Smart ways to spend your bonus this festive season
5 Dec 2017 FINANCE
By Nomali Cele
The end of the year means that most people have different payouts coming their way. Of course, these are not surprising cash injections that come suddenly. If you have a thirteenth cheque or a payout from a stokvel coming your way, the odds are that you’ve already spent the money in your head. But is that budget in your head the most effective way to spend the money?
By the time the bonus, you’ve spent the whole year budgeting and squeezing so the easiest thing to do would be to use the money to “treat yourself.”
Five smart ways to spend your bonus this December
Pay it toward a big debt
The thing that makes big debts feel even bigger is the interest accumulated over the repayment period. If you use the lump sum of your bonus to pay for your big debt it should make a big dent in the debt and will, in the long run, save you the money you would have paid in interest.
Pay your towards your child’s 2018 school fees
Education is expensive and the school fees instalments can add up quickly. If your child’s school fees amount to your stokvel payout or bonus cheque multiplied a few times, why not use this bonus to get ahead with your school fee payments?
Buy Stationery and uniform Now
If you have a number of young people of school-going age in your life, the month of January is probably the one that gives your pocket its biggest knock each year. Why not use your bonus or stokvel payout money to buy stationery for the 2018 school year as well as new uniforms now in December?
Invest in you
There’s no denying that upskilling yourself can give you an edge in your career or in your creativity. If you’ve been thinking of going back to school or learning a new skill, it would be good to use your bonus or stokvel pay out money to pay towards this personal development. That way this “free” money is invested in something that could lead you to make more money in the future.
10% treat, 90% responsible
If you have no pressing debt or expenses, the best thing to do would be to save this small windfall. Be it in a fixed term account or into your pension fund. Need a little incentive to help you save? Spend only 10 percent of the bonus or stokvel pay-out money to treat yourself and save the rest.
How are you spending your stokvel payout or bonus money this festive season? Tweet us your response on @KayaFM95dot9 with #SummerDaze