2 . However , given the fact that many parents themselves lack personal finance skills , it is crucial to educate children in schools about the topic . Personal finance education should be a compulsory subject in schools starting in nursery school .
3 . Higher education institutions should make basic personal finance modules compulsory in qualifications .
4 . Corporates should provide personal finance training to their employees . It is heartening to note that PPS , through the PPS Foundation , offers financial literacy training on campuses across the country .
5 . Political , religious and professional organisations should provide personal finance training to their members .
6 . Financial institutions should provide personal finance education to their customers .
7 . The South African government should provide basic personal education to recipients of state grants .
8 . It should be compulsory for elected and public representatives to undergo personal finance training as part of their induction programmes .
We all need to understand that money is not only for spending , and that living within a budget , saving and investing is crucial . Saving is a critical life skill that encourages self-discipline , goal-setting and delayed gratification . It is the pillar of financial security .
Importantly , South Africa needs to foster a new culture of savings . The importance of saving should be inculcated at nursery , school and higher education level too . The South African government at all levels should also save and invest public money prudently and in that way boost a new national culture of saving .
As Steve Burkholder said : “ If you ’ re saving , you ’ re succeeding .”
William Gumede is Associate Professor , School of Governance , University of the Witwatersrand . He teaches Members of Parliament in South Africa and in the British Commonwealth how to play oversight over their country national budgets . He is a number one bestselling author . His latest book is South Africa in BRICS ( Tafelberg )
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