No matter the size of your income, with just a little effort, you’ll be surprised at how much savings you can accumulate. Below are some tips on how to cut spending and include savings in your budget.

1. Monitor
Many of us don’t know how much we spend on essentials or luxuries each month. By taking note of where your money goes, you can gain some control and start budgeting.

2. Automate
Treat your savings as you would any other bill, and activate a monthly debit order to transfer funds from your salary to a savings account.

3. Negotiate
Negotiate lower rates for services. The market value of your car depreciates annually and so should your insurance costs. Shop around for a cheaper cell phone package, remove apps that use data without you knowing, and ask your bank for low-cost account options.

4. Quit
Bad habits cost money. Did you know that by quitting smoking, you can save over a thousand rand a month, and may even qualify for lower insurance premiums. The costs also add up for alcohol, sweet treats, and cappuccinos, as do the costs to your health.

5. Petrol-wise
Plan routes and combine tasks to minimise the number of trips. Reduce petrol consumption by removing heavy items from the car, minimising aircon usage, checking wheel alignment regularly, and maintaining lower speeds.

6. Shop smart
Plan meals in advance. List what you need and buy it all in one trip or consider online grocery shopping to avoid temptations. Check specials for items you use regularly, but do not impulse buy because it is on sale.

7. Electricity
Switch your geyser on or off only when hot water is required (or use a timer) and reduce the temperature to 55°C or less. Charge appliances and turn the dishwasher on at night when electricity is cheaper. Switch off plugs when not being used, use energy-efficient bulbs, limit the times you open the fridge, run full loads in the washing machine or dishwasher, and use cold water where possible.

8. Eliminate debt
Halt credit card spending and if possible, pay more than your minimum monthly requirement for your credit cards and home loan to reduce the interest you pay. 

9. Do it yourself
Learn to do minor maintenance tasks to save costs by watching online instructions (e.g., how to unclog a drain or change a tap washer). Disclaimer: certain tasks are best left to the professionals.

Be patient with yourself; it’s not always possible to stick to a budget. Keep your goals visible and phone NMG SmartAssist if you need budgeting or debt counselling and coaching.