A study conducted a few years ago on behalf of the Association for Savings and Investments in South Africa indicated that over 12 million of the country’s workforce were underinsured in terms of life and disability cover. Furthermore, reviews by various insurance companies highlighted that this shortfall fell primarily in the realm of disability cover.

In the event that you are not able to completely (or partly) perform your usual professional duties as a result of a medical condition, impairment, or trauma, then sickness and incapacity benefits are vital in order to ensure your monthly income is covered or supplemented. No insurance company will issue long-term insurance once you have been incapacitated, so it is important to prepare for any unforeseen events in advance and understand the details of your cover. ‘Just in case’ is better than ‘simply too late’.

Your gross professional income will determine the amount for which you can apply, and it is important to acknowledge the value of monthly benefits that will pay out until retirement age, rather than only focusing on lump-sum benefits. If you are employed by a company, you can cover not only loss of income, but also any benefits — such as travel allowance, medical aid and retirement contributions — and even average performance bonuses. If you are self-employed, you can cover the salary that you withdraw from your business, as well as your share in net profits and business expenses.

Depending on your chosen insurance provider, sickness and incapacity benefits may be offered as one product or as three separate products — (1) sickness benefits, (2) temporary incapacity benefits, and (3) permanent incapacity benefits.

A permanent incapacity benefit follows as a natural progression from a sickness benefit. This means that, after you have claimed from your sickness benefit for a certain period of time, if your condition is permanent, your monthly benefit will then be paid from the incapacity cover until the specified retirement age.

When disability claims have been analysed, many insurance companies have found that South Africans tend to only be covered for permanent disability. However, many claims are actually as a result of a temporary disability. For example, unless you are a professional athlete, if you lose or injure a limb, you won’t be regarded as permanently disabled and you will not be able to claim for a permanent disability. Granted, you will need to make significant adjustments to cope with the life-changing circumstances, and you may require a substantial amount of time off work, but you should ultimately be able to return to your job. In an event such as that, you would need to be protected by having sickness and/or temporary incapacity benefits.

Benefits

Benefits can vary depending on your insurer but, generally, listed pregnancy complications are automatically covered (so long as claims criteria are met). A benefit will also be paid in the event of hospitalisation for four or more days due to a pregnancy-related condition​​.

You will also often be entitled to a Family Responsibility Benefit, which allows you to take time off work if one of your family members is hospitalised. This can also provide funds that can be used to cover any non-medical costs that occur as a result of hospitalisation.

When considering sickness and incapacity benefits, you may wish to also add benefits, such as the Child Terminal Illness Benefit and the Child Death Benefit, which enable you to cover costs and support your family during this tragic time.

A Hospital Benefit may also offer extra peace of mind, as this pays an additional amount equal to the sickness benefit if you are hospitalised for four consecutive days or more.

It may be worth considering a Permanent Incapacity Booster as, in the event of permanent incapacitation, this will automatically increase a partial monthly payment to 100% until you reach the selected retirement age.​​​

Whatever benefits you decide to include, it is important to understand the fine print to ensure that you are covered in the face of any disaster — be that temporary or permanent. For example, waiting periods can vary significantly — some insurance companies pay out if you are booked off work for more than seven days, and payment is made retrospectively from the first day; while other insurers have a much longer initial waiting period, and you will not be able to claim your policy if you are booked off work for less than this time. When making your decisions, you may, therefore, need to consider how long you can cope with a loss of income.

Don’t hesitate to arrange a meeting to discuss your options and ensure you are covered in the event of all eventualities.

Read more about this here:

PPS

The World Health Organisation (WHO) was founded on 7th April 1948, and this date is celebrated every year as World Health Day, with the goal of drawing attention to a specific global health concern.

Last year, the focus of the campaign was to mobilise action with regards to depression, and the theme for this year will be “Universal Health Coverage: everyone, everywhere.” The slogan and hashtag behind the 2018 drive is #HealthForAll, and the aim is to encourage and support countries to provide quality Universal Health Coverage for all citizens.

