Streaming issues? Report here
Buhle Madulini 702 Gradient Buhle Madulini 702 Gradient
SportsTalk with Buhle Madulini
19:00 - 21:00
volume_up
volume_mute

Up Next: NightTalk with Gushwell Brooks
See full line-up
SportsTalk with Buhle Madulini
19:00 - 21:00
Home
arrow_forward
Lifestyle

30/30/40 - the budget rule that'll help you better allocate your monthly income

12 January 2020 11:54 AM
Tags:
Money
Debt
Income
Paul Roelofse
budgeting
Certified Financial Planner
salary

Certified financial planner Paul Roelofse explains the 30/30/40 rule and offers advice on how to budget better.

It's not about how much you earn, it's about how you use it.

Certified financial planner Paul Roelofse says 30/30/40 is the ideal spending formula to help South African households get their finances in order.

He explains how the 30/30/40 rule works and how to allocate your income wisely after tax.

It's a very simple idea on how one could and should allocate your income.

Paul Roelofse, Certified financial planner
  • 30% allocated to life-changing events and provisions

This includes life insurance, pensions funds and saving for the future. Putting this money away can give you peace of mind, he advises.

  • 30% allocated to car loans, debt, credit cards etc.

Roelofse says debt exposure for any family should not exceed 30% of the household income. Paying this money off can be the hardest part. The expert says this percentage should be a target that all families work towards.

  • 40% allocated to the rest of your living expenses.

This includes groceries, education and other monthly expenses, Roelofse explains.

Listen to the expert financial advice for more:


12 January 2020 11:54 AM
Tags:
Money
Debt
Income
Paul Roelofse
budgeting
Certified Financial Planner
salary

Recommended

More from Lifestyle

d4-mtjfwwaau-bljpg

Mary Twala remembered as ‘prolific actress,’ ‘gift to the arts’

4 July 2020 5:28 PM

The icon passed away at the age of 80 on Saturday.

Share this:
Read More arrow_forward

southafricagif

SA reacts to opening of restaurants as virus cases rise

4 July 2020 4:41 PM

Saturday marked the 100th day of lockdown for South Africa, which has imposed some of the strictest stay-at-home measures in the world since March 27 in a bid to limit the spread of COVID-19.

Share this:
Read More arrow_forward

d4-mtjfwwaau-bljpg

Legendary SA actress Mary Twala dies at 80

4 July 2020 3:12 PM

Details surrounding Twala’s death are still unclear, but news of her passing was revealed by her son, Somizi Mhlongo, on Saturday.

Share this:
Read More arrow_forward

lekau-sehoanajpg

Lekau Sehoana on how creating his own pair of shoes turned into a business

3 July 2020 5:59 PM

The founder of Drip Footwear spoke to Nickolaus Bauer to share his story.

Share this:
Read More arrow_forward

swing-cityjpg

Swing City's Graeme Watkins on the Standard Bank (virtual) Jazz Festival

2 July 2020 11:52 AM

This weekend, South African jazz lovers were blown away by the glorious sounds streaming into living rooms courtesy of Swing City.

Share this:
Read More arrow_forward

Naked Insurance

Car insurance from R180 per month – and you don’t pay if you don’t drive

30 June 2020 8:03 PM

Meet Alex Thomson of Naked Insurance, a high-tech company with vastly lower operating costs than most traditional insurers.

Share this:
Read More arrow_forward

Marmite 123rf 123rfbusiness 123rflifestyle

Axe (aka 'Lynx') deodorant has a new scent - 'Africa and Marmite' (not kidding)

30 June 2020 7:25 PM

"We’ve decided to step it up," says Lynx. "With Lynx Marmite, we’re bringing the world of food into the fragrance category." LOL!

Share this:
Read More arrow_forward

Eon de Vos

What in the world happened to Eon de Vos? And what does he believe about money?

29 June 2020 8:30 PM

Bruce Whitfield interviews Eon de Vos about his attitude to money (hopes and fears, successes and failures, etc.).

Share this:
Read More arrow_forward

i-have-brown-skin-and-curly-hair-coverjpg

Karen Theunissen: Celebrating that we can all look different and be one family

28 June 2020 3:32 PM

Author Karen Theunissen discusses her children's book with Karabo Kgoleng and Refiloe Mpakanyane.

Share this:
Read More arrow_forward

Table Mountain National Park Cape Town SANParks 123rflifestyel 123rf

Mountain muggings: 'You're largely on your own out there, don't retaliate'

28 June 2020 11:49 AM

Advice on dealing with mountain crime from correspondent Jeff Ayliffe and former Table Mountain Watch chair Andre Van Schalkwyk.

Share this:
Read More arrow_forward