As the famous book title by relationship counsellor John Gray put it: men are from Mars, women are from Venus. In some instances, their minds really do work differently, an important factor to be aware of when making investment decisions.

Money is one of those. Academic research has shown that men and women are more likely to be influenced by different psychological impulses when it comes to their finances. And this has an impact on their investment decisions.

In this article we look at what the research reveals about the different ways that men and women think about money, and a few tips for how to address our blind spots. 

Reading through the terms and conditions of an insurance policy is nobody’s idea of fun. However, it is important to understand some of the more important clauses.

In particular, it is worthwhile knowing under what circumstances the company has the right to cancel the policy. It is rare that this happens, but it is possible, and the consequences can be severe.

Read on to discover the three reasons why an insurer could legally cancel your policy, and how to avoid getting into this situation.

Finance Minister Enoch Godongwana has invited the public to share suggestions on the 2022 Budget he is expected to deliver on Wednesday 23 February 2022.

The Ministry of Finance: “As usual, the budget allocation always aims to strike a balance between competing national spending priorities … suggestions must pertain to what should government be spending on, how to address a large budget deficit, new sources of tax revenues, and other budget-relevant information … Minister Godongwana looks forward to your contributions.”

Go to National Treasury’s “Budget Tips for the Minister of Finance” page and fill out the online form. 

With the end of the tax year approaching, talk to a professional about whether you should top up your retirement annuities (RAs) this month! Remember that all contributions into an RA reduce your taxable income, and therefore the amount of tax you pay.

You can contribute a maximum of 27.5% of your taxable income to retirement funding each year, up to R350,000. It may make sense for you to use as much of that limit as you can.

Vickie Lange, Head – Research, Best Practice & Academy at Alexander Forbes:

“A common reason given by members for not preserving their retirement savings is that they are too low to warrant the trouble and expense of a preservation fund. A total of 58% of those who chose not to preserve had retirement savings of between R0 and R25 000.

“People need to be aware of the longer-term impact of not preserving even relatively modest amounts when they are younger because of the power of compounding.

“The reality is that the amounts contributed in the early years of accumulation add the most to your benefit at retirement. Thanks to the impact of compound interest, the first 10 years of your savings can contribute as much as half of your savings at retirement.” (Emphasis supplied)