It is vital for leaders to understand the importance of investing significantly in human capital, as access to quality care not only improves people’s health and longevity, but it also prevents outbreaks of epidemics, and creates jobs, which in turn alleviates poverty and drives economic growth.

The World Health Organisation supports the principle that all people should have the right to live their life in good health. According to the organisation’s website, the Director-General said that “no one should have to choose between death and financial hardship. No one should have to choose between buying medicine and buying food.”

As WHO is also celebrating a notable rite of passage this year — its 70th anniversary — it is calling on world leaders to follow through on the pledges they made in 2015 when they agreed to the Sustainable Development Goals. From a South African perspective, it is important that we now commit to taking the concrete steps necessary to protect and ameliorate the health of all citizens.

Turning the spotlight on South Africa

Although South Africa does have a public healthcare system, it would be fair to say that it is severely lacking and is often unable to provide the quality of care, equipment, skill and service that citizens need and deserve. And unfortunately, the country still has issues with deadly outbreaks of diseases such as malaria, HIV, rabies and, most recently, listeriosis. These diseases particularly affect the poor, and highlight systemic failures in providing secure shelter and proper sanitation to many South Africans.

Having some form of private medical cover in South Africa is, therefore, still an arguably unavoidable and expensive necessity if you wish to have access to quality medical treatment if the need arises. According to statistics released by the Council for Medical Schemes (CMS), by the end of 2016, there were 82 medical aid schemes operating in South Africa, with a total subscription of just under 8.9 million members; and Discovery remains the country’s largest medical aid provider, with currently over 2.7 million members.

According to an article published on Business Tech, “over the past decade and half, the average year-on-year increase of medical scheme contributions has been 7.6%”. However, due to the country’s recent political and economic turmoil, many people’s salaries have not increased in line with this each year, and many citizens are feeling the financial strain of keeping up with their contributions.

As a result, some people have started looking for cheaper options, which is known as ‘buying down’, and the popularity of hospital plans is on the increase due to its affordability. However, this could have a significant impact on your health and future well-being, as certain schemes do not cover patients in full. Even if it is stated that hospital procedures will be covered 100%, this may mean that you will only be paid out in full for the tariffs that are specified by your scheme, rather than 100% of the actual treatment costs.

For example, if a specialist charges more than your scheme specifies, which is common, you will have to pay the balance yourself, which can be financially crippling. As a result, many South Africans also opt to pay for Gap Cover to cover any differences in rates, and this is yet another cost that must be budgeted each month.

A brighter future

However, the future is looking bright for South Africa now that Cyril Ramaphosa has been elected president and Jacob Zuma has left the building.

According to an article published by Eyewitness News, Ramaphosa has spoken frankly in the past about the country’s ailing health system and “has urged the Treatment Action Campaign (TAC) to take on government, and challenge officials to do more to improve the healthcare system.”
Now that he is president, it is essential that he doesn’t neglect the issue of National Health Insurance (NHI), which is an important implementation that would improve the lives of millions. The urgency of structural change to resolve the country’s crushing inequality should be at the forefront of our new leader’s objectives and, as citizens, it is up to us to collectively push for the right of everyone to have access to quality healthcare — #HealthForAll.
In the meantime, take the time this global awareness day to ensure that you understand the benefits and potential implications of your medical scheme. Rather than opting to ‘buy down’, research your options and don’t skimp on appropriate coverage if you can afford not to.
Don’t hesitate to arrange a meeting to discuss how you can ensure that you and your family are always fully protected in the event of any unfortunate circumstances – get the best advice and make the right choice..

Human Rights Day is celebrated annually in South Africa on 21st March, and is arguably one of the country’s most important public holidays. The commemoration of this day serves as a reminder to all citizens of the country’s struggle for democracy, and the sacrifices that were made on everyone’s behalf to attain the basic rights of dignity, equality and freedom.

As well as being a remembrance of the suffering that was endured in the days of apartheid, this national day is also a celebration of the rights that everyone living in the RSA now enjoys (and often takes for granted).

