Skip to main content


Urgent vs Important | Personal Finance Edition

Source: Surface via Unsplash  We've all been there: feeling like we've done so much, but not really accomplishing much. This is a feeling many of us can resonate with.  Well, I've been reading up on how to improve my productivity and I came across the "Eisenhower Matrix." What is the Eisenhower Matrix? View this post on Instagram
Recent posts

5 Affordable Valentine's Day Ideas | Love Languages Edition

COVID-19 affected the way we live, work, and play. Therefore, we had to celebrate special occasions a bit differently. Valentine's Day is no different. Seeing that this is the case, we are presented with the opportunity to celebrate the holiday using a bit of creativity and ingenuity. A fun and creative way to celebrate the month of love would be to incorporate the 5 Love Languages into doing so. What are the 5 Love Languages? The 5 Love Languages: How to Express Heartfelt Commitment to Your Mate (most commonly referred to as The 5 Love Languages) is a book by Dr. Gary Chapman that looks at how to best express your love and appreciation for your lover based on their love language. The 5 Love Languages  are: Words of Affirmation Gifts Acts of Service Quality Time Physical Touch Let's take a look at 5 Affordable Valentine's Day Ideas based on the 5 Love Languages. Words of Affirmation Words of affirmation involves the use of verbal communication to express how much you care o

Credit Utilization Ratio | The Basics

Source: Avery Evans via Unsplash   Our last blog post  was a brief introduction to debt and focused on the debt-to-income ratio. We used Lebo's financial situation as an illustrative example. In this blog post we'll analyse and interpret his credit-utilisation ratio, but before we do so let's first understand what a credit utilisation ratio (CUR) is. Credit Utilisation Ratio A credit utilisation ratio shows how much (the percentage) of their available credit a debtor has used.  It adds up your debt (balances on credit cards, store cards, etc) and divides it by the total credit limit. Debt is the money you owe . Your total credit limit is the total amount of credit made available to you by your creditors. For example, you have an account with ABC Clothing. The total available credit they've made available to you is R10 000. You buy clothes worth R2 350 on account. Assuming you don't have any other debt or accounts, your total debt is R2 350 and your total credit l

Debt-to-income Ratio | The Basics

Debt is one of those things we hate, but can't seem to live without. We use debt to purchase our cars, homes, fund our studies, and in some cases, pay for food and clothing. These days people are using debt more and more to fund their lifestyles. The dreaded D-word: Debt Depending on who you ask, debt has different meanings and elicits different responses. The Oxford Dictionary of English defines debt as "a sum of money that is owed or due." Debt is incurred when an individual receives something (usually cash) now and promises to pay it back at a later date. Paying back the amount borrowed usually involves paying interest as well. There are several things to consider when looking at debt: • Interest • Payment period • Minimum instalment due • Debt-to-income ratio before and after taking on debt Interest Interest is the expense (or finance charge) for taking on debt. The interest is usually calculated based on the percentage of the loan. The borrower will have to repay the

How to Avoid the Janu-worry Blues

It's been quite an eventful year, to say the least. 2020 brought with it a pandemic that shook the very ground we're on. We have had to plan, adjust, and re-adjust. This year has taught us the importance of financial preparedness. Part of financial preparedness is planning for seasons of drought where one expects money to be tight.  One of these seasons is Janu-worry (January). What is "Janu-worry"? Janu-worry is another word for January. It's a combination of and play on the words, "January" and "worry." January feels like the longest month because payday in January is so far from payday in December of the previous year. Why? Well, in December, South African workers are usually paid earlier (than the usual date) in the month. This December salary can include a bonus or 13th cheque. This, together with the festive season, has consumers spending a lot more because they have more money at their disposal. Consumers tend to spend on gift buying, C

Emergency Funds | The Basics

An emergency fund is money you have set aside in case of emergencies. It covers unexpected expenses and/or emergencies you may face. Why it is important to have an emergency fund It is necessary to have an emergency fund because no one knows what the future holds, but we all know that emergencies can — and often do — occur. Having an emergency fund can help one pay for emergencies and unexpected expenses without having to borrow money. This includes borrowing money from friends, family, the bank, and loan sharks ( eek! ). In some cases, having an emergency fund can prevent one from having to liquidate their investments (e.g. sell their ETFs and shares). In severe cases, having an emergency fund can prevent one from having to withdraw funds from their retirement. Definition of an emergency fund According to Investopedia, an emergency fund is defined as "A readily available source of assets to help people navigate financial dilemmas, such as the loss of a job, a debilitating illnes