Spending less time in front of the TV opens up more time, more opportunity and makes you less lazy… Don’t be #FakeRich
The Problem With Money
The biggest problem surrounding money is the lack of knowledge on how to spend and save it!
This is a topic that lies very close to home as it is such valuable knowledge that can literally save you years of heartache, stress and grief.
Schools force learners to take a subject called Life Orientation for their entire school career and insist on teaching pupils skills they’ll never use. Why are we not taking the valuable time we are forcing students to sit down and listen, to teach actual life skills!
Why aren’t we teaching tax in schools? Why aren’t we teaching budgeting, wealth creation and smart financial decision making in schools? We live in a poverty stricken first world country and no one is standing up and helping to grow a new, educated, money savvy generation.
Wealth is a success vehicle that can and should be created as soon as possible. There is no such thing as “later” or “I’m too young”. Parents don’t talk to their children about money and because of that kids grow up to be adults who don’t know what a good salary is, don’t know how to prepare for inflation and don’t have enough to ever retire. The uneducated poverty stricken cycle thus continues.
Let’s make a change! Let’s talk about money, because if you don’t, the next generation won’t either.
Why R500 a Month Is Not Enough
So you’ve spoken to a random financial advisor and you both agreed that putting away R500 a month would be enough of a saving, right? Wrong!
If you are anything like me you have the perception that R500 a month is a lot of money and that over a period of 20 years magical money making fairies would have visited your account a few times and turned your R500 into R5 000 000… Keep dreaming!
The harsh reality is that you are putting away a minimal amount of money into a fund that is only expected to grow between 9% and 12% per annum.
So let’s work that out… (R500 x 12 months) + 9% (let’s be safe here). And the total is R6 540 in savings for the year. Congratulations, you’re a millionaire.
Chances are you’ve put away less for the entire year than what you spend on rent or a bond in one month! Although interest does make your money grow, you still have to make sure that you plan smartly and put away enough so that it grows with your ever increasing lifestyle.
If you truly want to become financially free, make sure you try and get to R1m in savings as quickly as possible. It’s going to be hard and you’ll have to bite the bullet for quite a number of years, but do that and you’ll see how favourable even a 9% growth on your money will be!
Take the leap and invest in yourself today. Ask us how!
Smart Planner 