How to protect your family from life’s “what ifs”

We work hard to build a life for our families, but a sudden retrenchment or a health setback can quickly rattle those foundations. Resilience is having a few layers of protection in place, so that if the unexpected happens, you can keep the wheels turning.

Here are three practical ways to build your own safety net: 

1. Build a rainy-day buffer

We all know that “saving for a rainy day” is easier said than done, but even if you only save a small amount each month, over time, this will grow into your own emergency fund and a first line of defence. Aim to build up enough to cover at least one month of your must-have essentials – groceries, transport, and electricity. Having your own cash on hand means you don’t have to max out the credit card when your car needs new tyres or you have to pay an unexpected medical bill. It’s about staying in control, even when life gets unpredictable. 

2. Diversifying your income

As we mentioned in our side-hustle guide, having more than one tap running into your bank account can really boost your financial stability. Whether you’re turning a hobby like photography or baking into a weekend business, or renting out a room on your property, a second income stream changes the game. If your main job is ever affected by a curveball, you aren’t starting from zero. The extra bit of cash each month can be the difference between dipping into your savings and keeping your head above water while you figure out your next move.

3. Protecting your commitments

If you have store cards or are paying off a car or a personal loan, those monthly instalments don't stop just because your income does. This is where specific cover for your debt is a lifesaver. Credit life insurance pays your debt – usually for up to 12 months – if you’re retrenched or can’t work due to disability. It keeps the creditors off your back and ensures you don't lose the things you’ve already paid for while you're getting back on your feet. 

One of the best things about this kind of protection is that it’s surprisingly affordable. If you already have cover, it’s a great idea to do a quick check and see if you can get a better rate elsewhere. Give providers like Hollard, Sanlam, or JustMoney a call to compare. You could save enough on your monthly premium to put that extra bit straight into your rainy-day fund. 

Our JustMoney Coach pro-tip

True peace of mind comes from knowing you’ve made a plan. You’ve worked too hard to let a bit of bad luck undo all your progress.