Twelve months, twelve resolutions: a year-round approach to better money habits

EVERY January, we make bold resolutions about health, productivity, and finances, yet by February, many of them have already faded into the background noise of daily life.

- ALEX ODENDAAL

The problem with one big financial resolution is that it often feels too large, too vague, and too distant. A more effective approach may be to break your financial goals into twelve smaller resolutions. By focusing on one practical goal each month, you'll build momentum, discipline, and confidence throughout the year.

January: Start with a financial plan: The new year is the perfect time to begin with clarity and intention. Before setting any other goals, have a professional financial plan prepared or reviewed. This plan should outline your current position, quantify your goals, and establish a roadmap for achieving them. A sound plan provides structure and direction, the foundation for all financial success.

February: Maximise your retirement contributions: The tax year ends on the last day of February, making this your final opportunity to top up your retirement annuity or pension contributions and claim the tax deduction. Up to 27.5% of your taxable income can be contributed, capped at R350 000 per year. Every rand invested here reduces your tax liability while building long-term wealth.

March: Conduct a debt audit: March marks the start of the new financial year, and the ideal time to take stock of your liabilities.

List all your debts, their interest rates, and repayment terms, paying special attention to high-interest debt such as credit cards and store accounts. Once done, formulate a clear repayment plan, starting with the most expensive debt first.