Make Your Money Work Harder

Together with a financial plan, budgeting is the most effective way to get what you want from life and avoid being caught in the traps that consumer society lays.

Five steps to a budget

Calculate your income from all sources;
Ensure you have access to an emergency cash fund to cover unexpected events;
Deduct your savings for specific goals;
Deduct your essential expenditure - debt / household / healthcare / transport / education / insurances;
Spend the difference on discretionary items and activities such as entertainment and holidays.

This process will help you determine what is important to you. It can then form the foundation block for your financial plan.

Simple Budgeting Tips

Involve your family in the process to ensure that everyone understands the goals;
Schedule your bill payments (including savings) for the day after payday;
Pay credit cards off in full every month;
Avoid bad debt, i.e. debt on depreciating goods;
Seek professional advice on money matters; and
the savings bug early by saving regularly.