Look let’s be honest, saving money is one ridiculously tough job, especially when the bills keep piling up. Are you ready to unlock the secrets of saving hundreds of rands each day? Well, you’re in for a treat because we’ve got some nifty tips and tricks up our sleeve that will help you keep those hard-earned rands in your pocket where they belong. So, grab a cuppa (from your kitchen not Vida), sit back, and get ready to discover the art of saving like a pro!
First up, why should I try save money when I’m struggling to keep up?
When you’re struggling to make ends meet, the idea of saving money may seem like an impossible task, even if it’s just a R100 a day. However, the benefits faaaar outweigh the challenges. Let’s shed some light on why it’s definitely a good idea to save hundreds of rands (if not thousands) each day:
You can create an emergency fund: Life is unpredictable, and unexpected expenses can arise at any time—a sudden medical bill, car repairs, or a home emergency. Having a financial safety net in the form of an emergency fund can help you weather these storms without falling into further debt or financial stress. Even if you can only save a small amount each month, over time it can add up and provide a cushion for those unforeseen circumstances.
Break the cycle: By saving money, you’re taking steps to break the cycle of living paycheck to paycheck. While it may not be easy at first, gradually building your savings can help you gain financial stability and reduce reliance on credit or loans. It’s a step towards gaining more control over your financial situation and working towards a brighter future.
Set up long term goals: Saving money isn’t just about the present; it’s also about securing a better future for yourself and your loved ones. Whether it’s saving for education, a down payment on a home, starting a business, or retiring comfortably, having a savings plan in place allows you to work towards achieving these long-term goals. Every rand you save today brings you closer to realizing your dreams tomorrow.
The best peace of mind: Financial stress can take a toll on your overall well-being. Saving money provides peace of mind, knowing that you have a safety net and a sense of financial security. It can help reduce anxiety about unexpected expenses and give you a greater sense of control over your financial situation. This peace of mind can have a positive impact on your mental and emotional well-being.
Get started on building your wealth: Saving money is the first step towards building wealth. Even if it feels like a slow process, consistently saving and investing over time can help your money grow. By setting aside a portion of your income, you’re giving yourself the opportunity to build wealth and create a more stable financial future.
Now how can you actually action this in your daily routine and make changes. Here’s how:
Embrace the power of meal prep
Eating out can be tasty but oh-so-expensive. Instead of blowing your budget on pricey takeaways, why not channel your inner master chef and embrace the art of meal prep? Spend a little time each week planning your meals, making a shopping list, and cooking in bulk. Not only will you save money, but you’ll also eat healthier and have more control over what goes into your belly.
The thrifty shopper’s guide
When it comes to shopping, be a savvy consumer. Keep an eye out for those epic sales, compare prices at different stores, and don’t be afraid to haggle for a better deal (if you’re shopping second hand. If you are wanting to purchase furniture or appliances for your home, opt for Facebook marketplace instead of buying it brand new, you can definitely save a couple of bucks. It’s good for your wallet and the environment!
Slash your utility bills
We all know those utility bills can sneak up on us like stealthy ninjas. But fear not! There are ways to tame those bill beasts. Start by being mindful of your energy usage. Switch off lights when you leave a room, unplug appliances when not in use, and embrace natural light and fresh air whenever possible. It’s amazing how a few simple habits can make a noticeable dent in your monthly bills.
Ditch the debt, embrace the savings train
If you’re carrying around a heavy burden of debt, it’s time to make a plan to set yourself free. Start by creating a budget that includes a monthly debt repayment goal. Consider consolidating your debt to simplify the payment process and potentially reduce interest charges. And once you’ve tackled that debt, redirect those monthly payments toward your savings. Watching your savings account grow will bring a whole new level of financial freedom.
Make loyalty programs your new BFF
When it comes to saving, don’t underestimate the power of loyalty programs. Many retailers, supermarkets, and even banks offer reward programs that can earn you discounts, cashback, or exclusive deals. So, sign up, swipe your loyalty card, and watch those savings add up over time. It’s like getting a little bonus for being a loyal customer. Woolworths, Pick n Pay, Checkers, Vida are some of the best to name a few, but be careful not to fall into the loyalty program traps where you may purchase more than needed because it’s on special. Only get things that were already on your shopping list.
