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How can I save money every month

how can i save money every month

how can i save money every month

Let’s not beat around the bush – times are tough. Rising prices at the petrol pumps and the grocery store are alarming, particularly when your salary doesn’t seem to keep up with inflation. It feels like everything is getting more expensive and at the end of the day, this translates into less disposable income, and less money to save for a rainy day. So how can I save money every month?

Supplied by Debra Slabber, Specialist Portfolio Director at Morningstar Investment SA

For many South Africans, it’s not their unwillingness to save, but rather their inability to do so after their basics have been paid.

No matter where you are in life, managing your budget is all about priorities – and trade-offs.

Finding the right balance between sacrifices and necessary splurges is a work in progress: Through a process of trial and error, individuals can identify which expenditures fall into the “must-have” category and which ones they can do without in a pinch.

Every little bit counts and can make a big difference

If you can manage to save R200 per month – that is equal to sacrificing roughly two coffees per week – it can make a material difference in the long term. Even with a mere R200 monthly contribution into a savings account at the bank generating a return of 6% per annum, if you start early enough, you can build your wealth up to R1 million. Yes, it may take you 55 years, but it proves that starting the habit of saving and being patient works, plus, you’ll have R1 million to show for it. (Read the full article here on “How to become a millionaire”.)

How does one go about cutting day-to-day living expenses?

Let’s break that R200 saving down even further – say to R7 per day (R7 x 30 = R210). Now we really get into the nitty-gritty of how every cent does count. Sometimes it helps to focus on the small steps – thinking you must save R1 million rand seems almost incomprehensible but saving R7 per day (and R200 per month), seems more doable.

In the spirit of “every cent counts,” we’ve penned the below list of options that could help you reach that extra R7 per day saving goal. Note that this isn’t an inclusive list, and a tip that’s right for one person might not be right for another (that’s why some of these tips might seem to contradict one another).

If you save R1 for every tip listed below, you will already have close to R90 in the bag!

So how can I save money every month?

Behavioural spending


Online shopping and discretionary spending 

(keep a close eye on your behaviour and your budget!)

Utilities and connectivity

Petrol and getting around

Home Maintenance

Personal Care

Medical aid versus medical insurance – which one do you need?

Insurance and Financial Services

The best way to limit overspending and keep savings on target is to craft a budget and adhere to it. But you can’t create a budget without first getting a realistic view of your income, spending, and savings patterns right now. After analyzing that information, you can then formulate a budget that takes into account your income and any adjustments you’re willing and able to make to your expenditures. 

The final step in the process is to monitor your progress toward your budget targets on an ongoing basis. If your original budget assumptions were unrealistic or if something material has changed in your household’s financial picture, adjust your budget accordingly.

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