This may seem daunting at first, but if you put your mind to it you will be surprised at how quickly you can save this amount.

One of the most effective methods of saving is to set up an automatic monthly transfer from your bank account to your separate ‘emergency fund' account. A chosen amount is then deducted monthly and you will be saving towards your emergency fund without even knowing it.

Select one of the following notes: R50, R100 or R200. Let's assume you chose R50. Then start a habit that each time you have a R50 note in your wallet, you put it towards your emergency fund.

Every time you want to buy a coffee or fast food, rather stop yourself and put the money towards your emergency fund. This will be difficult in the beginning, but you will thank yourself later.

If you are diligent and consistently put small amounts of money into your emergency fund every month, over time you will notice that your savings have grown very nicely. You will also be proud of your achievement.

It is important to look after your emergency fund, so do not leave this money at home, as it is not safe.

Rather put this money into a bank account that does not charge high monthly fees and also earns you the best interest. In this way your money is not only protected but also grows over time.

• Should you ever use your emergency fund, be sure to top it up again.
• Do not spend this money on anything except emergencies.
• Keep your emergency fund at a different bank. In this way you will not be tempted to spend it, as it is not easily accessible.
• Make the first payment from your salary straight into your emergency fund. When you get to the end of the month and your money is low, at least you will have managed to save.