One of the most notable celebrations is the Cape Town Festival, which aims to promote tolerance and understanding of diversity through performances, workshops and various artistic endeavours. While other events around the country are designed to draw attention to current human rights concerns, such as racism and police brutality.

A bit of background

Back on 21st March 1960, thousands of unarmed South Africans gathered in a township called Sharpeville to peacefully protest against the atrocious apartheid government and its pass laws, which required indigenous adults to carry a passbook with them everywhere (this allowed the regime to control travel and dictate the duration for which black South Africans could stay in white areas).

However, as the crowd grew in size, tensions increased along with the police presence. 150 armed reinforcements and four armoured personnel carriers arrived, and the police eventually opened fire on the crowd, murdering 69 people and injuring 180 more.

This massacre became a turning point in the struggle for human rights in South Africa, which finally came to a head on 27th April 1994 when Nelson Mandela was elected as president. Shortly after his election, Tata Madiba announced 21st March to be Human Rights Day, in order to pay tribute to the people who fought for the freedom of all South Africans.

Know your rights

The South African Constitution protects the human rights of all its citizens. These rights were previously denied to the overwhelming majority of the population, and Human Rights Day thus serves as an important reminder to us all to reinforce our commitment to the Bill of Rights that is specified in the Constitution.

These hard-earned rights stipulate that everyone is equal before the law and thus has the right to equal protection and benefit of the law. The bill also includes the right for inherent human dignity to be respected and protected; the right to freedom of movement and residence anywhere in the country; the right to participate in the cultural life of choice; and the right to peaceful protest.

Financial rights?

Likewise, being financially secure and having access to a certain standard of living is also an important goal that all South Africans should strive for. Knowing how to make your money work for you can greatly relieve stress, as well as improve the quality of your life and afford you the freedom of choice.

Protections and benefits come in different forms, and there are ways to make the most of your earnings so that you can live comfortably and look after your family — even after you’ve gone. The key is to be aware of your entitlements, so that you can maximise your benefits and ensure you are protected in the event of any unforeseen circumstances.

The battle against the oppression of apartheid may have been won, but we still need to fight for the right to financial security. Don’t hesitate to arrange a meeting if you wish to discuss any legislative rights that could help to improve your financial situation.

Being unable to temporarily – or permanently – work as a result of a serious illness or injury can put a serious strain on your financial well-being. In this day and age, an income protection policy can, therefore, prove vital, as it ensures that you will receive tax-free monthly payments if you ever cannot work. Basically, income protection (sometimes called ICB – Income Continuation Benefit) is designed to replace lost income, so that you can maintain the same lifestyle that you enjoyed whilst working.

Whether you’re self-employed or formally employed, protecting your earnings should be considered a critical component of your financial planning portfolio. An income protection policy will help you to remain financially secure, no matter what unforeseeable life event occurs.

It essentially offers the peace of mind that you will always be able to meet your financial obligations and take care of your family, especially given as many employee-sponsored schemes will not provide sufficient cover.

What are the benefits?

Income protection benefits can replace income, service debt and monthly obligations (thereby indirectly protecting your credit rating), provide cover until retirement, and protect you in the event of permanent and temporary disability. As opposed to the traditionally-preferred lump sum disability benefit, income protection benefits are notably easier to claim, involve shorter waiting periods, and allow you to make multiple claims.

As income can be inflation-proofed, one of the benefits of income protection is that it will allow you to maintain your standard of living, rather than need to adjust it to fit a lump sum.

What’s best for you?

Although income protection is often argued as a more desirable option than lump sum disability cover, ultimately these policies are designed to meet different requirements. It is advisable to never rely solely on a lump sum disability benefit to cover an income need, but we may feel that a suitable scenario for you is a combined approach. This should always be discussed, in person, in a proper planning meeting where your full lifestyle financial plan can add valuable context to this decision.

It is also worth noting that any changes in tax legislation may require adjustments, so be sure that you stay informed and understand any implementations that could affect your payments and benefits.

Income benefits have come a long way since the days when only 75% of a client’s income would be covered if they couldn’t work. Recent additional product benefits can include holistic protection against several eventualities that could threaten your earnings, such as family responsibilities and retrenchment.

It is important that your income protection meets your specific needs at a premium that you can afford (while also not placing you at risk of being under-insured), so don’t hesitate to arrange a meeting to discuss your options and ensure you understand the claims criteria. Remember, nothing on our website constitutes actual financial advice, but is aimed to bring context and supporting information to the fore.

Arguably, one of the best things about spring in South Africa — apart from the pleasant weather and the abundance of Easter eggs — is the public holidays!

Many people in South Africa work very hard. Legislation regarding the Basic Conditions of Employment dictate that employees are entitled to 21 consecutive days of annual paid leave, which equates to only 15 working days per year if you work a five-day week, and 18 working days per year if you work a six-day week.

Unfortunately, this isn’t very much compared to many other countries. You may be interested to know that most employees who work a five-day week in England are entitled to at least 28 days of paid annual leave per year, which is equivalent to 5.6 weeks of holiday. However, there’s no use crying over our lot, and there’s not always much we can do about South African legislation. We simply need to make the most of our entitlements, and we can start by being savvy when it comes to how and when we take our leave.

17 DAYS FOR 8
The good news is that there are more public holidays in South Africa than many other countries. And the steady flow of national days in March, April and May make for the perfect excuse to unplug and step away from the daily grind. Already a quarter of the way through the year, you’re in luck if you feel in need of a long break because you can start getting ready for a 17-day holiday that will only use up about half of the basic annual leave.

With a bit of forward thinking, you can really make the most of the sunshine and public holidays at the start of spring. Combined with weekends, Human Rights Day on Wednesday, 21st March, Good Friday on Friday, 30th March and Family Day on Monday, 2nd April mean that if you leave on the evening of Friday, 16th March and return on the evening of Monday, 2nd April, you can turn on your Out-of-Office for 17 glorious days, whilst only needing to apply for eight days of leave. You can start back fresh at work on the morning of Tuesday, 3rd April, with a contented grin on your face, knowing you’ve managed your time and entitlements well.

10 DAYS FOR 4
Don’t despair if you have children and need to fit in with school holidays, as you can still get a good run by going away on the evening of Thursday, 29th March and returning to work on Monday, 9th April. This will make use of Good Friday and Family Day, giving you a 10-day holiday, while only needing to take four days off from work.

5 DAYS FOR 1
And if that weren’t enough, you can also make the most of a lovely long weekend at the end of April — perhaps this could be spent as a romantic couple’s break that would give you and your loved one the chance to spend some quality time together. This year, Friday, 27th April is Freedom Day and Tuesday, 1st May is Worker’s Day, so if you take the initiative to book Monday, 30th April off work, you can kick back and enjoy a five-day break, while only needing to use one day of annual leave.

If you use the time wisely, you stand to get 22 days off work in March and April for just 9 days of annual leave! Once you’ve had the nod of approval, all that remains is to decide where you want to go – or if you even want to go anywhere. Although it is possible to find some great last-minute deals, you could stand to save money and precious holiday time if you make a few preparations and bookings beforehand. So pack your slops and start planning!

(Article ideas from all4women.co.za and iol.co.za)

1st November 2017 marks National Stress Awareness Day in the UK, and the South African government even declared the whole month of October to be Mental Health Awareness Month, “with the objective of not only educating the public about mental health but also to reduce the stigma and discrimination that people with mental illness are often subjected to.”

Even though there may not be a public holiday to mark the event in South Africa, stress is clearly an issue that needs to be addressed in the country throughout the year, as a study by Bloomberg revealed in 2013 that South Africa was the second most-stressed country in the world, following Nigeria.

This could be contributed partly to the results of a global study by Ipsos and Reuters that revealed that more than half of South Africans do not take their annual leave, which is only equal to 15 working days in the first place. Comparatively, in Europe, the average worker takes five weeks of holiday a year.

