Izimangaliso & Jastine
Based on recommendations by Momentum financial adviser Jastine Musonza, finance director Izimangaliso’s Truworths account has been settled and she is paying the extra R750 a month into her credit card.
“The budgeting exercise helped Izimangaliso to get to grips with where cuts could be made,” says Jastine.
Further cuts have been made to variable expenses such as electricity and vehicle tracking, freeing up R1 000 a month, so financial director Izimangaliso even had a budget surplus.
Unfortunately, an unexpected death in the family has slightly derailed her plan, highlighting the need for emergency savings.
“We had to arrange a funeral and I ended up with a total cost of about R5 000, so this has put a dent in my November expenses,” says Izimangaliso. Tumelo & Mduduzi
Momentum financial adviser Mduduzi Mpusula says that the budgeting exercise helped community pharmacist Tumelo to track most of her expenses and establish spending trends.
“This has resulted in psychological wins, such as paying off and closing her retail store account and cancelling an underused gym contract,” says Mduduzi.
This has improved Tumelo’s monthly cash flow by R700. In addition, there was a 30% drop in cellphone costs from R2 000 in July to R1 400 in October, and Tumelo is committed to shopping wisely for mobile data to reduce these costs further. So, Tumelo has found an extra R1 300 a month in her budget.
“I often look at reducing my major costs, but I’ve come to realise that small changes make a big difference,” says Tumelo.