Briefing Document: XXX

Nedbank brings you Consumer Financial Education

DATE & TIME Date: May 2020

Time: 16:15- 16:30 pm

FORMAT Via Call in onto Radio

CONTEXT
The South African banking sector is aiming to make basic banking services accessible to
everyone. Despite this, there are still many people who are unbanked. We are offering
this financial literacy & education platform to develop people’s financial literacy skills
and by encouraging them to change their money habits improve their financial well-
being. So today we take a deeper look at Budgeting for Financial Health.

• Please introduce yourself to us. (Name & Surname, Occupation/Job Description).

• Please give us a brief overview of your business institution?

Nedbank is one of the leading financial institution in SA, we are the money
experts who do good and help people to see money differently, as a Green bank,
we care about communities

POSSIBLE QUESTIONS Today we want to look at budgeting for financial health and how during this very
challenging time of COVID19 we can focus on how to better manage money, to stick to
your plan and stretch the money you have especially during this time.

Q1: Our Topic for today is Budgeting. Please define the term BUDGET, and why is
budgeting important?

A budget is a plan for what you are going to do with your money. It is important because
it details your current financial situation, and helps you keep track of and manage your
spending. It is a financial planning tool to help guide your spending and borrowing
behaviour.

Q2: What are the benefits of drawing up a Budget?

1. A budget helps you better understand your finances

2. Helps you meet your financial goals
3. Encourages cautious spending

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 4. Creates a visual spending picture
5. Assists with spending and saving decisions
6. Supports disciplined saving
7. Eases financial stress
8. Puts you in charge of your own money

Q3: What are the steps to be taken when drawing up a budget?

1. Review and establish financial goal

2. Look at your current income from all different sources
3. Write out a list of all your regular monthly expenses
4. Estimate reasonable amount for each item
5. Check if your expenses are more, equal or less than your income
6. If less, look at things that you can change or reduce
7. Decide on how much you need left over and how much you want to save
8. Decide how long it will take you to reach your financial goals
9. Review and adjust your spending as needed

Q4: What are the different methods that you can use to help you start budgeting?

a) Stop order
b) Stokvels
c) Club accounts

Q5: What are the Three Types of Expenses that forms part of a budget?

a) Fixed Expense
b) Variable
c) Unforeseen

Q6: What is the difference between NEEDS and WANTS?

a) A need is something you cannot live without

b) A want is something you can live without

Q7: What are the key mistakes that people make when budgeting?

- Guessing monthly
- Not tracking your spending
- Not working as a team/family
- No emergency funds

Q8: What are the consequences of poor budgeting, or when people do not budget at
all?

- Wasteful expenditure
- Failing to reach your financial goals
- Unpaid debit orders
- Legal action/Judgements

Q9: What are the budgeting Tips to offer to the listeners?

- Start small: Don’t set yourself up for failure

- Give yourself a reward when you reach a goal, such as a small treat
- Look at your budget weekly to check if you are still on track
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 - Always include unforeseen/unexpected events in your budget
- Put your savings in an account where you do not have easy access
- Keep track of what you spend daily and monthly
- Get the family involved in drawing up and sticking to the budget
- Pay your accounts by debit order including your savings

Q7: When is the right time to start budgeting?

- You need to start budgeting right now

Q8: What sound financial advice do you have for the public regarding proper budgeting
behaviour?

- Be honest with yourself and know your income so you don’t leave beyond your means

Q9: Should anyone have any general enquiries about budgeting or the Consumer
Financial literacy & Education programme which Nedbank rolls-out, please provide us
with the contact person and details.

- You can get hold of me on: provide your email and work number (010)234 7294

Q10: Do you have any other information to share with us?

- Budgeting is not about how much money you make or have, it is about what you do with
it……

For more information on Consumer Financial Education and Nedbank’s contribution

during this time of COVID-19 please visit: together.nedbank.co.za/ or nedbank.co.za

ABOUT CFE Consumer Financial Education is all about focusing on the ability to transfer knowledge
and Skills to consumers and potential consumers for individual well-being and the
public good. The programme is aimed at empowering consumers with knowledge to
enable them to make better and more informed decisions about their finances,
lifestyles and small business ventures. Through our programme we want to influence
and drive a changed behaviour towards money and help individuals