Savings– We cannot over emphasize the need to cultivate a culture of savings as it is a very strong tool for capital accumulation and ultimately wealth generation.
How can I save? The secret about saving money is to just get started, don’t wait till you get a raise; don’t wait till your expenses reduce. Just start now
Steps to take
- Make a list of your expenses– Pick a pen and write down all expenses, amount spent on recharges, subscriptions, drinks, fares, food, school fees, etc)
- Develop a budget– develop a personal budget, please don’t spend without a budget, your budget helps you compare expenses with your income (write down on the left side of a paper your income and on the right side a detailed list of your recorded expenses in step 1) PLEASE WRITE DOWN YOUR BUDGET
- Cut down on your expenses– subscriptions, recharges, social class such as hanging out with friends has been a serious financial drain pipe. Reduce your subscriptions; you don’t have to recharge your phone if it is not earning income for you. PLEASE DON’T RECHARGE YOUR PHONE FROM YOUR BANK ACCOUNT.
- Reduce ATM usage: You don’t have to go out with your debit/credit card always, intentionally leave it behind
- Delayed gratification–resist temptations of getting it now, avoid impulse buying. SAY NO TO NOW NOW DEALS
- Choose a project to save for-set a financial goal, determine what you want to save for and for how long (i.e rent, school fees, investment etc)
- Start saving now: now you have a project to save for, try to put away a minimum of 10% of your income
- Determine where to save: open a dedicated account without debit card, you can also initiate a savings plan with City Core Cooperative and Investment Society (citycore.com.ng)
- Automate your savings process: use direct debit, cheques and bank transfers to a designated account or platform such as City Core Cooperative and Investment Society (citycore.com.ng)
- Don’t fall for get rich quick scheme– remember that consistency is the key to financial discipline and growth
- Watch your savings grow
Abolaji Adegoke, Lead Business Development, City Core Cooperative Investment and Credit society Limited.