#AskKirubi: How to develop a Saving Culture


Earn, Spend, Save OR Earn, Save, Spend?

Which of the above do you actually do?

I once blogged about the choice of being wealthy, being totally in your hands. And I must say that to this very day, I stand by those words.

I’ve heard it said, pun intended, that the only way to make money is to either inherit it, to marry into it or to steal it. But in all fairness, the majority of us cannot fall under any of those categories.

I am not one who believes on getting rich but rather, generating wealth and building your asset base. However, majority of us have one problem, we want to live lifestyles that we cannot afford or sustain for that matter.

A friend of mine once asked how I define the middle class and I answered, ‘those who live beyond their means’. This is very true because you are either driving an expensive car that is on loan, living in an apartment which you are struggling to pay rent or struggling somewhere to keep up with your lifestyle.

We want to become successful and get rich but we do not want to embrace the culture of saving. Now, how else do you want to get capital to start your own business or money to invest in the real estate and the stock market?

For a majority of us, our parents probably couldn’t afford to take us to expensive schools where we made connections with rich folk that have the resources to patronize our business. We went to normal folk schools and probably received substandard education and probably had an even harder time landing that first job.

But what are we doing to ensure that we fend for ourselves and those around us?

We all have what I call ‘wealth’ goals… from owning a home, having a certain make of a car, having a desired bank balance or simply meeting all your obligations, yet you still have money left to play with.

But how many of us dedicate their energy and time towards achieving these goals?

You need to identify your most valuable and profitable activities that will help you achieve these goals. Don’t just sit and borrow money, let your money work for you. Look for various avenues to invest and grow your cash.

Spend less, save more and accumulate wealth and money that you can freely spend in future.

Keeping your finances on your mind on a daily basis makes a huge difference because if you don’t focus on it, then your finances suffer. It has worked for me and I am sure it will work for you.

All the best!

CHRIS KIRUBI :Chris is a Kenyan industrialist and entrepreneur whose interests lie in insurance, media, manufacturing and more. His passion include empowering the youth in Africa.