Go forth and save!

15 April 2019 | Banking

Many graduates can benefit by adopting good money management principles early in their careers to ensure a stable and stress free financial future.

“Whether you are entering the work environment for the first time, starting a permanent job after an internship or running your own business, taking control of your finances right now can help you avoid developing bad money habits which can prove difficult to overcome,” says FNB's Llewellyn Winkler, Portfolio Manager: Young Professionals.

He shares six money management tips for graduates to consider:

• Save for retirement earlier. Some individuals only realise half way through their careers that they will not have enough money to live off during retirement. This often results in them having to compromise some of their financial needs in order to make up for the shortfall.

• Living beyond your means. Although it is essential to spoil yourself and have fun when you start earning a salary, avoid getting into the habit of spending beyond your means. Try and separate needs from wants, and avoid living a lifestyle that leaves you unnecessarily indebted.

• Good vs bad debt. Not all debt is bad. Knowing how to use debt to get ahead in life, as well as using the right form of credit, forms an integral part of a good money management strategy.

• Saving. Regularly putting money away for personal needs, investments or emergencies cannot be over emphasized.

“If you find it challenging to save on your own, set up a monthly deposit, where the bank can deduct money from your account and put it away for you,” advises Winkler. It is also important to take out cover for insurable risks to avoid paying from your own pocket when disaster strikes. Furthermore, if you already have a family or people depending on you financially, life cover should be considered.

• Renting vs buying. Making the right choice, depending on your individual circumstances can help you save money in the long-term.

For example, it may be more cost effective to rent if you have a job that requires you to relocate regularly. Similarly, if you do not have a job that requires you to travel or relocate, buying the townhouse or flat you are staying in, is not only cost effective, but can be a good investment in the future.

• Plan for holidays. Try and plan a year in advance for expensive holidays. This will give you enough time to put money away. You can also benefit from massive discounts when booking flights and accommodation in advance.

“Although the above tips are not conclusive, they will give you a good foundation for managing money adequately. Also take into account that there isn't a perfect formula for handling money, as it all depends on your individual circumstances. The best approach is to have a plan in place, budgeting regularly and being disciplined when it comes to money matters,” concludes Winkler.

Similar News

 

Fraudsters at it again

1 week ago - 16 June 2019 | Banking

The Bankers Association of Namibia (BAN) has warned of new scams that fraudsters are using to steal money from unsuspecting clients.According to BAN chairperson Sarel...

SMEs: Take care of creditors

2 weeks ago - 09 June 2019 | Banking

Windhoek • Mbo LuvindaoThere comes a time in any entrepreneur’s lifecycle when situations get tough. With the persisting drought combined with a challenging economic environment,...

For more peace of mind

3 weeks ago - 02 June 2019 | Banking

FNB Namibia recently introduced an additional safety measurement called Online Secure, which requires customers to enter a One Time Pin (OTP) as confirmation that an...

Tying the knot on a budget

1 month - 26 May 2019 | Banking

As soon as you are engaged, you start thinking of your big day with the hope that it will be a memorable affair. You want...

Protecting more than your PIN

1 month - 12 May 2019 | Banking

Windhoek • Riaan ViljoenInitially bank cards were stolen and used at ATMs and shop check-outs or counterfeit cards were created. As a result, banks have...

A helping hand in need

1 month - 12 May 2019 | Banking

The FNB CARE platform ensures customer opinions are logged, heard and tracked towards resolution, as well as provide FNB the opportunity to engage with and...

FNB ensures customer-centricity

1 month - 06 May 2019 | Banking

Business Intelligence Africa (BIA) recently conducted an online customer satisfaction survey of FNB customers using international benchmark standards to solicit feedback based on a cause-and-effect...

Raising money-smart kids

2 months ago - 14 April 2019 | Banking

Windhoek • André Le RouxFinancial literacy focuses on the knowledge and skills you need to make effective and informed money management decisions. Gaining the knowledge...

Revolutionising payments

2 months ago - 07 April 2019 | Banking

The Payments Association of Namibia (PAN), in partnership with the local banking and payment service providers will be introducing a brand new solution, called NamPay,...

Happiness aplenty

2 months ago - 31 March 2019 | Banking

The FirstRand Namibia Foundation Trust recently hosted a networking breakfast to help charity organisations raise more funds through the FNB Happiness Store. “The Happiness Store...

Latest News

Building bridges

3 days ago - 23 June 2019 | Infrastructure

Construction work continues on the Windhoek - Hosea Kutako International Airport road, with works set to start again on the bridge over Frank Fredericks drive...

Skills training for ­vulnerable moms

3 days ago - 23 June 2019 | Local News

Ester Kamati Twenty-five young mothers from the Lidar Community Foundation are receiving skills training for the next six weeks, thanks to the support of the...

Art and pets = Animals...

3 days ago - 23 June 2019 | Events

The SPCA Windhoek held its annual fundraiser – Animals by Night – last week, with a spectacular event at the FNCC.According to general manager of...

We are running out of...

3 days ago - 23 June 2019 | Disasters

Windhoek • Elvira Hattingh The date for dams supplying Windhoek to run dry has now advanced with between two and three weeks. The reason for...

Hope for Justin

3 days ago - 23 June 2019 | People

Walvis Bay • Leandrea Louw Justin Koch, a ten-year-old boy from Walvis Bay, has been ­battling with cerebral palsy spastic diplegia all his life.Born...

Help hier, asseblief!

3 days ago - 23 June 2019 | Social Issues

Windhoek • Rodney SwartbooiEk was onlangs by ’n konferensie op Otjiwarongo en dit was op pad terug wat ek afgekom het op ’n gesin, ’n...

Familie sonder hoop

3 days ago - 23 June 2019 | Social Issues

Nkurenkuru • Kenya Kambowe 'n Familie van vyf in die Kayeure-nedersetting in die Musese-kiesafdeling van Kavango-Oos bly in 'n 2x2 m-struktuur bestaande uit stukkies muskietnet,...

The heartbeat of the city

3 days ago - 23 June 2019 | Business

Windhoek • Lisa Plank A taxi driver cruises down the street, loud music blaring from the loudspeakers inside the car. With one hand he casually...

Pageant winner supports schools

3 days ago - 23 June 2019 | Social Issues

Winter is always a time for reflection and appreciating what you have, and this year is no different!During 2018, the first runner up of Miss...

Load More