Old Mutual: 10 ways to save money in a pandemic: piggy bank

A year ago, COVID-19 was announced as an official pandemic and the world went into lockdown. Life is starting to return to the way we knew it. Schools have reopened, more people have returned to work and social gatherings are permitted in limited numbers. However, the repercussions of the pandemic on our economy and many households’ finances cannot be ignored. Many businesses closed down and breadwinners have lost their jobs or are receiving reduced salaries. As a result, households are placed under a lot of financial pressure and the stress that comes along with it.

One thing the pandemic has taught us is the importance of saving for a rainy day. Here are 10 tips to help you save during these uncertain times:

1. Sell baby and toddler items that you no longer use

There are a few nice second-hand goods websites like Petit Fox for clothing, We Buy Prams for travel systems and car seats, and Pr3loved for just about anything you can imagine. Also check out local Facebook Groups for your area.

2. Need to get fit? Use free apps

Opt to use Hasfit, Blogilates and Fitness Blender for free workouts that are tailored for different fitness levels so you’re guaranteed to find one that works for you, instead of costly gym subscriptions.

3. Tempted to splurge? Implement the 48-hour rule

Wait at least 48 hours before buying something. This time will limit impulse spending and allow you to think about whether you really need that item, or merely want it.

4. Track your expenses with the 22seven app

22seven is a free budgeting and investing app from Old Mutual. It helps you budget, track your spending on all your accounts and invest for your life goals. It is brilliant because you can see all your money in one place. It generates a budget based on your own, actual spending. You’ll see exactly how much you spend on what each month and you can set alerts that will let you know when you are close to reaching your stipulated budget!

5. Buy in Bulk

You really can save by buying in bulk, especially when it comes to items such as detergents and toiletries. Most shops like PnP & Makro, often have bulk-buying options, take the time to browse through the weekly specials which you can now safely do online through platforms like Latest Specials

6. There are lots of simple savings you can make at home

Clothing items like jeans, jerseys and jackets don’t need to be washed every time you wear them; turn off lights when you leave a room; invest in a geyser blanket and start replacing your lightbulbs with energy-efficient ones. You’ll be amazed at how these small changes can make your wallet happy.

7. Get a side hustle

Are you good at cutting hair, sewing, baking or doing manicures? Trade your skills between friends or other moms in your area – this could even be the start of a lucrative side hustle!

8. Review your financial plan

Sitting with a financial adviser at least once a year to review your financial plan may provide you with some unexpected savings while highlighting some gaps in your plan. For example, reviewing your short-term insurance may reveal that you are paying for some items that you no longer use or even own; you may have some cover that you can change to match your current needs in your risk cover. The Personal Cover from Old Mutual, is a product set that is built around your life and whatever your future brings.

9. Involve your family in your budgeting process

It is one thing to budget and then another to have to defend your decisions to your family when you go on a savings journey. By involving all the family members in one way or the other, not only are you sharing knowledge with them, but they too may have some gems to share with you. You can have family savings goals like “Saving for a new puppy” that way kids know that the puppy and its wellbeing costs money – therefore learning to place value on what they get. They can even start learning to save for gifts – no more messy Mother’s/Father’s day brekkie in bed, they can afford through saving to take you out.

10. Make it a rule that every time you get a R10 or R20 note you put it into a savings jar

All those notes will add up quickly. Think of it as the grown-up version of your childhood piggy bank.

These are some simple and easy ways to save and you won’t even break a sweat doing them. For more money saving tips contact a trusted Old Mutual financial adviser by clicking HERE or call 0860 60 60 60.

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