Living paycheck-to-paycheck in Kenya is tough. I've been there; always blaming the economy, unexpected expenses, and a salary that felt too small to save from. But guess what? I finally took control of my finances, and I want to help you do the same.
In this article, I share realistic, practical steps to start saving-even on a tight budget. From tracking expenses to using the 50/30/20 budgeting rule.
Want to start building financial security even with limited income? This article is for you. Read the full article here and let's discuss: what's one small saving habit you'll start today?
STRUGGLING TO SAVE MONEY ON A TIGHT BUDGET IN KENYA? HERE’S HOW TO START.
Do you always find yourself running low on cash or living paycheck-to-paycheck? You are not alone. When I first joined the job market, I struggled with saving. Every month I would set aside some money, as savings, only to dip into it mid-month. By payday, I was back to square one.
I always blamed my circumstances— “my salary is too small,” “the economy is too tough,” or “I will start afresh next month.” However, this cycle continued for almost 10 years. Every time I thought of saving, my mind (what I call my “Chicken Little”) would scream, “what if it goes wrong?” Instead of saving, I wound up spending money on things, till now, I cannot account for.
However, everything changed when I finally took control of my finances. If you too are struggling to save money especially on a low salary, here are the three steps that helped me get started:
📌Track Your Expenses
Before you can save, you really need to understand where your money goes. When I started tracking my expenses, I was shocked as to how much I spent on small unnecessary things—airtime, snacks and impulse buying.
⚡Action step; write down all your expenses for a month, say by using the current month. Identify where you unnecessarily spend much of your money. That, is where you can cut back.
📌Budgeting - Using The 50/30/20 Budget Rule
Budgeting is the key to saving. One of the best methods I use is the 50/30/20 rule:
✅50% - essentials (rent, food, transport, bills)
✅30% - financial growth (savings, investments, debt repayment)
✅20% - fun and wants (entertainment, eating out, shopping)
Don’t go panicky that this rule won’t work for you, customize it! Even if all you can save is 500 KES per month, it is a start.
📌Start Small, Think Big
Saving money is not a get-rich-quick approach; it’s more about building a strong financial future. Right now, 500 KES or 1,000 KES might seem insignificant. But let’s face it, over time it actually adds up.
♦️Ask yourself:
"Would I rather blow 500 KES in an hour at a club, or invest it and watch it grow?"
📌Take action today:
✅Start tracking your expenses.
✅Set a monthly savings goal.
✅Stick to a budget that works for you.
This, is just the first step to a life-long financial growth even as a low-income earner. What’s one small saving habit you’ll start today? Please share in the comments!
Stay tuned for my next article as I share where to invest and grow your savings in Kenya!
Disclaimer: I am not a financial advisor and all I share with you is based solely on my experience in the financial struggle world.