How to spend your bonus wisely

Invest your bonus with unit trusts from 1Life

Posted  December 20, 2012

It is December time and for many lucky South Africans this means an annual bonus or thirteenth cheque. This year resist the urge to spend your bonus on unnecessary luxuries and promise to put it to good use. Read on for our ideas, from saving the money in unit trusts to servicing your car.

Take some time to carefully plan how you want to spend your bonus or the money will have disappeared by January. Use the following ideas as guidelines:

  • Use your bonus to have your car serviced or replace worn tyres and shock absorbers
  • Pay off as much of your debt as you can, starting with your high interest debts
  • Pay school fees a year in advance
  • Pay premiums on one or two of your insurance policies a year in advance
  • Put the money into your emergency fund, or if you do not already have one, use your bonus to kick-start the fund. You should have roughly three months’ worth of living expenses in an emergency fund to cover unexpected car and home repairs, medical expenses not covered by your medical aid or a financial crises like retrenchment
  • Use your bonus to boost your retirement savings
  • Invest the money carefully for maximum returns on your hard-earned cash

1Lifeinvest - Unit trusts from 1Life are a great investment option for a number of reasons:

  1. You can withdraw your money at any time without incurring any penalties
  2. You can invest a lump sum or monthly or both
  3. Your funds will be released to you within 5 days
  4. You can invest telephonically and don't have to worry about filling out endless forms
  5. Because your investment is pooled with those of other investors you can invest in the stock exchange with relatively small amounts of money
  6. An experienced fund manager will manage your investment for you. You don’t need to have any experience of shares or trading.

Find out more about unit trusts from 1Life Investments.

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