With all this in mind, here are five tips to help you to manage workplace stress and focus on prioritising stress management in your life.

1. Watch out for signs
If you start to develop any symptoms that may cause you to become less productive at work, such as anxiety and depression, loss of interest, insomnia, fatigue, speak to someone or try to address the possible causes. Ask yourself what the potential correlation could be between your stress symptoms and tasks you do on a daily basis. It could be worth trying to keep a diary for a few weeks to spot trends and pinpoint issues.

Some factors may be beyond your control, but if there is a problem that could and should be corrected, then it’s up to you to determine if and how you can make a change. If the cause of your stress is something that violates your basic rights then it should be raised with the appropriate higher authority. This could be anything from bullying, to an unhealthy work environment or offensive colleague habits.

2. Take care of yourself
It’s important to take care of your physical and emotional health to build up your internal resilience against stress. Regular exercise and eating healthily can help significantly. Try to consume less oil and sugar, and eat more fruit and vegetables. Drink lots of water, and be sure to get enough sleep every night. You can enhance these aspects of your wellbeing by taking meditation breaks at work, walking during lunch, or standing at your desk for periods of time instead of sitting.

Work out a way to always take a time-out each day. Time away from your desk for lunch and regular breathers should help to alleviate stress, and planning holidays at evenly spaced intervals throughout the year can also make a big difference. It’s important to make an effort each day to disconnect from the stresses of your job, so try to set yourself boundaries by not taking work home with you, or working too much overtime, or postponing holidays.

Often we don’t prioritise managing our stress as it’s easy to justify that there’s something more urgent to do. However, the less we manage our stress, the more inefficient we can become. As a result, it’s important to set aside time to do things for our greater good, such as exercising, reading, meditation, or connecting with friends and family.
Try to be firm in your resolve and stick to prioritising your needs, even when other pressing matters arise. Cognitive restructuring and mindfulness are two techniques that can help you to do this. Cognitive restructuring is a way in which to recognise and change any irrational thinking patterns, such as negative self-talk. Mindfulness teaches you how to live in the present moment and be liberated from any future-oriented thinking or angst from any events that happened in the past.

3. Be organised
Managing your time well can help to reduce stress. It could be worth investing in an online project management platform or a time management app on your smartphone. Or just do simple things like make a list, set realistic time scales, prioritise your workload, and even delegate tasks. Focus on achieving a balanced schedule that does not put unnecessary pressure on you — work smart, not hard so that you can leave work on time and give yourself breaks during the day.

4. Work on your Emotional Intelligence (EQ)
How you deal with external stimuli can impact your daily stress levels and self-control. Learn to communicate with your colleagues in a way that reduces tension and encourages everyone to solve problems proactively as a team.

Notice when you or other people are stressed, and try to give and receive feedback compassionately. Make use of your support network and learn to talk about your feelings with family, friends, health professionals, or even your manager or supervisor. Simply talking about difficult situations and your feelings can help to relieve stress and help those around you to be aware of any triggers you may have.

5. Take a Stress Quotient™ assessment to measure your stress
TTI Success Insights South Africa aims to help organisations to diagnose stress and uncover the causes. A Stress Quotient assessment can show you how to explore seven common causes of stress in the workplace, and to make a plan to address problem areas and lower stress levels.
If your financial situation or future goals are stressing you out, then don’t hesitate to arrange a meeting to address any issues that are causing your anxiety. Don’t suffer on your own in silence when solutions can sometimes easily be found.

A smartphone may be considered to be a pricey accessory, but it could actually save you money in the long run. According to this article published on Essentials, having a smartphone could be just the device you need to help you manage your financial situation and save you Rands overall.

1. Comparison-shopping app
Nowadays, most prices and product information are available online, so it doesn’t take much more than a few clicks of the mouse to do a bit of research and comparison-shopping. However, things start to get a bit trickier when you’re actually in the shop and not sure whether an item is fairly priced or available elsewhere.