Bring your own coffee cup to work
We all know how pricey those daily cups of coffee or bottles of water can be. So, why not BYOC? Invest in a good reusable water bottle and a travel mug for your daily caffeine fix. Not only will you be doing your bit for the environment, but you’ll also save a pretty penny in the long run. Plus, you’ll always have a drink on hand when you’re feeling parched.
DIY all the way
South Africans are known for their resourcefulness, so let’s channel that spirit into some good ol’ DIY projects. From fixing that leaky tap to sprucing up your living space, there are plenty of things you can do yourself with a little bit of research and elbow grease. Not only will you save money on professional services, but you’ll also gain a sense of accomplishment and a new skill set. P.S. we aren’t expecting you to be a fully certified electrician, but where possible (and safe) do your own handywork at home, it can definitely save you thousands in invoices.
Create a 50/30/20 budget
Managing your money like a pro means following a budget that helps you prioritize your spending. One popular method is the 50/30/20 budget. Here’s the scoop: allocate 50% of your income to necessities (the things you need to survive), reserve 30% for your wants (those little luxuries that make life sweet), and dedicate a solid 20% to savings and other debt payments. But hey, if you find yourself going overboard in one category, don’t sweat it! Simply make some adjustments elsewhere to keep things balanced.
Track each and every expense
We know this sounds a bit crazy, but if you want to save money, you’ve got to know where it’s going in the first place. So, grab your notebook or your favourite budgeting app and start recording every single expense. Discovery Bank’s banking app does this for you. Whether it’s groceries, monthly bills, or that spontaneous splurge, jot it down. Take a peek at your bank statements to ensure you’ve accounted for everything, and don’t forget to keep those receipts too. Once you have a clear idea of your monthly spending, you can make informed decisions about how much to allocate to your savings.
Shop around for insurance
Insurance is a must-have for any responsible working individual. Whether it’s life, health, or travel insurance, it’s crucial to have the right coverage. But here’s the thing: don’t just renew your insurance blindly every year. Take the time every six months or so to compare rates from different companies. Ask for quotes to get a good grasp of what’s being offered out there. The goal is to find the best deals that offer you the most bang for your buck. So, be a savvy shopper and ensure you’re getting the insurance you need at the right price.
Invest in solar power
Let’s shed some light on a game-changing solution for South Africans facing the challenge of load shedding and rising electricity bills: solar power. With load shedding persisting for the past 15 years and an estimated continuation for at least the next two years, it’s time to tap into the abundant South African sunshine to power your home.
Now, we understand that the initial set-up costs of a solar system can seem daunting. But fear not, because the long-term benefits far outweigh the upfront investment. By going solar, you can bid farewell to loadshedding woes and reduce your monthly electricity bill. The savings you’ll enjoy over time will help recoup those initial costs and put more money back in your pocket.
If the upfront expense of purchasing a solar system is a barrier, you can explore alternative arrangements. Rent-to-own programs allow you to gradually own the solar panels while enjoying the benefits of solar power from day one. Another option is a solar subscription service, where you simply pay for the energy generated by the solar panels, without the burden of owning them outright. These alternative approaches make solar power accessible to a wider range of South African consumers.
Avoid malls or shops as a form of entertainment
Instead of relying on shopping malls as a go-to source of amusement, why not step outside and embrace the great outdoors? By planning walks, hikes, or outdoor activities, you can have a blast without spending a fortune.
South Africa is a treasure trove of natural beauty, from breath taking mountains to pristine beaches and lush green parks. Take advantage of these incredible landscapes and explore the wonders of nature. Gather your friends, plan a scenic hike, and immerse yourselves in the beauty that surrounds you. Not only will you enjoy quality time together, but you’ll also get some exercise and fresh air—benefits that money can’t buy. Remember, saving money doesn’t mean sacrificing fun. It’s about finding creative alternatives and making the most of what South Africa has to offer. So, put on your walking shoes, invite your friends over, and let the adventures begin—while keeping those rands in your wallet where they belong.
Where is the best place to find out how other South Africans are saving hundreds of rands?
The best place to find out how to save hundreds of rands each day is by looking on Facebook groups. Fincheck Academy’s Money Made Simple Facebook community and Fat Wallet Community are great sources of information, where you can ask loads of questions and find out how other fellow South Africans are saving cash dollar.