I have seen a number of Kenyans complaining on how their salaries get finished even before 15th of every month. One of my friends was recently bitter about her employer for refusing to increase her salary, she was contemplating resigning to try luck in business, but I told her to think twice.
There are many Kenyans who find themselves in this situation. For instance, a certain Member of Parliament was complaining in 2014 that his salary was not enough yet he was paid a monthly salary of more than Ksh1.2 million. In fact I saw his pay slip and details showed that he had a huge loan he was servicing, he was also living large.
I have listened to conversations even in the work place where employees are not convinced that their salaries are enough to even save for projects. I can tell you that even if you are earning Ksh 10,000 you have a chance to save some money. What makes people not to save is living large and spending lavishly. You find a person earning Ksh 20,000 and living in a house where he paid monthly rent of Ksh 10, 000, which is half of his salary. To be honest, this man will never know wealth.
We all know that living in Nairobi is not a joke; you have to squeeze yourself hard in order to remain with something to save. The most affected people are those who earn less than Ksh20, 000.They are really suffering because transport alone takes almost Ksh5, 000 per month. But I have seen some hard working Kenyans saving even Ksh2, 000 from their Ksh20, 000 monthly pay and achieving their goals. It all depends on how well you are organized.
If you are earning Ksh50, 000 you should first thank God that the amount is good enough to save at least Ksh10, 000.In order to save some amount you must prepare to live in a house which does not take a quarter of your monthly salary.A gross salary of 50,000 is taxed to remain around Ksh 42,000.This is indeed good enough to save.
The first thing is to look for a house that costs at most Ksh7, 000.This must be a bedsitter in pipeline,Donholm,Umoja,Githurai or Tassia.But you can get a good one bedroom in Kahawa West,Kitengela,Rongai or Kibera.
Once you have done so, ensure that you don’t spend more than Ksh 5,000 on food. Also, shopping should not take more than Ksh 5,000. Avoid shopping in expensive supermarkets like Nakumatt and Uchumi.
If you add the cost of transport, which should be around Ksh5,000,Rent which is Ksh7,000,Food which is Ksh 5,000 and shopping which is Ksh5,000.Then the total amount spend should be Ksh 22,000.From the calculations above, you realize that Ksh22,000 is remaining from your salary. Remove Ksh 5,000 for miscellaneous expenses and you remain with Ksh17, 000.
So, if you are earning a monthly salary of Ksh 50,000,you should be able to save Ksh 15,000.
One thing I must caution you is to avoid spending on alcohol and buying a car. These two things can exhaust all your savings.