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Financial Literacy
1. Saving 101
2. Budgeting
3. Hustle 101
4. What is financial planning?
5. Five Money Habits of Never-Broke Women
6. Building Intergenerational Wealth
7. Managing Your Debt
8. The Relationship Between Finances and Mental Health
9. The Impact of Finances in Relationships
10. Managing Risk
11. Managing Personal Finances During Festive Season

70% of South Africans spend all their monthly salary or even more than they make, according to research done by Deloitte in 2021, this makes it difficult to save.

What is Saving?

At its most basic, saving is the act of putting money away in a safe place to use it in the future. Savings refers to the money that is left over after consumer expenditure is deducted from disposable income during a specific period. Savings, then, is what is left over after all commitments and expenses have been met for an individual or household.

What is a savings plan?

A short- or long-term objective of saving money. To reach the desired goal amount, consistent deposits are made. Example: if you put away a little bit of money in a savings or investment account each month to achieve a long term goal.

What are the reasons to save?

If you have some savings on hand, you may be able to prevent going into debt to pay for things when you need them.

Here are some examples of what you may want to start saving for:

  • An emergency fund for a rainy day. It is recommended to have 3 times your monthly income saved in case of an emergency to allow you to get back on your feet.
  • Start up capital for a new business or side hustle.
  • A holiday or a new appliance.
  • Short-term education costs, such as textbooks or sporting equipment.

Tips for choosing a savings plan

  • Interest Rates: Some savings accounts will offer higher interest rates for an initial period which can then drop. Others have fixed rates or rates that go up depending on the amount deposited.
  • Notice Periods: Some accounts require you to give a certain notice period for withdrawal of funds. These typically range from 30-90 days.
  • Time Period: Certain accounts will require you to leave your savings in the account for a specified period to reap higher interest rates.
  • How Interest is Paid: Different savings accounts will pay interest different – this is likely to be either paid monthly or annually.
  • Minimum Deposits: You may be required to make a specified minimum deposit, and a certain number of deposits in any given period.

Tips of Saving During Difficult Times

  • To ensure that you have some money available to save, make sure that you only spend on what you need. Try your best to never go into credit for luxuries or items that you could go without.
  • Draw up a budget, and stick to it!
  • Shop around for deals on items you frequently buy.
  • Save indirectly:
    • Save on utilities, for example reducing consumption of electricity as much as you can.
  • Prioritise paying off any debt you may have as paying interest on money owed, is essentially wasted in the long run. E.g. If you are faced with a decision between going out for a fancy dinner or paying a little extra money into your credit card, see if you can compromise and rather entertain at home and pay the difference you saved into your credit card/debt.


PS: Safrican offers a Saving plan that enables you to put a little away each month for the long term benefit, allowing you to make the most out of compound interest. You can read more here: or even sign up here:

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