EPISODE 1 \u2013 The Smart Money Tribe Podcast<\/p>\n

The first episode of The Smart Money Tribe Podcast kicks off with Arese talking about money mistakes and how to overcome them.<\/p>\n

\u201cLearning from your mistakes is always a great place to begin when you want to revamp your personal finances<\/em>\u201d, she says.<\/p>\n

As someone who had to learn from her personal finance mistakes, she walks us through some of her money mistakes and shares tips on how she overcame them.<\/p>\n

The first mistake that Arese talks about is the habit of saving to spend as opposed to saving to invest.<\/p>\n

Speaking of saving habits, she says, \u201cI\u2018ve been really good at saving towards important financial obligations like rent and even better saving towards lifestyle expenses like buying a Chanel<\/strong> bag or paying for a holiday but I wasn\u2019t saving enough towards assets that could protect my financial future<\/em>\u201d.<\/p>\n

Profound righttt!<\/p>\n

She further states that it is important to save to invest because saving to invest helps to improve your net worth, which is a measure of financial success.<\/p>\n

Arese goes on to share her second money\u00a0 <\/span>mistake which is; not having separate and specific savings accounts, each targeted to a particular goal.<\/p>\n

She stresses the importance of having separate savings accounts for each savings goal like rent, holiday, emergencies or even retirement.<\/p>\n

In her words; \u201cb<\/em><\/span>y organising my money I now had clarity around where my money was going and it helped me save more efficiently and more importantly I had a clearer understanding of what I could afford and what I could not afford at any given point in time<\/em>\u201d.<\/span><\/p>\n

Lastly, Arese talks about underestimating the need for an emergency fund.<\/p>\n

For her, it\u2019s not just about having an emergency fund. It is prioritising the fund and replenishing it when you take from it to fund an emergency.\u00a0<\/span><\/p>\n

Arese advises Africans to have at least 9 \u2013 12 months in living expenses in emergency funds as this reduces your chances of having to dip into your investments to fund emergencies.<\/p>\n

She says, \u201c<\/span>it\u2019s not necessarily there for money making, it is there to protect your long-term investments from short-term unexpected expenses<\/em>\u201d.<\/p>\n

Some of the key take aways from the podcast are:<\/strong><\/p>\n

1. Know your net worth. You can calculate this by adding up all your assets\u00a0 and subtracting what you owe.<\/p>\n

2. Financial success is not about how much you earn but how much you can retain and grow.<\/p>\n

3. Emergency funds are an important tool in\u00a0 <\/span>one\u2019s financial life.<\/p>\n<\/p><\/div>\n

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