Luckily, Price Check — South Africa’s leading price comparison app — gives you a retail shopping search engine in the palm of your hand. Thanks to this app, you can research a range of consumer goods, and even flights, using keywords or bar code numbers, and the app surveys a long list of retailers to find the best price available.

2. Budgeting app
When times get tough, you may need to put yourself on a good old-fashioned budget. However, this doesn’t have to be a painful experience. Your smartphone can make budgeting simple with an expense-tracking app, such as Pennies, Spending Tracker, Personal Finance or Saver. It may seem contradictory to spend money on an app to help you to save money, but it really can help you to streamline your expenses and review your financial situation clearly.

Each app offers something slightly different so you’ll have to decide which one suits your own habits and needs best. However, the general idea is that these apps give you the chance to enter your monthly spending allowance, then enter the amount of every purchase and assign it to an expense category. As the month goes on, you will see how much you have left to spend, and statistics will show you your daily spending average and top expenses. After a month of tracking your transactions, you should have an informative idea of your spending habits, which will allow you to work out where you can cut back.

3. Social entertainment app
The Entertainer is an app that initially requires an upfront annual fee of ZAR395+, but if you like to dine and drink out, go on holiday, or enjoy a healthy fitness and beauty regime, it can end up saving you money over the course of the calendar year that is valid.
This app gives you access to almost 2,000 buy-one-get-one-free offers, from restaurants, spas, hotels, activities and even some retail stores. There is currently an app for each of the following areas in South Africa — Cape Town, Johannesburg and Pretoria, or Durban — and the price of the app varies for each place. So if you live or go out frequently in one of these cities, then it’s worth buying the area-specific app to start enjoying savings while being social.

4. Energy-saving app
There are even smartphone apps that can help you to control the energy consumption and costs of your home or business. By downloading an energy-saving app, your commitment will not only be to the environment, but also to your bank account, as a good way to start cutting energy costs is to keep tabs on how much energy you consume in the first place.

Watching your electricity meter rise and seeing how much money you burn every month is a great motivation for making small changes, such as unplugging appliances and turning off lights when not needed. So, get a grip on your monthly energy costs by using an app, such as Meter Readings or Wiser, on which you can record your meter readings and get estimates on your monthly energy consumption. Turn energy efficiency into an enjoyable challenge with an app that gives you energy-saving tips and notes your achievements, then save cash while saving the planet.

5. Fuel-tracking app
Many people’s budgets are feeling the pinch of the high price of petrol and diesel nowadays. So it can be very useful to track on a Fuel Log app how much you’re spending and how far your money is taking you. Every time you fill up at the petrol station, use the app to record your current odometer reading, litres and total price. As time goes on, you’ll be able to track your fuel consumption and find out whether you’re being as cost-efficient as possible.

6. Loyalty card app
Keeping organised is key to managing your household budget, and while loyalty cards can be a great way to save money, it can be annoying to keep a wad of them in your wallet. Luckily, apps like Stocard for Android phones and Wallet for iPhones have been designed to help you to digitally store your loyalty cards and say goodbye to all those loose bits of card and plastic that are causing clutter. These apps are not to be sniffed at as loyalty cards can allow you to save a sizeable amount when you tally up all your cashbacks and freebies.

As with all aspects of financial health, a smartphone is just one way to help you to save money. It can help you to be organised, maximise discounts and offers, and to avoid making foolish expenditures. However, it’s all part of a balanced financial diet, and if you wish to review your financial situation and discuss other ways to save money for your present and future, then don’t hesitate to arrange a meeting.

According to a 2016 Fin24 interview, Nicola D’Elia, the managing director for Airbnb Africa and Middle East, noted that Airbnb hosts in South Africa earn on average ZARR28,000 a month by letting their property on a short-term basis through this popular rental website. Furthermore, Nested released an encouraging report that found that South Africans could recuperate their house value quicker through Airbnb than via traditional rental options.

