By Suzean Haumann – Brenthurst Wealth
Navigating this new state of play requires careful management of personal finances.
2021 ended with the highest inflation rate in almost five years, a higher interest rate, record-high petrol prices, a new variant of the coronavirus and, of course, regular bouts of load shedding. The after-effects of upheaval since lockdowns were introduced (in response to the outbreak of the Covid-19 pandemic) will linger for months, if not years.
Life is returning to a different kind of normal as people started travelling more this past December, going out to restaurants, returning to offices in January, and many countries lifted travel restrictions. Navigating this new state of play requires careful management of personal finances.
1. Just start saving with a debit order
Financial advisors always recommend to investors to start saving and investing from the moment they start earning an income. This requires discipline and focus. Some managed to do just that, but not everyone. However, it is never too late to start. It can be small, but whatever the amount is, get going. Then automate it. Sign a debit order or set up an automated payment on the same date of every month and, more importantly, set it to increase annually. Review various options like tax-free savings accounts, unit trusts or even a call account when starting out. As the amount saved grows, it can be moved to more aggressive investment options with higher risk, but also higher rewards over the long term.
2. Expect emergencies and be prepared
The true value of having an emergency fund was finally realised over the last two years, and those who did not have such funds started adjusting their spending habits to set up such a fund. Saving for emergencies must be in an investment or savings product that allows for easy withdrawals. Saving up to six months of monthly income is ideal, but savings equalling just two months will make a difference when the unexpected happens.
3. Know your budget
Setting a budget is the foundation of a sound financial plan. By keeping track of expenses, you can identify what you spend money on and where changes can be made. Drinking two cappuccinos per week at your favourite coffee shop (at R34 each for a regular size), adds up to R3 536 per year. As it is a small expense, most of us do not give it a second thought. Subscriptions not fully utilised can also add up. Paying a monthly gym fee but only going once a month is not wise. Subscribing to a magazine and not reading it is throwing valuable money in the water. It requires discipline to avoid instant gratification, but the long-term rewards will be great. In short, the frugal life is the safest road to wealth creation. To make it easy, look for a mobile app (e.g., Money Monitor or Wally) to track your spending habits.
4. Understand diversification and why asset class selection matters
Diversification is crucial for investment success. Markets all go through cycles. For instance, a sector might perform well – as evident in the commodities boom late last year – or a region (e.g., the US) or an industry (technology has been dominant for years). Selecting asset classes – stocks, bonds, cash, property, etc. – is a subset of diversification and combined these two factors drive investment success. This ensures that investment values are protected when one asset class, sector or region is underperforming while others deliver strong returns.
5. Consult a professional advisor
Every investor’s situation is different. Factors that must be considered when devising a plan are your personal circumstances, risk tolerance, investment goals and time horizon (especially important when saving for retirement), not to mention understanding economic factors, making sense of market fluctuations and which asset classes would suit you best. A professional advisor will take the time to understand your specific requirements and create a plan best suited to you.
The impact of the Covid-19 pandemic on household finances and investors around the world created challenges and, in some instances, caused panic. It is especially of value to have a financial advisor to guide you during tough times. Beyond guidance, international research by companies like Vanguard has shown that investors who use a professional advisor achieve better returns over time than investors managing their financial plans themselves.
Megan joined the Brenthurst Wealth team in March 2026 as an Administrative and Fiduciary Services Assistant at our Val de Vie Office in the Western Cape. Prior to joining Brenthurst, Megan gained three years of experience in the retail sector, where she developed management and client service skills.
I obtained my National Diploma in Financial Information Systems from the Cape Peninsula University of Technology in 1999 and have worked in the wealth management industry since January 2000. Over the years, I have gained extensive experience in various roles, including Portfolio Manager Assistant, Planner Assistant, and Paraplanner.
Esmarelda Isaacs-Andreas joined the Brenthurst Wealth Stellenbosch office in October 2025, taking on the dual role of Receptionist and Fiduciary Administrator.
I obtained my National Diploma in Financial Information Systems from the Cape Peninsula University of Technology in 1999 and have worked in the wealth management industry since January 2000. Over the years, I have gained extensive experience in various roles, including Portfolio Manager Assistant, Planner Assistant, and Paraplanner.
Ashley joined Brenthurst Wealth in January 2025 as Office Administrative Assistant and Receptionist for the Stellenbosch Office.
René Heystek joined Brenthurst Wealth in November 2023, as receptionist and administrative assistant in the newly established George/Garden Route office.
Michelle Heystek has built a career in the financial services over the last two decades, after obtaining her B.Com degree in Financial Management in 2005. Once she joined Brenthurst in 2006, she continued her academic journey, obtaining her Certificate in Wealth Management from INSETA in 2007, followed by a Postgraduate Diploma in Financial Planning from the University of the Free State. In 2008, she earned the Certified Financial Planner (CFP®) designation.
Anelle joined Brenthurst Wealth as a Receptionist and Administrative Assistant to Brian Butchart in the Cape Town office in December 2023. She has a wealth of knowledge from working as a liaison between Financial Advisers and clients at TMA and Absa Investment Management Services (Aims) since 1998. She obtained her B. com degree from the University of Port Elizabeth in 1997.
ADMITTED ATTORNEY | FINANCIAL PLANNER & HEAD OF BRENTHURST FOURWAYS
Sanet was appointed in April 2020, joining our Cape Town team as an Executive Administration Assistant to Renee Eagar. She has been in the financial services industry since 1990. Her previous experience includes positions at Sanlam, BJM and ABSA. She spent her last 12 years working at Alexander Forbes Private Client Wealth as a Senior Wealth Management Assistant. She has received numerous accolades over the years which include but not limited to, Alexander Forbes Client Service Excellence – Silver award in 2014,2015 and 2017. Sanet has also obtained her Certificate in Wealth Management (NQF 5) in 2012 and achieved “Best Student of the Year” from Moonstone.
Maria Smit is a Certified Financial Planner® with over 10 years of experience in the financial planning industry.
