Inflation discounts the value of your money over time.The official inflation rate or CPI is an average rate of price movements based on a set weighted basket of goods and services over time.The average rate points to how your value of you money is discounting over a...
What is the best investment for you? Is there such a thing as best? How do you go about choosing one?Best is only found in the rear view mirror. Therefore best is only known when you’ve passed it and you can look behind. So best cannot be predicted into the future....
The FAIS Act was enacted on the 30th September 2004 and from this date onwards all advice is regulated to protect the consumer and the advisor for that matter. Protection for the consumer Advice must be qualified and appropriate.Full disclosure and transparency must...
Assurance covers you for just in case, providing you with capital to cover the financial loss you may experience as a result of the life changing event.It’s expensive if nothing happens, but is probably the best financial decision that you make should something like a...
In a recent interview with National Treasury, the concern was that most of us are not saving our retirement funds when we change jobs. The discussion pointed to fees and the impact the costs have on returns. Fees were singled out as the reason why people are not...
Generally speaking, when you make a financial decision the outcome is only realised some time in the future.Your advice should not be taken in isolation and as a once off decision. You need to keep in touch with the advice given by reviewing frequently to ensure it is...
A huge windfall of winning a lotto or power ball is a lot more difficult to handle than you might think.Statistics point to over 70% of people who have won large lotteries having spent everything within seven years and some even filing for bankruptcy. How devastating...
It’s a crazy world…..of all the living species on the planet we humans are the only ones who pay to live and pay to die.The topic of death and its financial consequences are probably not considered that often in the family.Yet it is inevitable for all of us and we...
This is probably the toughest week in the year for those living on credit. Why, well the holiday season is now finally over and children are back at school and most of us are back at work. Next week is month end and by now the bills are arriving in the post or in our...
Work off your debt The more interest you pay the less you have to save and the more opportunity you lose to compounding your wealth into the future. Money lenders make money out of debt through interest and time.The longer interest is paid over time the more the...
Debt is so easy to get into and so very difficult to get out of. Prevention is always better than cure but the reality is that we get enticed into debt over time and soon find ourselves in it way too deep. The cost of debt climbs quickly and robs us of the potential...
Useful financial planning sites on the web There is a lot of information on the internet. Here are some sites which I found useful for those wanting to understand aspects of financial planning. Investment Planning www.marriot.co.zaInvestment tools for retirementEasy...
Your net worth is a key measurement in your financial plan. Technically speaking if you were to sell everything you own and pay off everything you owe the amount left over is your worth. It is easy to be lulled into a false sense of worth with assets such as houses...
If you are fortunate enough to be paid a 13th cheque or receive a year end bonus then here are some ideas on how to spend it wisely this festive season: Save First then spend the restSave a portion. For as little as R1000 you can invest in the Top 40 shares listed on...
It all begins with a plan. Financial planning is a process of measuring where you are now relative to where you would like to be somewhere in the future and implementing the necessary steps to get you there. Peace of Mind The main benefit of a successful financial...
Youth are between the proverbial rock and hard place. Without an income how can you begin to save. Wealth creation is based on investing over time taking full advantage of the power of compound interest. Most of our youth can barely make ends meet let alone set aside...
Parents want the best for their children and education is top of the list of priorities with many households. Many parents are turning to private schooling over government schools as the trust and confidence and quality of education is found in the former. The...
At this time of the year most medical aid schemes offer choices of plans to their members for the new year. There are many plans in the ranges of the various medical schemes and this makes choosing the appropriate plan that much more difficult. I chose the word...
On its own advice is just advice and probably not that effective. Let’s consider a retirement annuity, for example. In isolation the product has many features and benefits which provide many reasons to invest. In one. A main advantage is the tax deductibility of the...
The investment horizon is never really certain. However, the current global economic climate is definitely more uncertain than before. Economies throughout the world are battling to create employment and dig themselves out of the debt. Doubt, fear and worry loom. Yet...