How to struggle out of that dark pit of debt

Simply spend less than you earn, money guru advises

SOUTH Africans are spending a lot more than what they are saving, in fact 80% of disposable income is spent on paying debt.

Grappling with over-indebtedness on the one hand and longer life expectancy on the other, middle class South Africans find themselves in a perfect storm, said Old Mutual Wealth chief executive Andrew Bradley.

The former Port Elizabethan and ex-Grey pupil is the co-author of a best selling book, How much is enough?, which deals with how to maximise wealth through firstly managing one’s well-being.

Bradley yesterday presented a talk on his newly released book at The Paragon in Newton Park to a group of clients from Consolidated Financial Planning.

Bradley said it was not just middle class South Africans grappling with debt, but also the upper class. In research by Old Mutual, it was found that 70% of those earning up to R1-million in annual salaries (more than R80 000 per month), were overextended, with 14% saying they were struggling and living beyond their means.