While most are expressing worries, especially about increasing costs associated to living, following the 2019 National Budget Speech, the reality is that ‘it is what it is’ – and as consumers, we need to work around it.
In many respects, this means better financial planning, managing your spending better and of course savings. This will not only ensure you can survive day-to-day, but that you have a security blanket for the future and where possible – avoid getting caught up in unmanageable debt.
Despite the very valid concerns in the market about performance of the South African economy, two important themes portrayed in the recent Budget Speech were that of reducing debt and managing spend.
The State is looking to ‘clean up’ current debt, despite the budget shortfall and a tough economic outlook for 2019. No changes announced during the Budget to personal income tax and with a subtle push for an unchanged inflation rate for 2019, there could be an opportunity for you to leverage. You could look to use this year to ‘catch a break’ and effectively manage your current debt - or even better, clean it up all together.
We know this is never an easy feat, but here are some tips that may come in handy: