Money Matters: How to make a million

Author and financial planner Sylvia Walker chats to tells us how to make a million.

It's actually not that difficult. You can accumulate R1 million if you just put your mind to it.

Sylvia walker, author and financial planner

Step 1: Set the goal - what is the reason you want to save that money and knowing how much you want and by when.

Then put your plan in place and don't get distracted. We can look at what the plan should look like, but really as you go put any extra money in, whenever you get a bonus at work...or if you get an increase...put some money in...and most important thing is to stay focused on the goal.

Sylvia walker, author and financial planner

Step 2. Making it work - the return on your investment.

She explains that it depends on how well your investment is going to perform.

The better the investment performs, the less you need to put into that investment.

Sylvia walker, author and financial planner

Anything you invest needs to be invested close to the equity or share market as that delivers good growth.

Equities have delivered really good and solid growth over the long-term. That is the purpose they serve in our investment portfolio.

Sylvia walker, author and financial planner

If your target is to reach R1 million in ten years time, how much would you need to save per month?

At a growth rate of 12% you would need to save R4500 per month, and at a growth rate of 15% about R3000 per month, for the next ten years, in order to reach your million.

Be practical and set a realistic goal you can achieve.

Sylvia walker, author and financial planner

She points out that a million rand today does not have the same value as it did decades ago. Inflation erodes the value of our money.

But she says while your first million may take 10 years to make, the next million will take a lot quicker.

Because money makes money and the power of compounding is immense.

Sylvia walker, author and financial planner

So start saving and investing sooner rather than later, she suggests.

Responding to a call from James in Fish Hoek, Sylvia says many people do not have that R4500 per month to spend on investments because they have so much debt.

So deal with your debt and free up money to make you money.

Take a listen to Sylvia's advice below and get saving:


This article first appeared on 702 : Money Matters: How to make a million


Read More
CapeTalk signal picked up 15 000 kms away... in Finland!

CapeTalk signal picked up 15 000 kms away... in Finland!

CapeTalk's Abongile Nzelenzele couldn't contain his excitement after radio fanatics in Finland picked up CapeTalk's AM signal.

Watch out! Identity theft on the rise (and how to avoid it)

Watch out! Identity theft on the rise (and how to avoid it)

Executive director of SA Fraud Prevention Service gives tips on how we can be alert and stay clear of identity theft.

Warder recalls "prison hell" as he retires after four decades at Pollsmoor

Warder recalls "prison hell" as he retires after four decades at Pollsmoor

Chris Malgas speaks about his experiences as a prison warder at the notorious Pollsmoor prison for four decades.

Tips to get rid of those pesky roaches, but don't splat them...it spreads eggs

Tips to get rid of those pesky roaches, but don't splat them...it spreads eggs

Listeners wanted advice on how to tackle the local cockroach problem and expert Salim Haji tells you how.

Publisher of book dubbed a racial coloured sterotype speaks out

Publisher of book dubbed a racial coloured sterotype speaks out

Paula Marais responds to racism levelled at Rainbow Nation Navigation: A Practical Guide to South African cultures.

Four vehicles petrol bombed at UCT

Four vehicles petrol bombed at UCT

The incident is under investigation, and comes a day after several acts of arson at CPUT's Bellville campus.

Popular articles
Van Damme: De Lille has until Monday to respond to maladministration claims

Van Damme: De Lille has until Monday to respond to maladministration claims

The DA has suspended Patricia de Lille from party activities but Eusebius McKaiser says its statement 'is clear as mud'.

LISTEN: Father of drowned toddler speaks of dangers and heartbreak

LISTEN: Father of drowned toddler speaks of dangers and heartbreak

Connor Weber, fell unnoticed into a bin of water and drowned.

Fund manager lays criminal charges against former Steinhoff CEO Markus Jooste

Fund manager lays criminal charges against former Steinhoff CEO Markus Jooste

The Money Show’s Bruce Whitfield interviews Benguela Global Fund Managers Chief Investment Officer Zwelakhe Mnguni.

The Steinhoff Story: from humble beginnings to billions

The Steinhoff Story: from humble beginnings to billions

Financial Mail editor Rob Rose chats to Eusebius McKaiser about how Steinhoff became the retail giant we know, before the fall.

Zuma order to pay costs of failed legal suit, a damning indictment: Law expert

Zuma order to pay costs of failed legal suit, a damning indictment: Law expert

Law professor at Wits says the President has now been warned to consider his options very careful when playing delaying tactics.

Predictably awesome new Nando's ad reminds South Africans ‘we can fix our sh$t’

Predictably awesome new Nando's ad reminds South Africans ‘we can fix our sh$t’

Watch the Guptas pack their bags and run in Nando's inspiring new advertisement.

How businessman Max Lichaba struck gold with his jewellery company

How businessman Max Lichaba struck gold with his jewellery company

Entrepreneur Max Lichaba built his own empire and is the CEO of Lichaba Creations and several other businesses. This is his story.