I am exactly
almost three weeks old now in my newly discovered life after I relocated to my
rural home in Machakos and I am already regretting why I hadn’t moved here
sooner! Currently on top of my to-do list is to try and find a nice camera to
capture the absolutely beautiful birds, and how the grass makes my beat down
Reebok shoes look epic during my morning run. This is after I find enough money
to install Wi fi sooner more than anything else.
My almost
one month of staying in Macha has brought many things under my radar; some
which I hadn’t been aware about before and others that I knew but not with this
current conviction. As a child and adolescent, I saw my parents go through a
lot in order to cater for our livelihoods. When I became a little older, I came
to appreciate their struggle but at the same time, after interacting far and
wide, learned that our lives could have been a bit different and a lot better
with a bit of proper planning and a few adjustments.
For an
average family existing in Nairobi or as is the case with most urban centers in
the country, their biggest budgeting goes towards rent, transport and food (Lets use this as our hypothesis, omitting
rather tertiary expenses such as college fee etcetera) every end of the
month, almost 80% of the entire monthly income caters for the three; if to say
this family saves or invests 20% and lives within its standard of living- which
again is a rare occurrence. A life lived under this formula means you will need
many years if not decades to achieve financial independence. It simply means
everyone else is using your money but yourself. In a diagram, it would be
something like: Every month you are paid
> Every month you pay your landlord/lady, transport, food > Every month
you are broke which just about enough money for the next payment cycle.
During this
time I have been in Machakos, I have many unresolved issues to worry about that
have other names less traumatizing than rent, traffic trouble and unending food
expenses. If you are caught up in this trap and you are looking for a way to
financial independence, which only is achieved through savings and investment,
I suggest you begin thinking seriously about where your money is going to at
the end of every month. I do not want to go into detail on this topic as you
may not be accustomed to reading finance on this blog; you may want to read
another blog I write for Gradfarm.wordpress.com in case you want more finance
insights. Anyway here is a simple plan and a few steps I have outlined which you
can begin to implement in order to position yourself on the road to financial
independence:
1.
Living within your standards of
living
Do not try to impress friends or anyone else
with things you are incapable of maintaining.
2.
A change in lifestyle
Check for
areas where you are being extravagant and make adjustments.
3.
Pay yourself
For every
fixed income that you receive, deduct a reasonable amount for paying yourself.
Could be 5% or 10% or whatever the case is.
4.
Save/Invest
Save or
invest at least 10% of your total monthly income for starters.
5.
Give
It’s true;
blessed is the hand that gives. Decide on a percentage of your income that will
go towards helping the needy. Remember you only give only up to the extent you
are capable. I strongly suggest that you personally deliver your offering to
people you are certain are in need of the help.
//Thanks for
stopping by, And all the best!
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