The danger of the December soft life: financial bliss or impending doom?

As the festive season commences, many South Africans are eagerly preparing to adopt the much-talked-about "soft life". This phrase encapsulates a mindset of carefree spending, lavish experiences, and indulgent self-care after a long year of hard work. But beneath the allure of beach getaways, expensive champagnes, and extravagant brunches lies a deceptive pitfall: financial strain and regret that often accompanies January.

John Manyike, Head of Financial Education at Old Mutual, emphasises the illusory nature of the December soft life. “The truth is, the real cost of the soft life isn’t just what you spend in December, but often the financial stress and hardship you carry into the new year because of it,” he says. For many, this month has morphed into a period of reward after 11 months of grinding routine, but Manyike warns that unchecked spending risks plunging individuals into a cycle of transient pleasure followed by persistent hardship.

The phenomenon is highly predictable: as celebrations peak around December 16th, 25th, and New Year’s Eve, many find themselves momentarily transformed into “December millionaires”. However, as soon as the New Year arrives, they often face a rude awakening — an avalanche of January bills that threatens to upend their financial stability. “January knocks and immediately submits an invoice,” warns Manyike, pointing out the harsh reality that many must contend with when the festive glow fades.

Year after year, the pattern repeats: an initial phase of euphoria, quickly crushed under the weight of unpaid school fees, looming credit card repayments, and unforeseen expenses. The irony? The very same people who revelled in December’s lavishness often find themselves thinking of ways to mitigate their financial woes, turning from “December millionaires” to “January beggars”.

Manyike suggests that enjoying life doesn’t have to mean endangering financial wellbeing. “We need to start asking ourselves 'Do we truly have the finances to fund the soft life we want in December?'” he advises. His counsel promotes a proactive approach: setting aside a ‘fun fund’ responsibly throughout the year. This way, individuals can embrace the joys of December guilt-free, without dreading the financial hangover that usually follows.

The essence of a true soft life, Manyike asserts, transcends materialism marked by designer labels and luxurious getaways. “It’s about peace of mind,” he explains. “It’s being able to rest, celebrate, and spoil yourself without fearing debit orders and school invoices in January.” This authentic version of the soft life encourages a balance between enjoyment and responsibility, highlighting that real luxury lies in financial comfort and confidence — not in fleeting indulgences that lead to later regret.

As the celebration season draws closer, Manyike's advice resonates powerfully: “You can enjoy December, just don’t let December enjoy you.” By prioritising essential expenses — utilities, mortgages, and debts — while wisely allocating a portion of earnings to festive enjoyment, individuals can sidestep the seasonal pitfalls that have entrapped so many in the past.

IOS