Money Matters: How to make a million

Author and financial planner Sylvia Walker chats to tells us how to make a million.

It's actually not that difficult. You can accumulate R1 million if you just put your mind to it.

Sylvia walker, author and financial planner

Step 1: Set the goal - what is the reason you want to save that money and knowing how much you want and by when.

Then put your plan in place and don't get distracted. We can look at what the plan should look like, but really as you go put any extra money in, whenever you get a bonus at work...or if you get an increase...put some money in...and most important thing is to stay focused on the goal.

Sylvia walker, author and financial planner

Step 2. Making it work - the return on your investment.

She explains that it depends on how well your investment is going to perform.

The better the investment performs, the less you need to put into that investment.

Sylvia walker, author and financial planner

Anything you invest needs to be invested close to the equity or share market as that delivers good growth.

Equities have delivered really good and solid growth over the long-term. That is the purpose they serve in our investment portfolio.

Sylvia walker, author and financial planner

If your target is to reach R1 million in ten years time, how much would you need to save per month?

At a growth rate of 12% you would need to save R4500 per month, and at a growth rate of 15% about R3000 per month, for the next ten years, in order to reach your million.

Be practical and set a realistic goal you can achieve.

Sylvia walker, author and financial planner

She points out that a million rand today does not have the same value as it did decades ago. Inflation erodes the value of our money.

But she says while your first million may take 10 years to make, the next million will take a lot quicker.

Because money makes money and the power of compounding is immense.

Sylvia walker, author and financial planner

So start saving and investing sooner rather than later, she suggests.

Responding to a call from James in Fish Hoek, Sylvia says many people do not have that R4500 per month to spend on investments because they have so much debt.

So deal with your debt and free up money to make you money.

Take a listen to Sylvia's advice below and get saving:

Read More
Watch out! Identity theft on the rise (and how to avoid it)

Watch out! Identity theft on the rise (and how to avoid it)

Executive director of SA Fraud Prevention Service gives tips on how we can be alert and stay clear of identity theft.

Warder recalls "prison hell" as he retires after four decades at Pollsmoor

Warder recalls "prison hell" as he retires after four decades at Pollsmoor

Chris Malgas speaks about his experiences as a prison warder at the notorious Pollsmoor prison for four decades.

Tips to get rid of those pesky roaches, but don't splat them...it spreads eggs

Tips to get rid of those pesky roaches, but don't splat them...it spreads eggs

Listeners wanted advice on how to tackle the local cockroach problem and expert Salim Haji tells you how.

Publisher of book dubbed a racial coloured sterotype speaks out

Publisher of book dubbed a racial coloured sterotype speaks out

Paula Marais responds to racism levelled at Rainbow Nation Navigation: A Practical Guide to South African cultures.

2015 IEB matrics' hard work pays off with 98.3% pass rate

2015 IEB matrics' hard work pays off with 98.3% pass rate

The results of the 2015 IEB matriculants has remained significantly above average, with a 98.3% pass rate.

2015: A reminder that young people have a voice

2015: A reminder that young people have a voice

Koketso Sachane says 2015 showed how young people will take a stand and drive change when unified on a point of principle.

Popular articles
It's not the end of the road... Top tips to improve your matric

It's not the end of the road... Top tips to improve your matric

"Recognise that it’s not the end, it’s the beginning." Expert advise for school-leavers who want to improve their results.

Pamela Nomvete on her downfalls as actress, and 'climbing back'

Pamela Nomvete on her downfalls as actress, and 'climbing back'

This week Xolani Gwala's speaks to former Generations actor Pamela Nomvete for #WhatInTheWorldHappenedTo feature.

Meet the founder of Capitec Bank, named ‘Best Bank on Earth and Cheapest in SA’

Meet the founder of Capitec Bank, named ‘Best Bank on Earth and Cheapest in SA’

Michiel le Roux speaks about the fascinating story behind the little bank that has the Big 4 shaking in their boots.

Best way to get richer (especially if you’re between ages 20 and 45)

Best way to get richer (especially if you’re between ages 20 and 45)

Still young(ish)? Consider the single best thing you can do to increase your wealth by much more than the inflation rate.

3 easy questions could bag you R2000!

3 easy questions could bag you R2000!

WIN R2000! But only if you can prove you're a whiz of the MTN Biz Quiz by answering the following three questions...

Blesserfinder: Matching you with a sugar daddy near you

Blesserfinder: Matching you with a sugar daddy near you

Is social trend Blesserfinder, where girls are allegedly matching up with rich 'benefactors' in exchange for sex, a real thing?

5 ways the NSFAS funding model will change in 2017

5 ways the NSFAS funding model will change in 2017

The National Student Financial Aid Scheme (NSFAS) will pilot a new funding model in 2017. NSFAS chairperson Sizwe Nxasana explains.