Goals – what goals?

The year has started with a bang and I cannot believe we are already in the month of February. January has come and gone and so have most people’s new year's resolutions or goals.

So instead of doing the January goal setting, why not do it in February when you are settled back in at work and the silly season has ended?

I decided to give you some great ideas on financial goal setting which are easy to follow and would take very little time to implement.

1. Set a budget and follow it
This can be very simple, and if you are struggling you can always contact me to assist.

2. Reduce your debt
A lot of people have a problem with debt in South Africa. Try leaving your credit card at home when you go out with the friends and taking only cash (set limit) and once the cash is finished, then it is time to go home.

3. Don’t take on any new debt for the year
Do you really need that new dress, car, motorbike, kitchen? Before making a big buying decision, why not consult with me and we can decide what is affordable. Watch the documentary Minimalism on Netflix.

4. Save up an emergency fund
This is a must have, in today’s unpredictable world. The rule of thumb is that you should have at least 3 month’s salary saved up. Just start, even if it is very small.

5. Cut spending in 2 budget categories
After setting up your budget, identify two areas for example entertainment and clothing where you can cut spending on. This will assist in having more disposable income to save and assist with your long-term goals.

6. Schedule no spending weekends
Weekends are generally when you spend most of your money. You visit friends, you go shopping at the malls and go eat at restaurants. So why not schedule a weekend where you will not spend any money and the money saved, you can put away for your children, overseas holiday, or even paying off debt.