₦airaland Forum

This will be very useful to families as well...
Managing family finances can be a tough job especially if the family is on a fixed income with no other side hustle.

First step is to calculate your total monthly income. You have to be factual. Do not speculate or add cash receivables. Also note that you can only manage what you have at hand.

The first step is savings. You really need to learn how to save if you are on a fixed income (salary earner). Your salary is fixed but your expenses are not. Therefore you need to learn how to save.

What next after saving? You need to benchmark your savings. What this means is that the money you have saved cannot be used for expenses rather it will be utilized for further creation of wealth...

which leads us to the next stage investment. People often think you need to have millions before investing. As a beginner I will recommend low risk(risk free) investments like Fixed Deposits, Call deposits, TBs, Mutual Funds and Bank Guaranteed CPs. Good thing is, you can start investing with as low as 100k. At first your interest will be insignificant but the good thing is, keeping your funds in these platform reduces the temptation of withdrawal and also as the investment matures, you might have saved up to add to it.

The next step will be how do I grow my savings. As a fixed income earner, growing your savings might be difficult. But if you are already investing, the interest from your investment can be used to cushion your expense hence allowing more room for savings.

Also we can increase savings by delaying expense. Let's say you want to buy a car or a refrigerator in January, but you delayed the purchase till June. While the price of the car or fridge might still be same, you have already invested the funds for that six months period. The interset earned can get you a table gas or a washing machine.

Buying what you need is also essential. Make budgets before spending and be sure about something before buying. Look out for less expensive stores, ensure you keep your coupons and always use it.

Also try and follow my simple triangle of personal finance which is: save, invest, and spend...spend wisely...

Thank you....

hmmmmmm

who no like beta tin?.BUT ''its only when the eyes is full with tears that it drops on the chest''

Lizzyangel:
hmmmmmm


who no like beta tin?.BUT
''its only when the eyes is full with tears that it drops on the chest''

Na so o my sister. Salary wey don finish before e come self. May God help us

Nice article...really cool

bluskyee:
Nice article...really cool

Thank u