How can I make my money last until payday?

Ever wondered how you can make your money last until payday? Research by First National Bank has found that middle-class South Africans spend up to 80% of their salary within five days of being paid.

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Stats have also shown how many South Africans live beyond their means and depend on credit to make it through the month.

Tips to help you make your money last until payday

If you are one of those who want to ensure your salary lasts you the entire month, then look at making these changes:

Improve your financial literacy

You can get financially educated with online courses. Banks and other financial institutions offer financial literacy courses. These course can teach you about topics such as how to budget, invest and start saving for retirement.

Money Unscripted free personal finance courses

Track you’re spending

To know what you need to change or work on, you have to gain a good idea of where your money goes and what you’re spending it on.

Avoid debt

It can be easy to borrow money in anticipation of your next payday, but that could set you back even further. Avoid debt by living within your means, and whatever you can’t afford in one month, you can set aside for the following payday.

Do you want to consolidate your debts? DebtSafe offers safe and secure Debt Consolidation.

Read: Need a personal loan?

Look out for promotions

When buying necessities, look out for promotions so that you can spend less than you usually do. You can then put aside the cash you’ve saved for rainy days, since that’s money that you would’ve spent if the promotions weren’t running.

Buy in bulk

Buying in bulk can help you save money because you don’t have to frequently fill up on necessities. You’ll save on transport money and the less trips you take to the shops, the less temptation there’ll be to buy unnecessary things. Also, buying in bulk will help you use that money on what it’s meant for from the get-go.

Account for every cent

Avoid impulse buying, or buying things just because they’re on sale, by knowing where your money goes. When your money is accounted for, you’ll be able to stretch it until your next payday because you won’t be spending on unnecessary things. Make sure that your budget is detailed and covers everything, so that you won’t overspend.

Bring Your Lunch to Work

When it comes to buying food during the workday, lunch is usually most people’s largest expense. You can prepare it the night before (making a double portion of your dinner to have leftovers for the next day), or go the meal prep route and make your lunches ahead of time on Sunday so you don’t have to do it throughout the week.

Stick to a Shopping List

Sticking to your shopping list can mean making huge headway on your savings goals in a short amount of time. When you’re heading to the grocery store with a few recipes in mind, but without a list in hand, it can be tempting to grab some extra shampoo or stock up on essentials that are on sale.

Sign Up For a Rewards Card

Shop where you are rewarded. Most retailers offer loyalty cards with good bang for
your buck. Businesses like Shoprite, Checkers, PicknPay, and Clicks offer free rewards programs that allow you to save on your purchases.

Read: Best grocery loyalty cards in South Africa

Bring a Water Bottle With You

If you’re eager to save money, start bringing a water bottle with you everywhere you go.

Keep a Change Jar

Emptying your wallet into a jar at the end of the day and giving yourself a separate, fixed budget for the following one means you’ll be saving without feeling deprived. Tossing just a R5 into that jar every day for a year means you’ll have an extra R1,680 in your savings at the end of 12 months.

Live within your means

Ask yourself, “Do I really need that extra-large screen TV?” If you live within your means, you will never overspend.

Need a quick loan? FASTA offers short-term loans.

Reduce transportation costs

Transportation is another large expense for most families. Many households now own more than one vehicle. The more cars you own, the higher the costs for insurance, repairs, fuel, and parking. Use public transportation, if possible. The slight inconvenience may be offset by your savings in vehicle-related expenses. If you are consider buying car. A good, second hand car will get you where you are going as well as a new one, and will likely cost much less.

Unsubscribe

When it comes to spending online, again, avoid the ads and the sales. We subscribe to email lists for stores all the time because we want to know when they’re running a great sale or when an awesome deal comes around. Here’s the secret though: most retailers run great sales and deals OFTEN.

Eliminate unnecessary expenses from your life

If you do a budget and find that you have expenses equal to your pay, then it is time to cut some things out. Late fees, overdraft fees, and interest payments are all unnecessary expenses that can add up.

Communicate with your creditors

Sometimes a simple phone call can free up money when times are tough. If you are struggling to make all of your payments, give your creditors and call and ask about options. They may be able to extend your payment due date or allow you to skip a payment without imposing late or penalty fees.

Read: How to use Debt Snowball to pay off debt

Sell items around your house

A quick way to get cash when you are running low is to sell items around your house. Facebook Marketplace is a quick and easy way to sell items when you need cash. You can post items for sale on your own profile or post them in local groups.

Freelance

If your income is not meeting your needs, now’s the time to look for ways to make a bit of extra cash. Think outside the box: you may be surprised to realise how many opportunities there are out there for you either to freelance using your existing skills, or to convert one of your hobbies into a money-maker.

Consolidate debt

Consolidate debt. Instead of paying off various creditors, all at their own interest
rate, simplify your debt into one consolidation loan. You can combine up to five loans into a single consolidation payment and get one lower repayment rate.

Read: Debt counselling Vs debt consolidation loan

Do you want to consolidate your debts? DebtSafe offers safe and secure Debt Consolidation.

Plan your meals until payday

Take a look at what food you currently have in the cupboard and freezer. How many meals can you make out of this food? Would buying some cheap staples such as pasta and rice make these ingredients stretch further?

Every month is a tough month, if you can avoid spending more than you have, you won’t spend the rest of the year paying it back. Try to find creative ways to help you stretch your money until the next payday.

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About Author

tshepisosishuba

Tshepiso Sishuba is the founder of Money Unscripted and Management Services graduate from Tshwane University of Technology. He’s obsessed with making management simpler. Money Unscripted is a platform created to educate ordinary South Africans about wealth creation.

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