Vanesha Palani, Executive of Financial Management at Nedbank
With Spring underway, there’s never been a better time to get your thinking straight and put your financial house in order. Take a fresh look at your finances and streamline everything towards achieving your goals.
Vanesha Palani, Executive of Financial Management at Nedbank highlights that the need for this type of financial spring cleaning is more pressing than ever. “According to the 2023 Nedbank Consumer Segment Tracker, many South Africans are experiencing high levels of financial stress, with nearly two-thirds of entry-level banking customers indicating they feel frustrated and anxious about their financial situation,” she explains. “The good news, however, is that by following some simple steps, you can put your finances onto a path of growth and approach the future with a more positive outlook.”
She offers some advice on how to approach a financial spring clean and turn your finances from a source of worry to a source of pride and optimism:
1. Commit to making the change. The saying that a journey of a thousand miles begins with the first step is so true. The sooner you start, the sooner you will see results. “Taking that first step towards financial wellness can feel daunting, but it’s crucial. Every positive financial decision, no matter how small, contributes to your overall financial health.” No matter where you are in your life, it’s never too late to take control of your money choices. You’ll see the difference in your bank balance … and in how you feel about the future.
2. Set, or assess, your goals. It’s wise to divide your planning into short-, medium- and long-term goals. The Nedbank Consumer Segment Tracker shows that while health and family goals are at the top of most people’s priority lists, financial goals rank a close third. “Whether it’s building an emergency fund, saving for a major purchase, or planning for retirement, having specific targets helps you stay focused and motivated. Then she recommends leveraging appropriate savings solutions to achieve those goals. There will be different products suitable for each type of savings goal that you have.
3. Be realistic. If your financial aspirations aren’t realistic, you will struggle to reach them. Be honest with yourself about where you are spending your money and try to identify bad habits that should be altered. Take a value approach to refreshing your finances. See where you can save or get a better deal on your set expenses like insurance, subscriptions, etc.; then work diligently to get rid of expensive debt.
4. Use your bank; it’s there to help. Banks love helping clients to make good money choices, save successfully and achieve financial wellness. It’s no wonder, then, that the Nedbank Consumer Segment Tracker found that savings accounts are the most common financial product held by 95% of banked research respondents.
5. Build positive habits. Once you’ve started your money journey, cultivate positive habits. The discipline of putting money aside is a great way to begin. Remember that you are essentially investing in your future, and the future of your family. Commit your goals to paper and schedule a quarterly review of your progress.
“Making the right money choices is so much easier when you have an expert on your team” says Palani. “By implementing these steps and leveraging the tools and support available, you’re setting yourself up for financial success. And as you continue on this journey, any financial stress you’re experiencing will begin to decrease, replaced by a sense of control and optimism about your financial future.”
ENDS
