The Woman & Finance Podcast
Welcome to The Woman And Finance Podcast, a dedicated platform where individuals come together for non-judgmental and jargon-free conversations about personal finance.
Our mission is to empower women in South Africa through valuable financial education and insights. Hosted by Mapalo Makhu, a seasoned personal finance expert and the published author of the book "You're Not Broke, You're Pre-Rich," the podcast delves into a wide range of financial topics, including budgeting, investing, debt management, entrepreneurship, and wealth-building.
Our primary goal is to educate and inspire women, equipping them with the knowledge and confidence to take control of their finances.
If you resonate with the empowering and informative content shared on this podcast, we kindly invite you to hit the follow button. By doing so, you contribute to creating a community where women like yourself can access and benefit from this invaluable information.
Together, let's embark on a journey to financial empowerment and success.
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The Woman & Finance Podcast
Investing for the Future: Strategies for Long-Term Goals and Wealth Growth
In our last episode, we focused on saving for those shorter-term goals, but today we’re diving into those medium to longer-term ones—like funding your child’s university education in 10 years, leaving a financial legacy, or maybe even starting your own business. So, how do you begin?
We kick off by emphasizing the importance of setting clear and realistic financial goals. We provide a real-world example of how to calculate future education costs, demonstrating how inflation can dramatically increase the amount you need to save over time.
One of the key lessons in this episode is understanding the difference between interest and growth. While interest is a guaranteed return you get from a bank, growth comes from investing in assets that increase in value over time. We talk about how unit trusts and ETFs are great tools for growing your capital.
We also spend a good portion of the episode discussing tax-free savings accounts (TFSAs). Since their introduction in 2015, TFSAs have been an excellent tax-efficient way to save and invest. We highlight how they can be a smart choice for long-term goals like saving for your child’s education or even adding to your retirement pot. It’s important to view them as long-term investment vehicles, not just regular savings accounts.
We also explore the idea of investing offshore, showing how you can access global markets through local funds that invest abroad. For those looking to diversify and build assets outside of South Africa, local companies offering offshore investment products are a good place to start.
Lastly, we caution against using endowment products for education savings. These often come with high fees and tax complexities that aren’t always in the investor's best interest. Instead, we advocate for simple, low-cost options like TFSAs and unit trusts.