July Is National Savings Month Build Your Financial Resilience

July is designated as 'Savings Month' by the Savings Institute of South Africa, a campaign meant to encourage positive financial behaviour and to encourage South Africans to save. This call is timely as more than 80% of middle-income South Africans have little or no emergency savings, with 27% having no accessible savings at all and over half holding less than a week's take-home pay in reserved. At the same time, rising living costs, high inflation and stubborn unemployment are squeezing household budgets.

CFI Financial South Africa, led by CEO Zihaad Israfil, highlights how small changes – from tracking spending to using free learning tools – can help every South African improve their financial future.

"In an economic climate where rising costs affect millions, financial empowerment is no longer a nice-to-have – it's essential," says Israfil. Too often, people believe that investing or even saving intelligently is only for the wealthy or financially educated. Israfil argues the opposite: "Financial success is built through education, consistency, and the courage to take the first step."

Anyone can improve their situation by shifting focus from fear to small, steady progress. In practical terms, he advises South Africans to start by mastering the basics: set up a budget and know where every rand goes each month. Using a simple app or spreadsheet to track expenses can reveal unnecessary costs that can be trimmed. Cutting even small expenses can create breathing room to begin saving.

With a budget in place, Israfil says the following targets should be debt and savings. "High-interest debt quietly eats away at financial progress," he cautions. Paying more than the minimum on loans or credit cards can drastically reduce interest over time, freeing up cash flow.

Concurrently, every household should build an emergency fund. Even a modest cushion can prevent a small crisis from becoming a financial disaster. Consistency is key. "R500 invested every month may not seem like much, but it adds up over time with compound growth," notes Israfil. He recommends automating transfers to savings or investment accounts: have a fixed amount move into savings as soon as your pay hits the bank. This removes the temptation to spend first and helps savings grow by paying yourself first each month.

With those financial foundations secure, South Africans can begin to think about growth. Israfil stresses that investing isn't gambling or a quick-rich scheme. Today's technology makes it easier than ever to start small. There are entry points for virtually every income level, from tax-free savings accounts to low-cost ETFs (Exchange Traded Funds) and retirement annuities. He says the goal is not to chase market timing but to be consistent: even tiny amounts invested regularly can compound into a substantial nest egg over the years. And importantly, everyone can learn – no advanced degree is needed.  "The more you understand, the more confident you become."

Free financial courses, community workshops, and online resources abound. CFI itself offers a web-based learning platform (CFI Academy) with bite-sized courses for beginners through advanced users, as well as regular webinars and market updates. These tools are often available in multiple languages and mobile formats to reach South Africa's diverse population.

To make progress this Savings Month, Israfil recommends the following practical steps:

• Track your spending: Use a budgeting app or a simple spreadsheet to record every expense. This habit highlights areas where you might be overspending and frees up funds to reallocate to savings or debt.
• Save consistently: Start by setting aside a fixed amount each month. Automate it if possible – for example, schedule a transfer to a high interest savings account right after payday—amounts compound, building a financial cushion over time.
• Manage debt proactively: If you have existing loans or credit balances, make paying them off a priority. Even paying slightly more than the minimum each month reduces the repayment period and saves you significant amounts in interest over time.  
• Use a demo trading account: For those curious about investing, open a free demo trading account (as CFI offers) to practice in real market conditions without risking money. A demo account allows you to explore trading strategies and investment opportunities without risking real money, helping you build confidence and market understanding.
• Join free financial webinars and workshops: Leverage educational sessions offered by banks, brokers, or community groups. Israfil notes, "tools like demo accounts, free webinars, and real-time market explainers can help remove the fear factor from financial learning." CFI hosts periodic no-cost webinars and publishes market updates to equip anyone with core concepts in clear, jargon-free language.

Israfil emphasises that these steps are accessible to everyone, regardless of background. "You don't need to be wealthy to take control of your financial life," he says. "What you need is willingness, knowledge, and consistency".

CFI South Africa positions itself not as a broker, but as a trusted enabler of wise financial choices: fully licensed by South Africa's FSCA, it offers transparent, customer-first service and innovative tools. Its AI-driven trading platforms and assistants (such as the "Kaiana" AI tool) provide market insights, while its multilingual educational content ensures no one is left out.