With such prospective returns, it’s clear that Airbnb can potentially offer an exciting income stream. However, an interesting article on Maya on Money analyses whether it’s worth the investment.

The article highlights that it is important for South Africans to not just see Airbnb as a get-rich-quick scheme, but to do careful research before buying a property if it’s intended to be used specifically for this purpose. It’s important to be aware that the average income in South Africa will be skewed by properties in popular locations. If you wish to achieve a near full-occupancy, you should look to invest in a place that is well situated near the heart of busy tourist hubs, and is also close to landmarks of note. The same property in a less central location might only be able to get bookings over the peak periods.

Depending on where you buy the property and the state it is in, as well as your own financial capacities, it’s also important to understand that there is a lot of extra work involved in running an Airbnb property compared with having a long-term tenant. As a result, the co-founder of Property Fox, Ashley James, advises setting “a goal of securing at least 60% more income from an Airbnb property than you would from a long-term tenant. Anything less than this, and you should consider very carefully whether it is worth it.”

If you are considering investing in a property to let on Airbnb, then it’s advisable to study its feasibility before you make any commitments. Start by researching what’s already available online. Websites like AirDNA provide area-specific Airbnb information, with details on the number of rentals in the vicinity, occupancy rates, the average price per listing type, and price shifts according to seasonality.

Spend some time on the Airbnb website learning about the area in which you wish to buy. While researching, act as though you are a potential renter and select the ‘check availability’ option to look at calendars over an extended time period. This will give you an idea of occupancy levels and any seasonal dips to expect. Also have a look at the map alongside the listings to see where there are clusters of rentals, so you know which places are popular or where there is too much competition.

If you do decide to invest in a property to let on Airbnb, there are ways to maximise your returns, such as adjusting your rates to suit low and peak periods, and uploading a short video to show off any attractions in your area. Find a few places that are similar to your prospective property and chart what each place offers in terms of amenities and prices. You can then determine what price will undercut your competition and what extras will set you apart.

Take into consideration that you will also need to budget for a regular cleaning service and welcome gifts for guests. Nice decor, modern amenities, secure parking, unlimited WiFi and special little touches will all help you to get referrals and great reviews.

Before making any decisions, pay close attention to all the expenses and legalities involved. Your accommodation needs to comply with zoning restrictions, and you may need to apply for permission from the city if you wish to buy an entire property for short-term lets. If your property is in a sectional title block or development, it is also important to check whether Airbnb and short-terms lets are actually allowed.

Airbnb does provide host protection insurance, but it’s advisable to understand what this entails and to be prepared to pay for extra coverage if necessary. In terms of tax, you will also need to declare your new revenue and understand any tax implications this investment may have. Deciding to buy an investment property is an exciting and potentially financially rewarding step, but there are lots of elements to consider before making any choices. If you wish to discuss any issues before committing, don’t hesitate to arrange a meeting.

Many South Africans are unfortunately ill-prepared for retirement, and it’s an unsettling prospect that so many citizens of this developing nation may not be able to support themselves in their golden years.

However, the beauty of compound interest means that if you start saving from an early age, investing in your future doesn’t have to be the heavy financial burden that many people fear (and thus postpone). The power of compound interest actually makes saving from an early age much cheaper and less stressful than if you were to put off saving until you’re older.

Albert Einstein referred to compound interest as “the greatest mathematical discovery of all time”, and he declared it to be “the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it”.

In a recent article published by CNBC Africa, the power of compound interest is explained with the following example.

“Based on a growth rate of 10% per annum, if one saves R1,000 a month, the capital amount after 20 years would be R759,300. If one saves R1,000 per month for 40 years, the value would be R6.3 million… The total contributions for the client who saved for 20 years was R240,000 and the contributions of the client who saved for 40 years was R480,000, yet the difference in their values at retirement was a massive R5.5 million.”

