How to prevent post-Black Friday money blues

Published on 26th October, 2022 at 04:51 pm

It’s almost Black Friday, one of the biggest sales days of the year – and all those shiny deals are calling your name. While bargain-hunting can help you save money, blowing your budget in one day can make for a money hangover. If you’ve diligently been saving and reaching your financial goals all year, now is not the time to lose focus.

Reading time: 3 minutes

In this article you’ll learn:

• How to prepare for Black Friday the smart way.
• Dos and don’ts to avoid financial stress after Black Friday.

No one wants to get through Black Friday and have regrets. So, how do you stay on track?

Unsubscribe from sales communications

These include emails and SMSs so you don’t get inundated with ‘unmissable’ deals. That way you will be less tempted to hit the shops.

Be smart when shopping with your credit card

“Any savings you make on a product could be lost on the interest you could pay,” says Nicki Blignaut, senior financial planner at 2one2 BlueStar Financial Advisory Services, authorised by Sanlam. If you do shop with your credit card, ensure you settle the balance before you start accruing interest.

The Sanlam Money Saver credit card can help you save while you spend. If you choose to commit to saving with the Sanlam Money Saver credit card and shop at Reward Partners, you’ll get 5% added to your Wealth Bonus, except at TotalEnergies forecourts. If you don’t commit to co-saving, but still use your Sanlam Money Saver credit card at Reward Partners, you’ll get 3% added to your Wealth Bonus, except at TotalEnergies forecourts. If you fill up at TotalEnergies, you earn R1 cash back per litre of fuel, guaranteed! Find out more here.

Budget beforehand – and stick to it

“If you can, draw the exact amount you need in cash and leave your cards at home,” Blignaut says. “That way you literally can’t afford anything you haven’t budgeted for.” Using cash will help prevent overspending.

If you struggle to budget, speaking with a professional can set you up with confidence to manage your finances daily. Book a meeting with a Sanlam financial planner today.

Don’t dip into your savings

If you’ve been focusing on your financial goals the whole year, don’t be tempted to use your savings now to buy new things you don’t need. Not only will you lose all the progress you’ve made – but the compound interest you’ve been earning, too.

Are you on track to your savings goals? Use this calculator.

Remind yourself of your savings goals

Think of the family holiday you’ve been looking forward to all year, and how much more you’ll enjoy it if you’re not in debt. Whether you’re saving for December festivities or next year’s school fees, pull up those savings spreadsheets and see how far you’ve come. You won’t want to blow it all on unnecessary ‘bargains’ when you see how close you are to achieving your goals.

Don’t borrow from friends or family

If it’s not in your budget or you can’t afford it cash, don’t take out a loan from the bank, family or friends or loan sharks. It can derail your savings plan, compromise family relationships just before the holidays, and cost you more in interest than what you’ll save.

A financial planner can help you set realistic savings goals and stick to them. Meet with one today.