Kenya is going through a harsh economic dispensation that is sparing very few households and individuals in its trail.
The prices of basic commodities have sky-rocketed making some of the commodities to be a preserve of a few who have the purchasing power.
All the financial, social and political conversations across the country is laced with talk about the tough economic situation.
Employees have not been spared either. Whilst the prices are aiming for the moon, staff salaries have plateaud. The disposable income is not growing at the same rate with the ever increasing prices.
In order to wade through this murky economic times certain deliberate decisions or choices have to be made. This include
A budget instills the discipline of spending on key items and sticking within your means.
To beat the economic blues, you will need to embrace the discipline of planing and writing down what you exactly need. Anything else that is a luxury can always wait for glorious days ahead.
With a budget you avoid the temptation of indulging in unplanned spending.
2. Shopping smartly
After budgeting it is important to make sure you do your purchases in the smartest way possible.
This may include shopping from areas where prices are known to be fairer, doing bulk shopping instead of buying single items especially on stuff that cannot go bad immediately.
3. Avoid the use of credit cards
We all know that feeling whenever the teller asks for money and you brandish your credit card and viola!! it’s swiped on the PDQ machine. It “feels” good and rich. And that exactly is the reason why your bank gave it to you.
Be careful not to slide into poverty courtesy of the credit card false feeling of financial power. During this hard times, it is wise to avoid swiping by all means.
Plan to do all your purchases through cash payment and when you run out of cash, then run out of the shop as well.
4. Cut down on your monthly subscriptions
You have Dstv, Zuku, Safaricom fibre, Netflix, Showmax,Startimes and all other monthly subscription services that you can name.
The question is do you really need all the services you have subscribed to and do you need that particular package or bouquet you got.
To ease your financial burden, you may need to review and cut off any subscription that is not very necessary to your livelihood.
You may just need the local TV channels for the time being. All other channels could be done away with thus relieving you off the unnecessary costs
5. Don’t take a car loan
You may just have joined an organization where everyone heads to the parking lot in the evening while you are the only one who uses the normal exit on foot. This can create unnecessary life pressure.
To avoid burdening yourself during this tough times, make a choice to deal with the pressure positively by not buying a car that you had not planned for. Life’s pressures have never paid anyone’s bills, you will.
And just like the car, ensure you do not get into a debt or a loan situation since this will drastically reduce your purchasing power and soon the tough financial weather might negatively impact your workplace performance.
6. Cook and carry packed lunch to work
You will be surprised how much money you will save besides eating healthy when you choose to carry lunch to work.
Just make sure that you enjoy the meal from the workplace cafeteria to avoid filling the office with the aroma of your nicely done home food.
7. Choose the right neighborhood
This is another unnecessary pressure that employees often succumb to.
You realize all your colleagues live near the office in the posh neighborhoods then you also decide you want to join the pack. Not so fast my dear even if you got a promotion.
Prior to moving, check out your motive and and long term money power. Will the move make your current life better or bitter. Will you manage to meet your basic needs or soon you will sink into a pit of depression.
Do not be in a hurry to make capital decisions during this tough economic moments.
8. Car pool with colleagues
I once worked with colleagues who came from the same estate. They had an interesting arrangement with a cab driver who also served as the office taxi service provider.
They would all use the Voxy taxi car every morning instead of them driving or using public means. The cost incurred was way cheaper besides being efficient.
This tough times may mean that you reach out to your colleagues in the same estate and agree on a car-pooling strategy.
Basic accounting points to the fact that if three of you carpool, you will save the entire amount that would have otherwise been spent by the other two since the cost of fuel consumed is dependent on the distance covered and not number of occupants.
9. Target discount and sales promotions
Being patient and waiting for sales promotions and discounts would help you save significantly.
Household utilities, electronic equipment, clothes etc can all be bought at nearly half the price during sell-offs.
Be on the lookout for any upcoming promotion and make good use of it, it will save you some cash.
10. Avoid betting and gambling
This is the new wave that has hit our country and everyone is looking forward to being the new Sportpesa millionaire and hog the limelight.
Well, to be safe with your hard earned cash during this economic mire and even thereafter, desist from the betting craze. Do not “invest” in vehicles that have no empirical proof of repeated success.
Keep your money safe and use it on common sense expenditures. Betting will not only make the already hard situation worse, but will soon turn you into an addict and significantly affect your finances and career life.
I do hope the above tips will offer some solace into your spending.
Kindly share your thoughts on the comment segment below.