eye out for specials online from the following outlets:
- Food Lovers Market
- Pick ‘n Pay
Fundamental changes to your day-by-day schedule can allow you to save a little extra money that accumulates over the long run. Here are some approaches to save money on a daily basis.
- Save your change — Empty your pockets every day and start gathering that additional change. Then at the end of the month, try to put that extra money into a bank account that will give you the best returns.
- Pack lunch for work — The money you spend on buying lunch at work or school may not seem like a lot, but it does add up over time. Instead, try to make your lunch at home and put the money you would have spent into your savings account. You’ll be astonished by the amount of money you can save doing this.
- Make your presents — The expense of a birthday, graduation, or wedding gift can often end up harming your finances. So why not try to make a gift instead.
Reducing your monthly bills might require some discipline. However, the potential savings make it worth it. Here are a couple of ways you can save money each month.
- Pay attention to your electricity and water use — Small changes in how you use water and electricity can lead to significant savings every month. When you walk out of a room, switch the lights off, don’t leave your gadgets on charge the whole day, and try to take quick showers instead of baths.
- Always put extra money into your savings account — The money you manage to save from rolling out these money-saving hacks can be put into a savings account with any South African bank. To get the most out of your savings, find a bank whose savings pocket offers higher interest rates; that way, your savings will keep growing even in months where you deposit a little less money into it.