Guide to financial wellness

LIFE'S TRANSITIONS: WHY YOUR PAY CHEQUE IS YOUR GREATEST ASSET; HOW TO SAFEGUARD IT

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Life happens in stages and in every stage your financial needs will be different. This is why it is important to ensure that your financial plan is in line with your life stages.

Life rarely stands still, says Jessica Beattie, acting chief marketing officer at Bidvest Life.

“As we move from our first pay cheque to retirement, our responsibilities shift and our financial priorities should too,” says Beattie.

“But where do you start? Your financial circumstances will look very different at 25 than at 55, which is why it is important to understand what to focus on at each chapter of our lives.”

Many young South Africans enter the workforce while juggling student debt, car repayments and the costs of living independently for the first time, she points out.

“This is the time to focus on the basics, such as understanding your payslip and tax obligations, finding the right medical cover for your needs, creating a realistic budget, building an emergency fund and insuring the important things first,” says Beattie.

She says it is also essential to understand that your income is your most valuable asset that pays for everything else in your life, from food and housing to health care.

Protecting your ability to earn an income when illness or injury strike should be your number one priority from your first payday.”