Are you part of the Sandwich Generation?
The Sandwich Generation refers to the generation that is in the uncomfortable position of having to financially support their children and their parents at the same time. Is this you?
While it would be nice to think the Sandwich Generation refers to a lip-smacking, mayo-melting sandwich from time to time, the real definition is not so enjoyable, said African Bank.
Mellony Ramalho, African Bank’s Group Executive: Sales, Branch Network explained that people who find themselves in the uncomfortable position of having to financially support their children and their parents at the same time are members of the ‘Sandwich Generation’.
She said, “This is not a new issue, and not a South African problem alone either.”
Results from a Savings and Investment Monitor study done in South Africa by Old Mutual in 2017 showed that 58 per cent of respondents have a high expectation that they will have to support their family and parents in the future.
“The reality is that it is very difficult to break out of this cycle because Sandwich Generationers find it extremely difficult to make their finances stretch to cover their children and their parents while still finding money to place into savings for their own financial future. This means that they will ultimately put their children into the same position as they currently find themselves in,” Mellony said.
“However, the cycle can be broken and the answer lies in good financial management from an early age. Saving for retirement needs to be a priority for South Africa’s young people,” she added.
“Financial advisors are clued up on how to help you get the most out of your money in the short- and long-term. Don’t be afraid to ask questions and explain your situation. By investing just a little from a young age in the right product you can enjoy big returns when it comes to retirement.”
Questions to ask your financial advisor when looking for the investment plan that suits you best:
• What kind of account suits your needs?
• What interest rate are you getting?
• How available is your money if you need it?
• What are the penalties for withdrawing your money early?
“Ultimately, the product you choose needs to add interest to your investment and assist you in setting investment goals for yourself. Don’t accept that there is no way out. You have options and can make smart financial decisions. Let’s work together to bring about a savings culture change in South Africa,” Mellony concluded.
• Source: African Bank
Do you perhaps have more information pertaining to this story? Email us at randfonteinherald@caxton.co.za (please remember to include your contact details in the email) or phone us on 011 693 3671.
For free daily local news on the West Rand, also visit our sister newspaper websites
Remember to visit our Facebook, Twitter and Instagram pages to let your voice be heard!
