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If you have not yet planned your finances for the festive season, you might want to start now!

In the weekly #BeFinanciallySmart feature with FNB, Azania Mosaka and Eunice Sibiya, Head of FNB's Consumer Education Program, discuss the importance for people to save for important annual events.

You can save money if you plan ahead. It is the planning we are lacking in

— Eunice Sibiya, Head of FNB’s Consumer Education Program

It is nine weeks until Christmas. School holidays are to begin even sooner.

Sibiya says that without adequate planning, people's excitement about the festive season can leave them in financially challenging situations.

We close the year with a very broad smile. We do big things. That excitement comes with danger

— Eunice Sibiya, Head of FNB’s Consumer Education Program

Sibiya says that during December, there is a 20% increase in credit card spending.

There is also a 51% increase in spending on toys, clothing, electronics and jewellery.

Sibiya says that this pattern shows that there is a need for people to plan for the future.

Smart money management skills include planning ahead. If you know what is going to be happening ahead, whether short, medium to long-term, set money aside

— Eunice Sibiya, Head of FNB’s Consumer Education Program

Sibiya suggests the following to help you manage your finances during important annual events:

• Arrange your events months before they happen
• Plan with your family and friends, and share the expenses
• Avoid reckless credit and short-term loans
• Understand the difference between necessity and luxury
• Be open with your family about your affordability

Listen to the full audio below: