ABANC - Angolan Banking Association

Regardless of what your income is, it is always important to have savings, because:

• It permits you to accumulate wealth to be spent in the future;
• It permits you to set goals in the short, medium and long terms;
• It ensures a more peaceful and safe future;
• It helps you to achieve your personal plans;
• It increases your capital with return on investment;
• It allows you to have a reserve for emergency cases;

Saving is more than spending less, although this is one of the challenges involved. You must answer questions such as "how much should I save?" and "where do I invest my savings?"

Here are some saving strategies:

• Establish measurable and achievable saving goals in the short, medium and long terms, to be reached in a predetermined period of time;
• Plan and control your personal finances in order to achieve the saving goal. Save a certain amount each month for this purpose;
• Prepare a monthly budget, taking care not to spend more than you receive;
• Prioritize savings by separating predetermined amounts as soon as you receive your income, instead of just saving the remaining balance at end of the month;
• Try to diversify your income sources;
• Be prudent and economical in your expenses, starting with the superfluous expenses and other variable expenses. Small reductions in the daily expenses make a big difference;
• Avoid waste, extravagance and impulse purchases;
• Create a working capital to cover unforeseen;
• Plan ahead leisure and entertainment expenses;
• Plan retirement in advance;
• Avoid temptations. Keep your savings out of your reach;
• Apply savings in financial instruments. Find out about the various saving solutions available and compare interest rates, application deadlines, benefits, minimum amounts and access conditions to see which best suit your financial situation.