How to survive financially in South Africa is the golden question everyone is asking and this is because the South African economy has taken a very interesting turn, and we are all feeling it in our pockets. The current situation requires one to be financially savvy and money-smart.
But it’s not always easy because usually many South Africans not only have an income problem, but they also have a budgeting problem.
We do not know where our money goes, and we do not understand our money leaks.
Some want to save but do not know where to start and that’s where this interesting piece comes in. Try one or two of these tips on a long-term commitment and see how much money you start saving.
These are the best tips on how to survive financially in South Africa.
How can I save on a low income in South Africa?
Listen, these tips seem cruel and extreme but that’s what saving is all about. If you do not make a difference no one will. You will forever be broke with more month at the end of your money.
By the way, money is one of the biggest causes of stress, so to avoid that stress you have to manage it the right way.
So, let’s get started on the top tips on how to survive financially in South Africa
1. Say no to Baby shower contributions.
I know that this one sounds a bit rough and unkind but trust me once you start saying no to these contributions your wallet will thank you.
Ever since 2020, you will have noticed that every month you are getting an invite to a baby shower with a list of possible things to buy for the mommy-to-be. Many invites include account details to allow invitees to make a financial contribution.
Let me help you out, you do not have to buy gifts and make financial contributions if you did not plan for it.
I always say when people plan to have kids they need to let all affected uncles and aunties know so they can prepare for it. But these days every cousin, colleague, friend, and his dog is pregnant.
You do not have a budget for all those baby showers.
Remove the pressure from yourself.
Remember they wanted to have a baby and they planned for it, you didn’t. Focus on your financial goals.
The question of how to survive financially in South Africa requires honesty and dedication. If anyone feels offended you can tell them why you will not be giving them a gift but you are not obliged to do any of that.
2. Wash and wear again – Don’t buy an outfit for every event.
South Africans are known for gatherings like parties, after-tears, weddings, baby showers, and braais. Actually, in South Africa, we look for reasons to gather and have a good time.
Unfortunately, this gathering includes food, drinks, and outfits.
But for some reason or other, we all feel the need to get a new outfit. We buy new clothes for every event we attend, and I must say, clothes are not that cheap.
Don’t do it, avoid that temptation.
You have clothes, wash them, and wear them again. Mix and match clothing items you have worn before, and you will still look gorgeous. If you are buying clothes because of a theme, that may be acceptable.
However, sometimes consider not going to these parties. You do not have to attend every themed event or gathering. Also, consider wearing a simple scarf or hair band with the theme colors instead of buying a whole new outfit.
3. Carpool to work – Or use a taxi / Gautrain.
Yes, take a ride with colleagues or friends who work around the same area as you. You do not have to like the people you want to carpool with you just need to have a common goal.
Carpooling saves you on petrol which is ridiculously expensive in South Africa today.
Take all that money you would have saved buying petrol and put it in a high-yield savings account. You will thank me at the end of the year because what looks like just R200 per month will amount to a minimum of R2400 after 12 months.
Also, consider public transport like taxis and the Gautrain. They do come in cheaper than driving your car every day to work.
This can be tough if you are used to the flexibility and freedom of driving your car but keep your eyes focused on the main goal which is to save money.
I am sure you can be uncomfortable for a while until you reach your savings goals.
For many people who are on this journey of how to survive financially in South Africa, they have realized that a lifestyle change is the key.
4. Sell stuff you no longer use online.
Your house is full of valuable items that you no longer need but someone out there will definitely pay an arm and a leg for.
Clean up your house and sell things you no longer need.
I know the hoarder in you will immediately say that you will need this item sometime. But let me tell you, if someday was not in the last 3-6 months it will not be in the coming 3-6 months.
Get onto platforms like Facebook marketplace or your local Facebook pages and start selling there. Host a garage sale, lay all items on the lawn, and watch people come and buy the items.
You get to clean your house and earn money at the same time, that’s an awesome two-for-one deal.
5. Ditch the brands, nobody really cares.
Most South Africans are married to branded items when it comes to clothes, accessories, food items, and cleaning products.
But I am here to release you from the pressure of name brands.
You do not have to buy them because name brands and store brands are manufactured in the same location. The only difference is the packaging and if I am right you are not buying the packaging but only the content inside.
If you are the type to worry about “abantu bazo thini”, just forget about all that. No one is watching and whoever is watching and has something to say probably has bigger problems than you.
Choose to do what is best for you and your pocket. Until those who have opinions appear on your bank statement in the income section, ignore them all.
How to survive financially in South Africa
Being financially stable in South Africa requires you to be savvy monthly. You have to implement steps monthly to get your money working for you. Here are massive moves on how to survive financially in South Africa:
- Save a portion of your salary for emergencies.
- Do long-term investments so that your money can work for you.
- Do medium-term savings for large purchases that you plan on doing (e.g. house, car, vacation, etc.)
- Learn a new skill and plan on making more money with those skills.
- Plan for your children’s financial future (e.g. their studies)
- Maximize your Tax-Free Savings Account (TFSA).
How can I save money monthly?
Set a zero-based monthly budget.
Give every cent you earn something to do. If you do not tell it where to go it will go to all the wrong places, trust me.
“Idle money is bored money and bored money is gone money” – Unkown.
So never let your money be bored. It will evaporate and no one will ever find it. Be smart, be wise, and take control of your money.
You are in charge therefore you get to decide where the money goes. Leaving it to chance is not a plan, okay?
Money does not manage itself it needs you to do it.
Make small changes to your lifestyle habits.
Saving money is about doing things differently one habit at a time. You do not have to change a large thing just the small things and you will see a massive change at the end of the month.
Some practical examples are:
- Choosing to do home-cooked meals instead of takeaways.
- Avoid buying cool drinks and juices but drink water or tea instead.
- Switch the geyser on for two hours every morning only.
- Watering the garden in the evening or early morning
- Wash your car with a bucket biweekly.
- Intermittent fasting or eating two meals a day instead of three.
- Delete shopping apps on your phone (for those addicted to online shopping)
These are minor things, but they add up to massive savings.
Drive right.
Yes, the way you drive amounts to how much petrol you will be buying and all the wear and tear that your car will experience and the frequency thereof.
Stick to the speed limit and make sure that your car is always serviced annually or when the kilometers reach the specified limit.
If you make the effort to take care of your car then the car will not stress you at all.
Final thoughts on how can South Africans save money?
South Africans are already squeezed for cash, and they cannot go any further. However, there is no end in sight so as a country we need to work together to save us some money. We are not completely powerless there is always something that can be done.
If you do even two or three of these things, you will realize that the question of how to survive financially in South Africa will answer itself. Adopt a frugal and minimalist lifestyle and see how happy your bank balance is.
What other tips do you have? Please share in the comments section and let’s help each other.
