5 TIPS TO REACH YOUR #MONEYGOALS

Looking for less stress and more progress when it comes to reaching your #moneygoals? Here are five positive money habits to cultivate on your journey to financial freedom.

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Most people tend to have a love-hate relationship with money: we'd love to have more of it, and we hate the bills and obligations that force us to part with it. But however you might feel about money, one thing is always true: if you want to reach your financial goals, a fair amount of diligence (as far as saving and spending is concerned) is necessary. You might not feel as if you have the willpower to change your ways and build your bank balance, but we've got good news: cultivating and honing positive money habits can help reframe your thinking and shift bad behaviours into great results.

SERIOUS SAVING STUMBLING BLOCKS
In South Africa, the cost of living seems to rise more quickly than our salaries. According to the most recent Investec GIBS Savings Index, the average savings rate in the country is pretty much zero. This is because, for every person stashing cash into investments and retirement plans, someone else is taking out multiple loans to lead a lavish lifestyle.

The World Wide Worx 'More Month Than Money' survey, which was commissioned by TymeBank, also revealed that 57% of South Africans run out of money by the 15th of each month, with 76% hitting zero before it ends. Only 4% of respondents claimed that they're able to set aside money monthly for retirement, education or emergencies. Saving, however, isn't the only problem we face when it comes to achieving financial freedom.

SPENDING SETBACK
Humans are wired to seek out pleasure. Shopping (or just spending money) can trigger the release of dopamine – that 'feel-good' hormone that gives you a 'high' and can become addictive.

Combine that with the social pressures of keeping up with the Joneses and living in a consumer culture, and it can be difficult to fight the temptation to swipe that credit card.

To live a financially stable life, it's important to shift your thinking from short-term pleasure to long-term goal-setting. Start cultivating these healthy money habits now for less financial stress and more progress.

1. MAKE A PLAN
You have to know what you want to reach your destination. And this couldn't be more true when it comes to your financial future. This is why it's crucial to have a plan in place. This will help you to establish clear goals and figure out the actionable steps that are needed to reach them. And this doesn't only apply to long-term goals like paying of your bond; short-term goals, like saving for a holiday, are also easier to achieve if you break them down into actionable steps.

2. CREATE A BUDGET
You don't need to be a Maths boff or invest in tome-like ledger books to create a budget. These days, there are plenty of online tools and spreadsheets - and, of course, countless mobile apps - that allow you to list your fixed monthly earnings and expenses, and assign amounts to categories, such as bills, groceries and entertainment. They'll even do the adding and subtracting for you! This is a great way to get a holistic overview of your finances, and identify areas and ways in which you can save. Having a budget to stick to will also help you to shop more mindfully. Talk about a win-win!
3. AUTOMATE YOUR MONEY
Life is busy and, for many people, the end and beginning of every month can be particularly chaotic. This is also the time when most new or ongoing bills rear their not-so-welcome heads. Instead of doing this manually, find out if you're able to set up a debit order so that any monthly amounts are deducted automatically. This can also be a handy way to ensure you save money without thinking about it: Set up a debit order from your day-to-day account directly into your savings account to shorten and simplify that never-ending hassle.

4. CUT COSTS TO SAVE FOR LATER
Let's be honest: everybody splurges on unnecessary items from time to time. But being mindful of these can save you cash, which can be set aside as savings or used for other important payments. Becoming savvier with your monthly shopping habits is a great way to score when you spend and cut costs. Sign up for loyalty cards that offer discounts, compare prices at different retail outlets and look out for sales to stock up on your monthly must-haves. This can shave money off your grocery bill - and that extra money can go towards fulfilling your financial goals instead. Every bit counts!

5. EDUCATE YOURSELF
Most people don't enjoy chatting about money - in fact, it's seen as rude in most cultures. But this isn't conducive to making good money moves, so start educating yourself on how to attain your financial freedom. This can be done by reading books, visiting websites or listening to podcasts that make the subject matter easier to understand. We recommend reading You're Not Broke, You're Pre-Rich by finance coach

Mapalo Makhu or listening to My Money, My Lifestyle, hosted by local financial guru Maya Fisher-French. Your money is in your (capable) hands!

Words by: Helen Wallace
Illustration: Getty Images