Many of us have inherited some ‘failsafe’ money rules from our parents, like saving for a house deposit, avoiding debt as much as we can, keeping our money in a savings account, and finding a good, stable job that we should stay in for decades. All solid advice, some of which may still be relevant. But in a world that looks vastly different from 20 or 30 years ago, do some of these rules need a rewrite?
Lee Hancox, Head of Channel and Segment Marketing at Sanlam, says, “Our parents could plan around a more predictable path. For example, many started in one company and stayed there. Today, people tend to change focus areas and often have more than one income stream. Another reality is that property is less affordable than it was back then, whether buying or renting. So, a lot of young people can’t get started because they can’t afford to.”
Here’s how we can rewrite some of our parents’ money rules that no longer fit the world we live in today.
The retro rule: “Avoid debt at all costs”
The 2026 reality: Learn the difference between good debt and bad debt
“Some of us may have learnt that that debt is dangerous because, for many families, it was. That lesson still matters. “The old rule still applies when debt is used to fund a lifestyle you cannot afford, or when retail account payments and credit card interest prevent you from saving. But debt that is managed responsibly and used strategically can help you build long-term wealth.”
Hancox says an affordable cellphone contract can help you establish a credit history, while debt used for education or property may increase your future earning potential or create wealth. “You should treat debt as a tool, not as extra income. Before you stretch yourself for something, ask what it will be worth later and how the debt will affect your future. A car that loses most of its value in five years is a very different decision from a qualification or a home.”
The retro rule: “Save every cent”
The modern day reality: Invest your money, don’t just park it
Our parents’ generation relied on traditional savings accounts, and although saving remains essential, especially for emergencies, cash alone may not do every job. Also, inflation can erode the buying power of money left in cash for many years, so young people need to separate short-term savings from long-term investing.
“Cash gives you security. Investing allows your money to grow. And young people need both,” says Hancox.
She says an emergency fund can create breathing room when a contract ends, a client pays late, or an unexpected expense arrives. Money for goals several years away may need the growth potential of diversified investments on platforms like SatrixNOW, such as retirement funds, unit trusts or exchange-traded funds.
Hancox adds that starting early matters more than starting big. “Even if you can only put away R200 a month, do it consistently. Time and compounding can do a lot of the heavy lifting.”
The retro rule: “Get one good job and stay there”
The modern day reality: Build multiple income streams and make your career work for you
For our parents’ generation, staying with a single employer for decades was the ultimate mark of career success and financial stability. However, we frequently change jobs today, including pursuing freelancing opportunities or tapping into the content creator economy.
“The world has shifted from a single, predictable career path to one of flexibility and adaptability,” says Hancox. “Rather than aiming for one single job for life, today’s world requires us to build diverse skills, keep learning, and, where possible, create multiple income streams.”
However, Hancox says multiple income streams and irregular earnings bring new financial responsibilities. “You have to establish non-negotiable habits if you are earning an irregular income, like paying yourself first. This means automating savings and retirement contributions, building a dedicated emergency fund to survive those quiet months, and accounting for tax. Speaking to a financial adviser or tax practitioner early on can save you from costly mistakes.”
How to rewrite your financial rules: a modern day reality
Hancox says you don’t need to overhaul your entire financial life by the end of the week. You just need to take that first step:
- Do a self-audit. Question your money habits, what you believe about money, and why you believe that. Sanlam’s Money Personality quiz is a quick way to understand the patterns behind your financial decisions and how to plan a future that’s based on your specific personality type.
- Have a family money conversation. If you’re living at home, contributing to the household, or supporting parents, have a transparent conversation about what you can contribute and what you need to save.
- Speak to a financial adviser. A qualified financial adviser can help you prioritise your goals and remove the emotion from financial decisions. Consider starting the relationship early in your career so that your financial plan can grow with you and your milestones.
Hancox concludes, “We look back at our parents’ world and think they had it easy. But at the time, they were probably also saying life is expensive and that they don’t know how they’ll ever get started. The sooner you understand your own relationship with money and start acting on it, the more confident and resilient you’ll be.”
