Sat Jan 07 2023 11:43:26 GMT+0000 (Coordinated Universal Time) - QikTruck Media
As the South African economy struggles through tough times, it is easy to feel overwhelmed by the stress and anxiety this brings. Even though the economic outlook may seem bleak, taking steps to be financially responsible and living frugally can help reduce the impact of a recession. Here are five tips to help South Africans living through a recession.
Creating a budget and tracking your income and expenses are the foundations of responsible fiscal management. Start by calculating your monthly expenses and estimated income. This will help you understand how much money you need to maintain your desired lifestyle and will give you a better place to start when figuring out how to make needed cuts to your budget. To stay financially organized, take advantage of free budgeting tools such as GECO's Budget Planner Tool.
One of the best and easiest ways to control your spending and save money is to switch from credit card and debit card payments to using cash. It can be difficult to see the impact of daily purchases when using credit. However, when using cash, it is much easier to mentally process the impact of each purchase. Budgeting experts also suggest categorizing your cash removals so you can identify exactly where and how much is being spent.
Frozen credit will help protect you from identity theft, fraud and other misuse of personal information. This can also help to reduce the temptation to use credit cards to make impulse purchases. As luck would have it, South Africans have free access to PVL, the National Credit Regulator’s Credit Freeze website, where you can freeze all your credit reports for free for up to six months, making it hard for fraudsters to open accounts in your name.
Another way to stay in control of your finances during a recession is to make savings your top priority. It is more important than ever to steer clear of getting into unnecessary debt. Whether it is setting up a savings account with discipline or opening a fixed-term deposit, be mindful of your goals and focus on building your savings.
Starting a business or side hustle is one way to make additional income, while diversifying your sources of income can also help to reduce risk. However, if you’re considering a side hustle to supplement your income, start small. Pick up an extra shift, look for a full- or part-time job, or offer a service like tutoring, building websites, virtual assistant services or ride-hailing. There are many online platforms for you to advertise such as Teachable or Setmore.
Recessions can be daunting periods of time, especially when it comes to money. As South African’s, it is important to equip ourselves with the right knowledge and skills so that we can be prepared to weather the storm. Qiktruck is an on-demand transportation solution that allows you to hire a driver and truck for a variety of shipping needs at any time. Whether you’re moving home, need to transport business goods and materials, or want to offload a bulky item, Qiktruck offers the solution to all your transportation needs. Contact us to learn more about how Qiktruck can help you achieve your shipping needs.