“How to enjoy December with R300?”

Right from the heading I’m sure a lot of you are reading this with the same thoughts I had. It really jumps out at you. But is it possible? Let’s see.

In my line of work, dealing with clients investment portfolios and needs at all levels, I am often tasked with being creative (for lack of a better term) in finding solutions for clients individual financial needs. Let’s put the acquiring of funds and securing credit aside, generally I help create savings plans for that wonderful trip to Morocco the clients wife has been talking about for years. And yes, before he takes you to Dubai ladies, he has probably had a conversation with me, he’s trusty wallet planner.  I guess in a nutshell all I really do is help people look at money and spending in a new way.

“That’s all nice and gravy Khaya” I can hear you say, “but how does it allow me to enjoy December on my tight budget papa?!?” Fair enough, let’s look at a few factors:

• January is basically your parent fetching you drunk from a party!

January feels longer than the Israelites wandering the desert! You know that empty fridge and cupboard look. Yeah not cute! 

• Spend spend spend

Though COVID family meetings have given us restrictions on movement and number of people when we are out, we still want to be outside with other children enjoying our money! And December is usually the best time. 

• The vibes

This is the time when expenditures like nails, Christmas gifts, blesser bottles and designer clothes seem the most appealing. Not to mention the lunches, braais, and small trips that come with it. Obviuuus!

All this makes for the easiest and quickest way to see your account sitting on R27 on the 4th of January. Hilarious, because we all know someone-who knows someone- who’s cousin’s brother friend always needs a “smallanyana loan mntase”, but not you right!

Luckily for you, gone are those days, because you’re reading this article that is so well written and with a wealth of knowledge that you will use immediately and change the course of your financial future forever! (I’ve always  been one for bold claims)

PAY CLOSE ATTENTION!

The Secret:  Look at your total money or income like a business would

Instead of looking at that R10 000 as all the money you have to spend, look at your use of money in percentages. What do I mean?! Let’s look at two lovely ladies both named Amanda. One we will call Poor Amanda and the other Rich Amanda. Of course this can be applied to Poor Benny and Rich Benny. Whether you are a student or a senior manager, this applies to you to.

E.g Poor Amanda gets paid R10 000. She goes and gets her nails done, buys the weave, spoils her loved ones and goes out on a few lunches. Whatever is left over(R700 or 7%) she saves. This is basic psychology. Except it becomes hard to track. And it is easy to over spend.

We all generally do this. We see the total amount as the money we can use and after everything then we “try” save what’s left. If at all before next payday. Poor Amanda like many of us always incurs more expenses a month and never really knows how much it all came to. 

On the other hand, Rich Amanda gets paid R10000. Before she spends it, she allocates the R10000 into percentages. 20% savings(R2000), 20% (R2000)groceries for January, 10% (R1000)nails and cosmetics, 40% (R4000)Christmas gifts and vibes, 10%(R1000) Dec/Jan emergencies, before she has even spent anything.

Because Rich Amanda now has an exact amount of how much she can or cannot spend this helps her plan and manage her expectations, while making sure there is money in her savings, groceries are there and she can still get her nails done and have fun with amaGals.

You are your business! A business would pay its expenses first before there is any profit to spend. You must do the same. This way, in the joy of the vibes and with the intoxicating sounds of amapiano pumping in the background, when the card machine moment comes, you are relaxed and certain! Smiling as you tap or enter your pin. No one likes a nervous payer, it makes everyone nervous and kills the vibes.

If you are with me so far, it is proof that most of the readers of the magazine are smart and will apply this to their everyday lives and become millionaires! So whether your amount is R2000 or R200 000, the same principle will apply.

So, can you enjoy December with R300?!?  I don’t know the answer to that question, but what I do know is that with the right budgeting and mindset it will all be completely up to you.