Why 'Personal Finance' feels impossible — and how to finally make sense of it

Are you tired of feeling overwhelmed by the complexity of personal finance? Do you struggle to make sense of the numerous financial products available?

You're not alone.

"The financial industry is very complex and hard to understand," says Roelofse. For example, when choosing a medical aid, people often focus on affordability but then struggle to understand the terms and conditions when they need to use it.

One of the key issues Roelofse highlights is the way financial products are structured, making them difficult to comprehend. "Because your expectation is not really meeting the reality of the product," he explains. This is particularly true for products like funeral cover, which people often assume will provide life cover benefits, but may not. Roelofse stresses the importance of understanding what you're buying and what you're getting, especially when it comes to complex products like insurance policies.

Roelofse cites the Competition Commission's healthcare market inquiry, which found that medical aid plans often increase by 10% to 15% per year, yet the averageconsumer may not be aware of the costs and benefits.

He notes that this is a challenge not just in South Africa, but globally, and that the complexityof financial products can be a barrier to understanding.

“You need to have something short of an LLB just to kind of get through the summary and all the other bits and pieces in between," he jokes. He emphasises the importance of taking the time to understand what you're buying and seeking help from financial planners if needed. However, he acknowledges that this can be a challenge for the average person, who may not have the resources or inclination to do so.

If you're feeling overwhelmed by the complexities of personal finance, this episode is a must-listen. Roelofse's insights and advice will help you navigate the world of financial products and make informed decisions about your money. Click below to listen: