South Africa is faced with fuel price hikes that will affect consumers’ pockets.
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With the recent increase, it is advised to manage your money and free up cash.
“There are a few steps one can take to make sure they are making their rands work for them over this period,” said Ester Ochse from FNB.
Track your spending
This will be a great way to see where your spending is going and also highlight any unconscious spending that may be happening. It will also highlight your major spend categories.
Check your budget
Now that you have an idea of where your money is going, the next step is to put your budget together. This is where you need to look at what is important to you and check if your spending is aligned with the things that are important to you.
Follow these four steps:
• Think, dream and reflect. What does your financial lifestyle look like in five, 10 or 15 years? Make a list of everything important to you. This could be your children’s education, your retirement or being debt-free.
• Prioritise. What is important to you? Look at the list you made in the first step and choose the top three most important ones to you.
• Track your spending. Look at where your spending is going and whether it aligns with what is important to you.
• Review. Do the four-step process on a regular basis to ensure your spending is aligned to what is important to you.
Use tech to help you. Once you have allocated the money to the necessary items, use technology to help you stay the course.
Loyalty programmes can help you free up the cash you may need.
Tips to save on fuel
Plan your shopping so you don’t need to pop into the shops regularly. For safety and convenience, try to shop online and buy items you need and that will save on fuel costs.
If you travel to the office regularly, try to see if there is a way you can carpool to save on fuel costs.
Make sure your car is regularly serviced and that the tyres are properly inflated.
Stick to the speed limit and avoid aggressive acceleration.
“Being aware of where your money is going and what you are spending it on is the first step in setting yourself up for financial resilience,” said Ochse.
