Investing is just another way of saying “make my savings work for me”. Good investments will grow your money for you while you sleep. This growth really works overtime, the more time you give your investment, the more money you make with minimal work. That’s the power of compound interest!
You don’t need lots of money to start investing. So, don’t just stick your money in a bank account or stash the cash under your mattress. This is not going to make your money work hard for you. If you start small you can still invest and watch your money grow.
Isn’t it time to pay yourself first?
This means at the start of every month you invest a set amount into your savings account. Everyone budgets to zero so if you leave savings until last, it is highly likely you will have spent the money earlier in the month.
To get started, draw up a simple budget. List what money comes in and what money goes out. Carve out an amount you can comfortably put away each month.
If you are concerned you might forget to put your allocated investment into your savings each month then you can set up a recurring EFT that comes off when you get paid. This way you don’t have to worry about spending your investment money by mistake.
Start up an emergency fund
This is one of the most crucial first steps when it comes to investing. You need to be prepared for unexpected expenses. What if you need new tyres on your car or you have immediate repairs required on your house? You need to be able to access your emergency fund as soon as you need it. This is known as having liquidity available.
Try and save at least 3 months’ salary building up to 6 months, so you do not need to turn to debt when life happens. Our new Meerkat savings plan allows you to access your money whenever you want it and helps you to prioritise your investment goals starting with an emergency fund.
Once you have your emergency fund covered you can start investing. Perhaps you want to save up for a deposit on a new home or want to invest in your child’s education, whatever your goals, just start.
Our new savings plan lets you start saving from as little as R25 a month, you can add to it whenever you want. All you need to do is priotitise your goals, our team of hardworking Meerkats will take care of the rest. Led by our super smart Meerkat – Moku, our team will ensure your money is invested in the right vehicle to achieve your goals.
Investing isn’t just for those who are already wealthy, start small and watch your money grow. Check out our savings plan and start saving today.