Have you ever heard someone say, ‘It’s not like R100 can buy you a house’? It’s become a popular saying in digital chats, and just like ‘it’s only money’ or ‘you only live once’, people often use it to encourage you to treat yourself. You can’t buy anything big or important with R100, the thinking goes, so why not just spend it on having a good time?

Except that you can buy some important items with R100 – once you’ve changed your attitude to money management. ‘Take care of the pennies, and the pounds will take care of themselves’ is an old proverb about money, and it is still just as true about rands and cents today. Let’s look at what R100 can buy you in South Africa, and how else you could use R100 a month to build a more secure financial future.

Groceries on a budget

R100 will buy you basic daily groceries for 2 or 3 people, depending on your local supermarket options.

It pays to compare prices and shop for specials. Look for the discounts that big retail chains advertise in their weekly news sheets. You’ll also pay less if you shop for fruit and vegetables at local informal markets with lower overheads.

It also pays to work on your cooking skills. By adapting your meals to include whichever available ingredients are freshest and cheapest, you can stretch R100 even further.

Affordable entertainment

Whether you stay home or hit the town, your entertainment choices don’t have to break the bank.

• Streaming services
  The Netflix basic plan costs R99 a month, and the Showmax mobile plan starts at R39. If you buy vouchers for streaming services on the Money app or Avo SuperShop, you’ll enjoy added savings by taking advantage of our regular promotions.
  
  
• Airtime and data
  With R100 in data, you can entertain yourself on your digital device. Once again, Avo SuperShop should be your go-to platform for some of the best deals and promotions on all cellular networks.
  
  
• Nu Metro movies
  When you pay with your Nedbank card, you get a 50% discount on tickets and selected refreshment combos at Nu Metro cinemas – that's a night of big-screen entertainment for less than R100.
  
  
• Local entertainment promotions
  Many local pubs, clubs, restaurants and family entertainment venues offer regular promotions – either as specials on a set day of the week, or to celebrate seasonal events.

Check out local entertainment listings for these deals, and you’ll enjoy more days and nights out with family and friends for less than R100 a head. Apart from dozens of food and drink discounts, our online research found Tuesday or Sunday half-price specials for many social activities, including ice skating, 10-pin bowling, bumper cars, trampolines, jumping castles, and laser tag.
 

• Home crafting
  If you learn a crafting or home DIY skill – for instance, painting murals or creative wall effects, embroidering fabrics, upholstering furniture, or carving wood – R100 could be your monthly budget for materials. Rope some friends in for a fun DIY project and hold a sip-and-create night to beautify your home with personal touches. You can get all your crafting and stationery supplies on Avo, too.

Saving and investing

R100 might seem like a small amount, but saving even R100 a month is a way to start building your wealth. It’s a good idea to start an emergency fund – a savings account that you add something to every month until you have 3–6 months’ income available immediately when you need money urgently.

Savings accounts are excellent safeguards against emergencies because your money is available right away, but you need investment accounts for your money to grow faster than inflation and build real wealth. There are 2 main barriers to investing if you can afford to save only R100 a month:

• you need a higher opening deposit to start many investments, and
• to achieve the growth you need, the investment will tie your money up for longer than a savings account would.

This is another reason to contribute to an emergency fund regularly until you have enough saved to cover your income for 3–6 months. After a few more contributions, you’ll have enough to withdraw a portion and put it into an investment account that has a higher entry fee.

You can then choose to invest regularly in a selection of notice accounts, fixed deposit accounts, unit trusts or exchange-traded funds, to enable faster growth over the long term. And don’t forget that you’re allowed to save up to R36,000 a year, up to a lifetime limit of R500,000, in tax-free savings and investments.

R100 might seem like an insignificant amount, but those R100 notes can add up fast. Make better money choices, and you can stretch that R100 further – or add it to investments that will help you reach your financial goals. The next time your friends tease you about being thrifty, you’ll be laughing all the way to the bank.