How do I budget?

If your money archetype is the Social Bonder, budgeting might not be top of mind for you. That’s not because you don’t care about your finances. You just feel there’s more to life than money - and that’s okay. Hear us out though: a proper budget can change your life.

Luckily, we have a Money Secret up our sleeve. We’ve put together a step-by-step guide on budgeting.

Step 1: Track your expenses.To draw up an action plan of how you intend to budget, you first need to figure out what you’re spending your hard-earned money on. Don’t exclude anything. Even small expenses like a clothing item on sale or a vetkoek on the way to work should be taken into account.

Step 2: Make a priority list.Once you have an accurate list of expenses, divide the list into must-haves and nice-to-haves. Your bond or rent is an essential expense. Drinks and eating out are not.

Step 3: Take action.
Now that you’ve prioritised, take action. If you’re not using that gym membership, cancel it. And do you really need the full satellite TV package? Downgrade.

For a detailed look at how to budget click here.

Also try the Nedbank My Financial Life tool here.

This information is intended for general information purposes only and does not constitute legal advice.

Shape up your money

Being a Social Bonder, money is not the alpha and omega to you. While it’s good not to be obsessed with money, shaping up your finances in the current economic climate should be a priority - regardless of your money archetype.

A big part of what affects your financial health is inflation. If you don’t manage your savings and investments to show growth despite inflation, your money loses buying power over time.

We’ve put together a few Money Secrets to help you get financially fit:

• Get serious about growing your savings and investments.
• Set goals, be realistic, and track your progress to avoid losing sight of your end goals.
• Get professional help and insight from a financial planner.
• Equip yourself with the right tools and knowledge to grow your money.
• Stick to your game plan and don’t act impulsively.

Also take a look at Nedbank’s investment plans here.

This information is intended for general information purposes only and does not constitute legal advice.

The ‘why’ behind our spending

The human relationship with money is a complex one and can’t be attributed to only one cause or factor. As a Social Bonder, you’re in danger of being a bit too relaxed about your finances. As a popular and generous person, you occasionally prioritise other’s financial wellbeing over your own. Have you ever asked yourself what the reasons behind your spending habits are?

Many Money Secrets stem from this relationship with money - be it unemployment, materialism, tax, lack of knowledge, corruption or even irresponsible gambling.

In 2014 the Heartlines Centre for Values Promotion launched a campaign in association with Nedbank. This campaign has a strong focus on values and money, and explores honesty in earning, responsibility in spending, wisdom in borrowing, self-control in saving, and generosity in giving.

See more about the campaign here.

This information is intended for general information purposes only and does not constitute legal advice.