How To Build Up Your Savings - South African Tips
People usually start saving money when they want to buy something big or when they want to fund a bigger project. However, it is important that you form a habit of saving for the long-term: do it for a rainy day fund and for securing your financial future.
Saving money can be hard but with a few strategic steps and approaches, you can start building your savings in South Africa. Here are some tips to consider.
Start small, keep it consistent
Starting small is the easiest way to begin your journey to a more secure financial future. Even if you can only save R50 a week, start there. With this small amount, you can eventually form a habit by planning for it and making it a part of your budget every month.
Plan for additional sources of income
Increasing your income is one way to start saving money in South Africa. You can do this by considering a second job, freelancing or finding a side hustle to earn you supplemental income.
Take for example, Qiktruck, a South African on-demand truck and driver hire service. Qiktruck provides an easy way to make some extra cash by offering delivery services. With Qiktruck, you can convert your own vehicle into a money-making machine.
Leave your savings untouched in a savings account
To save money in the long-term, you should set aside some of your income and open a savings account. If you can, choose an account that won't let you withdraw money and won't charge you for withdrawing it. You should also see if the bank offers any rewards for leaving your money in the account.
Change or review your budget regularly
If you are serious about saving money in South Africa, you should adjust your budget from time to time. You should also track your expenses and look for ways to cut your spending. Once you have identified all your expenses, you should start looking for cheaper alternatives, such as buying generic brands, carpooling, or turning off the geyser switch when you're away.
Invest in low-risk bonds
Investing in low-risk bonds is another great option for South Africans who want to save money in the long-term. Bonds are a less risky form of investing, and they pay a predetermined rate of interest. They also offer moderate returns over time, so they are a great way to grow your savings more quickly.
Final thoughts
As you can see, there are many ways to start building up your savings in South Africa. You should start by planning for additional sources of income, saving small amounts consistently, and investing in low-risk bonds. Additionally, you should also leave your savings in a savings account and review your budget regularly.
One way to generate some extra income fast is to sign up with Qiktruck. Qiktruck provides a safe, convenient and easy way to earn some extra cash by offering delivery services. All you need to do is download our app, sign up, and you're ready to start making money.