Teaching our children healthy financial habits.

Francois le Clus • October 7, 2024

Habits, as defined by the Oxford Dictionary, are “a settled or regular tendency or practice, especially one that is hard to give up.” Good habits can make a huge difference in how we live, and they often become second nature. Think about the simple act of closing the garage door when leaving for work—it’s automatic. Now, imagine if your financial habits could be just as effortless.

Building strong financial habits can make managing your money easier and improve your financial health. Successful investors follow key principles: they know how to save and invest, practice good habits, and steer clear of costly mistakes.

 

Take Control of Your Money

 

From childhood, allowances teach us the basics of money. Setting a budget for kids helps them make smart choices. If they spend their pocket money too quickly, they learn the value of saving and the importance of waiting for what they really want.

As we grow older, these early lessons shape our money habits as adults. Whether you’re paid weekly or annually, the first step to financial control is knowing the value of your income. A budget helps you make the most of what you have.

If you’re new to budgeting, start now. Don’t guess with your expenses—use one of the many budget templates available online. The key is building the habit of budgeting and sticking with it. Christine Benz from Morningstar has a great guide titled How to Assess Your Cash Flows and Create a Budget to help you get started.

 

Keep It Simple With Basic Financial Rules

 

The simpler your habits, the easier they are to maintain. For your finances, stick to these straightforward rules:

 

  • Spend less than you earn.
  • Pay yourself first (save), then spend what’s left.
  • Save for big purchases rather than using credit.
  • Pay off debt quickly.
  • Have an emergency fund.

 

 

Start Early—No Matter How Small

 

Some people think they need a lot of money to start investing, but even small amounts grow over time, thanks to compounding. The sooner you start saving and investing, the better. Even if it’s just a little, investing early sets you on a path to accumulate wealth over time.

Starting small helps you build the habit of saving, which can become one of your strongest financial tools. It’s better to start now with what you have than to wait and save larger sums later.

 

Time Is On Your Side

 

When it comes to investing, young people have an advantage—time. Even modest investments can grow significantly over time due to compounding.

For example, a 22-year-old who saves R200 a month at a 5% annual return could have over R362,000 by age 65. In comparison, someone who waits until 35 and saves R300 a month at 6% will have just over R300,000 by the same age. Those extra years make a big difference.

 

Understand the Power of Compounding

 

Money saved in your 20s and 30s has decades to grow. For instance, R1 growing at 6% annually becomes R10.30 in 40 years. The same R1 will only grow to R3.20 after 20 years. The earlier you start, the more your money will grow, reducing the amount you’ll need to save to reach your goals.

 

Teach the “Rule of 72”

 

A great way to explain the time value of money is the "Rule of 72." Divide 72 by the interest rate to see how many years it will take for your money to double. This concept helps people understand why starting early is so valuable—even small investments now are more beneficial than larger ones later.

 

Avoid Lifestyle Inflation

 

As your income increases, it’s tempting to spend more. While it’s okay to reward yourself for hard work, be careful not to let your spending grow faster than your savings. The more you spend, the more you’ll need to maintain that lifestyle in retirement.

A smarter approach is to live conservatively. By keeping your spending in check and avoiding unnecessary debt, you can save more while you’re working and create a more affordable lifestyle for retirement.

 

In Conclusion

 

The key to financial success is staying motivated and consistent. You’ll have setbacks, and that’s okay—just keep moving forward. Share your goals with your family to stay accountable, break your goals into small steps, and celebrate your progress along the way. With patience and dedication, you can build better financial habits and enjoy a more secure future.

Familie Finansiële Beplanning. Waarom?

By Dr. Riaan Botha • June 2, 2026
Die uitdrukking “Twee koppe is beter as een” is welbekend en dui daarop dat samewerking voordelig is. Is daar voordele vir lede van ’n familie wanneer hulle gesamentlik familie-finansiële beplanning doen, asook inkomstevoorsiening deur middel van familiebesighede? Familiebesighede in Suid-Afrika, waar gesamentlike finansiële beplanning plaasvind, is ’n belangrike deel van die ekonomie. Talle Afrikaanssprekendes is afkomstig van die platteland waar hulle in ’n familiebesigheidsomgewing op plase grootgeword het. Weens ’n verskeidenheid van redes verander die landbou-familiebesigheidsomgewing, en sommige van hierdie families verskuif hul familiesakebelange met groot sukses na ander sektore van die ekonomie. Entrepreneursvaardighede word egter benodig om vir jouself ’n inkomste te skep. Bovest is behulpsaam om die nodige entrepreneurskundigheid deur middel van die TV-program “Welvaartskeppers” aan die kykerspubliek bekend te stel. Bykomend hiertoe word finansiële advies aan families gegee om sodoende maksimum finansiële voordeel te verkry. Indien die voordele van familie-finansiële beplanning met dié van persoonlike finansiële beplanning vergelyk word, bestaan die volgende voordele: Laer gesamentlike fooie vir familielede kan beding word; Meer effektiewe belastingskale kan benut word deur beleggingskapitaal tussen gades te verdeel; Die oordrag van welvaart na die volgende geslag kan vergemaklik word deur familietrusts te gebruik; Gedeelde verantwoordelikheid bevorder dissipline om by langtermyn-kapitaalbouplanne te hou; Verskillende lewensiklusse en risiko-aptyte help om die familie se beleggingsportefeulje te balanseer; Die verskille in ouderdom en lewensfases ondersteun die uiteenlopende eiendomsbehoeftes van familielede. Aangesien die finansiële beplanning van families meer kompleks is, benodig dit samewerking tussen die verskillende geslagte om behoeftes en verwagtinge te verwesenlik. Die rol van die Bovest-adviseur in hierdie proses kan nie onderskat word nie.

