Guiding consumers since 2009

Are you getting paid more than what inflation eats away?

By Staff Writer

The latest data looking at employment for the last quarter came out today. There are fewer jobs than there were before, this is an effect of the recession. When job growth kicks in again we can be less worried about the after effects of the recession but between June and September 2009 the economy lost around 79000 jobs. On the plus side there has been an average monthly pay increase of 7.8% between August 2008 and 2009. Inflation figures out today show:

 

  • Inflation now at 5.8%
  • Food slightly up by 0.1%
  • and culture high at 8.1%

 

The economy may be losing jobs, which is an effect of the global credit crunch, but it seems that our pay is keeping up with inflation. However we have come from a high inflation environment a year ago into a lower one now, and while the annual inflation rate is below pay rises, this was not the case for most of the last year. Meaning that we now have less money than before, although it is a small percentage, food price inflation has been high, and is still rising so we have to pay more to put food on the table.

The holiday season is upon us and while the temptation to spend may be there, the economy is not as stable as we could wish it to be and the job loss figures show that there are still dangers present. So don't go spending your money just anyhow this season, rather put it into managing your debts, paying off your credit cards and planning a budget for the New Year. Inflation is very close to the Reserve Bank target range, and is just within it at 5.8%, however there is still the possibility of an interest rate rise next year.

Recent Articles

Featured Times are tough, but keep your debt under control

While the whole world is going through a rough patch, you may also be feeling the pinch. With the country in crisis, it may be difficult to keep up with your debt instalments. However, abandoning your debt obligations is not the solution.

Debt Series Part 2: Interest rates - unpacked

In the second part of our Debt-ucate series we explore interest rates –from how to get a better rate to what influences it, and how this affects the cost of your debt.

Debt counselling – the two sides of the coin

Being overindebted doesn’t just put a strain on your personal finances; it also puts a strain on your state of mind. The best solution is to start the process of debt counselling so that you can escape the debt cycle. But what are the ups and downs of joining this debt relief programme?

Travel ban – how to claim for the loss incurred

As with the recent Covid-19 pandemic, governments sometimes issue travel bans to prevent people from travelling to other countries. This becomes even more complicated if you’ve already planned and paid for your trip. Your flights will be cancelled, and you may lose money from cancelled accommodation arrangements. How do you claim for the financial losses incurred due to a travel ban?

Deals

Get 30% back when you fill up with your Absa card

Price: Available on request
When: Daily
Where: Nationwide

Get 50% back in eBucks when you apply for an FNB home loan

Price: Available on request
When: Daily
Where: Nationwide

Get 50% off your online fees when you pay with Capitec card

Price: Available on request
When: Daily
Where: Online