Crazy as this might sound, the recession might not have been such a bad thing after all.

Crazy as this might sound, the recession might not have been such a bad thing after all.

Though many in Mzansi breathed a collective sigh of relief when the country was officially declared out of the red last year, there is no denying that the recession taught us many valuable lessons.

It put the concept of saving, long forgotten by others, firmly in the spotlight. Traditional saving methods were not just old-fashioned but absolutely essential.

Budget

Thousands fell back on their "societies" and stokvels and emphasised that a penny saved is indeed a penny earned. Saving for a rainy day was not regarded as frivolous anymore, but something rewarding that came out of discipline and patience.

Responsible spending meant judging between "needs" and "wants", drawing up and sticking to a strict but reasonable budget and prioritising good and bad debt. This meant setting up short-term and long-term goals such as managing credit card debt and saving for varsity fees.

Being out of the recession, however, should not mean that it is acceptable to splurge as it is never too late to start saving. There are good and affordable means such as:

Joining a stokvel with friends that you know and trust. It forces you to save and the money collected can be invested or used for essentials such as school fees and medical emergencies. It is also a good way to socialise.

Saving does not always mean having large reserves of money. One can open a bank account for as little as R50 at the post office.