Financial Lessons to Learn from Ultra Trail Running

By Godfried Kotzé • June 2, 2026
This past weekend, Bovest Wealth Management had the privilege of being part of something truly special: a race, a journey, and a family of runners who took part in the MUT - the Mountain Ultra-Trail - in the breathtaking beauty of George. Together with my close friend Scotty, I ran the marathon. But as is so often the case with endurance events, I walked away with far more than tired legs and a medal. I walked away with lessons. Lessons about faith, finances, discipline, consistency, community, fellowship, and perspective. Ultra trail running has a unique way of stripping life back to the essentials. Out there on the mountain, there are no shortcuts. You cannot fake preparation. You cannot outsource endurance. You cannot buy resilience at the final aid station. You have to show up, step by step, climb by climb, kilometre by kilometre. In many ways, our financial lives are no different. Discipline: The Foundation of the Journey No marathon is completed by accident. It requires discipline long before race day. Early mornings, training runs, strength work, nutrition, rest, and preparation all form part of the unseen investment. Financial success works the same way. Building wealth is rarely about one dramatic decision. It is about the daily discipline of living within your means, saving consistently, avoiding unnecessary debt, planning for tax, protecting your family, and making wise investment choices over time. Proverbs 21:5 reminds us: "The plans of the diligent lead surely to abundance, but everyone who is hasty comes only to poverty." Discipline is not always exciting, but it is deeply powerful. It is the quiet commitment to the right things, even when nobody is watching. On the mountain, discipline gets you to the next checkpoint. In your finances, discipline carries you toward long-term freedom. Community: We Were Not Created to Run Alone One of the most beautiful parts of the MUT weekend was the sense of community. Runners encouraged each other. Families supported from the sidelines. Friends waited, cheered, prayed, laughed, and pushed one another forward. With Scotty alongside me, the journey became lighter. The difficult moments became bearable. The experience became richer. The same is true in our financial lives. We need people around us who encourage wisdom, accountability, and growth. A good financial adviser, tax specialist, fiduciary expert, family member, spouse, mentor, or trusted friend can help us make better decisions and remain focused on the bigger picture. Ecclesiastes 4:9-10 says: "Two are better than one; because they have a good return for their labour. For if they fall, the one will lift up his fellow;..." No one builds a meaningful legacy alone. Wealth is not only about numbers on a statement. It is about people, purpose, stewardship, and responsibility. Perspective: Seeing the Creator Through His Creation Perhaps the greatest takeaway from the weekend was perspective. Running through the beautiful mountains of George, surrounded by the majesty of creation, one cannot help but become aware of the greatness of God. The fresh air, the views, the silence, the strength to continue, and the people alongside us all point to something far bigger than ourselves. There were moments on the route where the mighty Name of the Lord could change the entire atmosphere. A prayer, a word of gratitude, a moment of worship, or simply lifting one's eyes to the mountains reminded me that we are not alone. This perspective is essential in life and in finance. Money is important, but it is not ultimate. Planning is important, but God remains our provider. Wealth can create comfort, but only Christ gives true peace. A well-structured estate can leave an inheritance, but a life of faith leaves a legacy. When we see our finances through the lens of faith, everything changes. We become less anxious, more generous, more intentional, and more aware of the responsibility we carry. The Finish Line Matter Every race has a finish line. So does every financial journey. The question is not whether we will reach a finish line, but whether we are preparing wisely for it. Are we disciplined? Are we consistent? Are we surrounded by the right people? Are we walking in fellowship? Do we have the right perspective? Ultra trail running teaches us that endurance matters. Preparation matters. Community matters. Faith matters. The same is true when building, protecting, and transferring wealth. By Godfried Kotze BCom Accounting, MCom Taxation (UP), SAIPA, FISA Member