As the year winds down: Don’t let festive spending undo a year of financial progress

Feel free to reach out to PSG Wealth Adviser Arne van Hulst  directly.

Whether you’re an investor, business owner, or professional, now is the moment to pause, reflect, and plan with intention before the year wraps up. Because smart financial behaviour in November and December can set the tone for your entire 2026.

1. Festive emotions vs. financial discipline

Let’s be honest — we all get swept up in the year-end energy. Bonuses arrive, sales are everywhere, and the temptation to reward ourselves “just this once” feels justified. But emotional spending is one of the most common wealth leaks.

A simple mindset shift helps: treat every rand as if it still has to work for you. Ask yourself, “Is this expense adding long-term value or just short-term satisfaction?” A well-timed investment contribution or debt repayment can often yield far more joy next December than another gadget or dinner splurge ever could.

2. Revisit your financial plan before 2026 arrives

This time of year isn’t only for celebrations — it’s for recalibration.
Ask yourself and your adviser:

• Did my investment goals stay on track in 2025?
• Have my risk levels or income needs changed?
• Is my tax benefits optimised before the new financial year starts in March?

It’s the ideal window to top up your Tax-Free Savings Account (TFSA), maximise retirement annuity contributions, or rebalance portfolios that may have drifted from their target allocations during the market volatility of the year. These tweaks — while small — can compound dramatically over time.

3. Don’t let cash idle over the holidays

Many people hold off on investing because “it’s almost year-end — I’ll start fresh in January”. That’s one of the most expensive habits around.

Markets don’t take holidays, and inflation doesn’t either. Money sitting in a low-interest account over December quietly loses value. Instead, consider parking excess cash in a money market or short-term income fund until you’re ready to deploy it more strategically.

Consistency beats timing — and the investors who stay invested through the festive distractions are often the ones smiling by next December.

4. Reflect, don’t regret

Year-end is also a good time for gratitude and reflection. Look back at how far you’ve come financially:

• Did you pay off a debt?
• Increase your savings rate?
• Start an investment plan or business venture?

Celebrate those wins — but use them as motivation to go further. The point of wealth is not to deprive yourself, but to live intentionally. The key is balance: enjoy the present without robbing your future self.

5. Set the tone for 2026

Before you switch off for the holidays, take one hour to map out your first quarter of 2026:

• Book your financial review early.
• Automate January contributions now, before the new-year chaos.
• List one financial goal that genuinely excites you — not just “save more”, but something meaningful: “Fund my child’s education”, “Buy that property”, or “Go fully offshore”.

That goal will guide your decisions when the year’s distractions fade, and the grind begins again.

Final thought

December doesn’t just mark the end of the year — it marks the compounding effect of your habits. Every choice, from a spending decision to an investment contribution, shapes your financial story.

So, while others wind down, use this moment to quietly build momentum.
Because wealth isn’t built in January’s resolutions — it’s built in December’s discipline.