Do you have a money issue that you’re grappling with? Well, Ask The Team (A.T.T) is here for you! We’re not financial management experts, but Team ABC is happy to share their personal experiences and lessons around money matters. Write to us today – firstname.lastname@example.org.
Hi, my name is Lewis, I recently got a job and my salary is Ksh25000 per month. Would you have any tips on how to save and survive in Nairobi?
Hi Lewis, congratulations on your new job!
This is a wonderful opportunity for you to develop a financial plan. Financial planning is deciding in advance how much to spend and what to spend on based on the funds at your disposal. It also ensures that you prioritize the things that may be important but not urgent e.g. saving and investment. To hack this, create a list of your needs and wants depending on their priority. When I got first job in 2010 my net salary was Kes17,000 a month. Because money was tight, I rented a single room along Jogoo road. My rent, inclusive of water and electricity, was Kes5,000. The proximity to my place of work allowed me to walk to and from work therefore cutting down completely on transport costs.
I did my grocery shopping in bulk over the weekend at the nearby Wakulima market. I would spend a thousand shillings on average. I also ensured that I cooked enough food to cover the next day’s lunch and I would therefore not have to spend extra money on food. Carrying lunch to work is one of those life hacks everyone should practice. I still do it to date. There’s a cardinal rule of money –’ Pay yourself first’. This is what kept me going each month. I created a standing order of Kes3,500 to a strict savings account. My savings were not affected even when I was broke as I couldn’t access the funds easily.
Being a first born, I had some responsibilities at home and I would make sure to send at least Kes2,500 for upkeep. I also ensured to treat myself to something nice worth about Kes2,000. Life had its challenges but with my savings I was able to manoeuvre and later on start a small side hustle. I sold second hand shoes online and this supplemented my salary. With time I was able to move to a one bedroom and before I knew it I had found a new job and my pay increased to Kes 40,000.
Looking back, inculcating the discipline to save and invest when I had little has helped me save and invest as I have gotten more. All the best!
A.W, Product Development and Marketing Department