MAKE YOUR MONEY GO A LITTLE FURTHER
It’s savings month, an annual reminder of the importance of saving for a better future and building up an ‘emergency fund’ for, well, emergencies. Because, you never know.
But, July shouldn’t be the only time we think about saving our hard-earned cash. Saving should be something we consciously do, every day. Wynand van Vuuren, head of legal and claims at King Price, shares some tips on how to make your money go further.
Decide on priorities
It’s important to know upfront what your monthly expenses are. This is where a monthly budget comes in handy. Once you have an idea of where your money goes, then you’ll have a better idea of what you can and can’t afford, and can plan to pay off any debts faster and more efficiently.
Record every cent
Just having a budget isn’t enough. You stick to it! It also helps to record every cent that you spend. Although this is admin intensive, you’ll know exactly where you overspent and at what point your budget went out the window. For example, if you’re spending R50 on lunch every second day, this adds up to around R600 monthly, which you probably hadn’t budgeted for… And it’s in addition to the groceries you had budgeted for.
Do you really need it?
Yes, sure, sports cars and SUVs are nice. (Very nice!) But, before you splurge, ask yourself if you really can afford one. Having a car is pretty much a necessity, but they all come with additional costs over and above the actual monthly repayment. There’s petrol and maintenance to take into account. And insurance, which is a non-negotiable necessity.
Get super cheap insurance
When you’ve got wheels, it only makes sense to sign up with a reputable insurer. But don’t just accept any quote you get. Take your time to find an insurer that offers comprehensive cover at a premium you can afford. If their premiums drop monthly, that’s even better. Some insurers also offer multiple car discounts, so if you’re a 2+ car family, cash in!
Now that you’ve been schooled on how to spend your royal earnings wisely, it’s time to decide what you need to save for. There’s always a reason to save; whether it’s education, retirement, a deposit for a house, or a holiday. If you haven’t quite decided, then save for a rainy day. Bad (and generally expensive) things happen when you least expect them and, when they do, you’ll be so happy that you were wise with your bucks.
For more information about King Price visit www.kingprice.co.za and experience a world where insurance premiums decrease monthly and you get up to 20% discount when you insure 2+ cars.
