The FinSavvy Graduate Safety Net, which will have a simple stokvel model initiative is an initiative created & planned by Viwe
Loyiso Potelwa which aims to alleviate the mental and financial stress that members of the
youth unemployment population suffer as a result of not being employed even though they
have obtained the necessary qualifications to be employable. The Graduate Safety Net will be
carried out in collaboration with the FSP licensed firm PSG Wealth East London who will be financially managing
and investing the funds of the initiative. To read up on PSG Wealth, go to www.psg.co.za.
The Graduate Safety Net is an initiative that will change the landscape of the plight of
unemployed matriculates and graduates through; formalizing the qualified unemployed
youth, helping them obtain practical work experience and essentially accelerate the process of
decreasing the youth unemployment rate while giving learners and students light at the end of
their studies whether they find employment or not. All of these points mentioned above all
contribute to the important goal of making an effort to attend to the mental & financial stress
unemployed youths suffer on a daily basis as well as to make a concerted effort to ensure the
livelihood of those learners and students still in school at this present moment.
The FinSavvy Graduate Safety Net is an initiative that has the potential to be the corner stone in an independent effort to bring a fresh and sustainable solution to helping eradicate the problems that stem from youth unemployment in a time period less than that of the state. Parents of tertiary students, parents of students who have just finished matric, parents of students in primary & high school (more especially learners in grade R-7 and especially grade 10), high school learners, tertiary students, tertiary institutions, NSFAS and other corporations in society (Referred to from now on as “the aforementioned group”) now have an opportunity to invest in The FinSavvy Graduate Safety Net initiative that will aid new graduates who cannot find work for their first (and potentially their second) full year out of their secondary or tertiary institution. The initiative will work by members of the aforementioned group contributing to a stokvel monthly that will pay new graduates and new matriculates a stipend in their first (and potentially their second) year out of secondary or tertiary school while they are unemployed & looking for work.
The initiative will work by the aforementioned groups paying a montly amount of R75, R135, R200 or R300 a month per student over the course of the students schooling career. Should parents feel they wish to pay higher monthly figures per month to guarantee their potentially unemployed youth a higher stipend. The minimum time frame to be registered on the initiative to qualify for the stipend is 3 years and the maximum time frame is 6 years. This requirement to qualify for the stipend coupled with obtaining a qualification while registered on the initiative is having been registered on the initiative for at least 2 years and a half (30 months) as well as having paid all 36 or 72 monthly amounts. Members of the aforementioned group will pay the monthly figure they choose to pay (either R75, R135, R200 or R300) over the course of 3 or 6 years (at least 2 and a half years consistently to get the 12 month package stipend and at least 5 years consistently to get the 24 month package stipend) before their unemployed youth gets their monthly stipend.
The monthly stipend would only last for a period of 12 or 24 months but it will help keep the currently unemployed matric or graduate on their feet, allow the recent matric or graduate to help their family, buy toiletries, socialise and just to have some financial security and be able to obtain potential necessities such as credit cards and have the equivalent of a payslip for any other official reasons that could make the matric or graduate’s life easier whilst unemployed. Having a constant “income” could also help recent matriculates and graduates be able to qualify to purchase a car if a car is necessary for their first job. This money will also help them pay for necessities such as printing, traveling and presentable clothing for things relating to job interviews. The unemployed youth will also receive information from us as FinSavvy on places they can go gain work experience from while unemployed but receiving the stipend from FinSavvy. The money could also be used to pursue entrepreneurial activities as well, which is encouraged.
Students who do graduate and get a job will have a safe keep that will help to sustain them for 12 or 24 months should they become unemployed within 5 years from the day they have confirmation of them matriculating or graduating (results having been released). They must have been retrenched/medically advised to leave their job. They may not receive the stipend if they voluntarily left their job for nothing or got fired for breaking company rules or national laws just to get the stipend as that would make the model counterproductive. There will also be considerations for the non-receipt of the stipend if the youth was fired on grounds of breaking the law.
The R75 per month option guarantees a R750 monthly stipend during unemployment.
The R135 per month option guarantees a R1 250 monthly stipend during unemployment.
The R200 per month option guarantees a R2 050 monthly stipend during unemployment.
The R300 per month option guarantees a R2 900 monthly stipend during unemployment.
Either of the 4 options above can be committed to for a minimum of 3 years (36 months)
over the course of your education which will result in the monthly stipend lasting for 12
months of unemployment.
OR Either of the 4 options above can be committed to for a maximum of 6 years (72 months) over the course of your education which will result in the monthly stipend lasting for 24 months of unemployment.
Download your preferred choice of a plan contract under the heading “Contracts” on the right of your screen, either the R75, R135, R200 or R300 per month plan contract. Read & initial the 3 pages, fill out the contract declaration and email it along with the required ID documents to firstname.lastname@example.org and you will be registered.
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