Often when money is tight, we look at cutting back on luxuries, but recent research by the City Press suggests that prices have increased by almost 50% over the passed five years! So, if your salary has increased by more than 50%, then you’ll probably be okay – but if it hasn’t… you’ll need some specialized planning!
The City Press published the following:
“The cost of bread, meat, milk, cheese, vegetables, sugar and cooking oil among others in January 2008 were compared with prices for the same products in April 2013. Where consumers had to pay R189.94 in January 2008 for these products, they now had to fork out R283.09 for the same items, a 49% increase from five years ago.
Other items in the basket that were compared, included luxury, "sin" goods chocolates, coffee, beer, wine and cigarettes, which also showed an accumulative 49% increase in the review period.
The price of bread alone skyrocketed 69% in the 5-year period, while meat went up 40%.”
Some people would see this as doom and gloom news, but if you’re astute with your investments and financial planning, all it calls for is a few adjustments.
Next week I’ll be sharing an article on how to review your long-term investment portfolio in light of a new kid on the block, Brightrock. They’ve entered the market with a view to responding and the trends shown in recent research and providing their clients with products that not only match their needs, but also the economy.