You may not think it is possible, but it is. You can live on half your income, saving the rest for that investment you have always wanted to make. Assuming you are a naturally determined person – which I think you are if you are reading this, the only key you need is sincerity.
How to begin is to think “cut, cut, cut” back on your expenses. It is a bold step to take but if you are aware of the new direction the Nigerian economy has taken, you will agree this is a big favour to yourself. Even if you are not able to save half because of some conditions beyond your physical control, at least have it as a goal to get very near to half. Living on half saves you from financial ruin and prepares you adequately for that rainy day. Believe me with the state of things in the country, there may be many rainy days and you better have a buffer for them.
Whether you are married or single, you can make it happen. If you are married for instance and both of you earn salaries, decide to live on one. As a single you save half.
Revise your eating habits and decide what must change for you to attain your goals. You can apply that to every aspect of your life. Track your spending habits in a month. How much are you spending in a week and take inventory of necessary purchase and any frivolous or impulsive buys? Cut the things that are not necessary or that are not needed immediately.
In a week you can decide to spend a quarter of the money you usually spend on a day. Limit yourself to only the essentials. When you go to the market or mall, take a list and stick to your budget.
Create a separate account not for your spending needs. Set a goal on the amount you want to spend on a weekly and monthly basis. To stay faithful to this account, you can connect your earnings to it, in such a way that when any money comes into the account.
Consider the expenses you make on your home and cars. We often embark on small projects that are mostly do-it-yourself, yet many will expend money trying to accomplish it. For instance, projects like repainting your apartment, cleaning the faucet, washing the water containers and so on. If you plan to travel outside your stations to another within the country, do you have really need to fly? What if you spared the expenses on flight and go by road? If you worried you may arrive late, why not leave earlier than you planned before and get there early enough to check in, rest and be ready for your mission? In places where you have friends, reach out to stay with them while on the trip so you can save on accommodation.
When there is family involved, ensure that you carry everyone along. Keep them in the loop of your austerity plan from early. Include them in the financial reviews and make it a family activity. You will not only be saving money, but teaching your children about the value of money while they help you reach your goals by being careful about their financial requests. It will pose a lot of challenge, but with persistent, you can pull it off.
FRANK ELEANYA