This is because compound interest is the interest calculated on the initial principal, compounded with accumulated interest. It is essentially the result of reinvesting interest so that interest is then earned on the principal sum and previously-accumulated interest combined. To put it simply, it can be thought of as ‘interest on interest on interest,’ and it will make a sum grow at a faster rate than simple interest, which is is calculated only on the principal amount.

The company that you work for may make monthly contributions to your retirement either in addition to your wage or through salary sacrifice. According to the article, if “you begin with your company retirement fund at age 25, then 19% of your salary should be sufficient should you continue with this for the next 40 years and not cash-in your funds on resignation or retrenchment, but rather preserve them. Should you start working later, then you would need to invest a higher percentage of your salary to compensate for your lack of compound growth in previous years.”

Time is of the essence when it comes to taking advantage of the effects of compound interest to build a healthy savings pot that will provide for you in your autumn years, as well as potentially allow you to support your children with their financial goals. The bottom line is that the longer you wait to start saving, the more money you will need to save to achieve the same financial goal. And this is particularly the case when it comes to retirement savings, as this could benefit from a 40-year saving term.

The power of compound interest lies not in saving vast amounts, but instead when you start saving. Don’t underestimate its power, and don’t hesitate to arrange a meeting to find out how much you need to save per month to reach your retirement goals. Calculations will be based specifically on your current age, desired retirement age, and future requirements, so don’t delay in making compound interest work for you.

Please note that all figures in this post are average examples and don’t represent an actual financial plan. Each plan is unique and needs to be tailored inside of a host of influencing factors.

It may not be a nice topic that we wish to think about or discuss very often, particularly as it can be a sensitive subject if you know someone who has suffered from breast cancer or a scare. However, the disease’s prolific nature is exactly why we need to talk about it — and why a whole month is dedicated to increasing awareness about this malicious malady that so many women are bravely fighting on a daily basis.

As many as one in eight women experience breast cancer in the United States — every two minutes a woman is diagnosed and it is the second leading cause of death among women. According to the World Health Organisation, breast cancer is the most common cancer among women worldwide, and it affects those in countries at all levels of modernisation.

Although it cannot be prevented yet, it can be detected early in order to give women the best chance to lead a full life. October is Breast Cancer Awareness Month and, as part of this annual campaign, here are just a few of the ways you can help to give the women around you the life-saving information and compassionate support that they need.

1. Host a fundraiser
2. Share educational content on social media to spread awareness
3. Download the free breast health guide by the National Breast Cancer Foundation — What Every Woman Needs To Know
4. Make a once-off or regular donation to the National Breast Cancer Foundation or to a local cancer organisation. By donating to the National Breast Cancer Foundation, you will be helping to distribute copies of the aforementioned eBook to women, so as to give them the opportunity to be proactive about their health. Your donation(s) will also contribute towards helping women who have been diagnosed with breast cancer to overcome the fears and misinformation surrounding the disease through the foundation’s Beyond The Shock and Patient Navigator Program initiatives, and it will make sure that every woman who needs a mammogram receives one through the National Mammography Program.

Early detection, education and support are three key ways that we can curtail the effects of this pernicious affliction. Fortunately, death rates from breast cancer have been declining since the end of the 20th century, which is partly thanks to better screening and early detection, continually improving options for treatment, and increased awareness.

If you are a woman reading this, be aware of the need for regular check-ups and ensure you have appropriate medical cover in the event of any such misfortunes. And if you are a man reading this, with women in your life whom you care about, encourage them to do the same. Also don’t be too complacent yourself because everyone is born with some breast cells and tissue that have the possibility to develop into cancer. Breast cancer in men is usually detected as a hard lump underneath the nipple and areola, and although diagnosis is rare, there is a higher mortality rate for men than women because awareness among men is less, which results in greater delays in seeking treatment.

In South Africa, it is important to be correctly insured to ensure that you have access to the services of detection and treatment that you deserve. Take the time this month to read carefully through any current health insurance policy that you may have, to update it if need be, and to organise one if you have been meaning to. Don’t hesitate to arrange a meeting if you would like to make this a financial priority and discuss any elements of your financial health at the same time.