Connect with us

News

PERSONAL FINANCE: Do you ever track your expenses?

Published

on

Have you ever tried to lose weight, keep fit, or maintain a healthy diet?

One of the highly recommended procedures that you must undertake to achieve your goal is faithfully keeping a record of everything you eat and drink.

The road to a healthy lifestyle becomes much easier if you habitually keep a close eye on the type of food you eat, including the amount of sugar, carbohydrates, proteins, and fats you consume.

When it comes to maintaining a healthy financial lifestyle, the same philosophy applies. You must keep a record of everything you spend your money on. This involves knowing where your money goes every month and turning this knowledge into a source of financial wellness.

For example, can your account for every shilling you spent in March? None the least, tracking expenses is usually easier said than done. Let’s take a look at some of the ways you can get it right:

What is your monthly net income?

This is the first thing you need to know. Personal finance coach Robert Kimani says that knowing what your monthly net income is will give you the benchmark figure with which you will contrast your expenditures.

“”You must have a correct net figure that shows how your money is spent on your fixed and unfixed expenses,” he says.

If you’re employed, your net income will be the amount you have after taxes and deductions such as NHIF or NSSF have been made. It might be harder to get a monthly standard figure if you are in entrepreneurship because business income is not constant. But you can get a good idea by getting the average of net income from the last few years and adjusting it on a monthly basis.

Rob Berger, a financial advisor and the author of Retire Before Mom and Dad, says that apart from your net income, you should also track your net worth. “You need to come up with a statement of your net worth. It should include a list of the assets you own and the debts you owe,” he says.

Rob also says you must not literally include every asset you own, but all debts on your statement. “Include critical financial channels such as checking and savings accounts, investment and retirement accounts, and, businesses and real estate ventures. You can track these using a spreadsheet such as the Google Sheets spreadsheet,” he says.

There are a host of mobile phones and web financial tracking applications that you can use to track your spending.

In Kenya, there are certain mobile apps that have been designed in such a way that individuals and businesses can monitor both their daily and monthly expenses. There are also apps that will give you details on where you spend your money, with whom, as well as give you added advantage such as saving calendars and programmes.

Take SpendTrack for example. This online platform will allow you to track your monthly expenses. It is subdivided into categories that allow you to examine your utilities, communication, domestic, entertainment and transport expenses.

It will also track your income; from investments, rent, dividends, salary and bonuses, as well as your general assets and liabilities.

When you set out to download personal finance mobile and web applications, it is recommended that you opt for trusted app builders. For example, when downloading apps on your phone, you can start with well-known app stores such as Google Play of Apple’s App Store.

This method will help you track and tame your expenses. To begin with, you need to identify what your expenses are.

You’ll then need to get physical envelopes, and label each with an expense. For example, you can label the envelopes as entertainment, clothing and shoes, utilities or transport. You will then put money in each envelope according to the specific amount the expenditure written on the envelope will consume.

For example, you can put Sh5,000 in the groceries envelope and Sh6,000 in the utility bills envelope.

“Your spending will stop once an envelope for a particular item runs empty. This will ensure that your money tracks itself throughout the month,” says Kimani.

source:Saturday Nation

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Introducing Baba Mboga

Published

on

If you told Sydney Muhando last year that he would be running a fresh produce grocery city business, he definitely would not have agreed.

The online comedian and drama teacher who is also a video editor was on stage with his trainees in a competition when the first case of Covid-19 was announced in the country.

This was followed by indefinite closure of schools. For him, he knew it would only take a few days before schools reopen. It has now taken six months for candidates to resume their studies.

In the same period, Mr Muhando has grown his online business, Baba Mboga Deliveries, a name he says he chose because of its uniqueness.

Every morning, he wakes up at dawn to go to Wangige Market, one of the largest markets in Kiambu County where he gets assorted fruits and vegetables.

He then sorts them according to what has been ordered and packages them in bags ready to deliver to his customers doorsteps.

Social media pages

Most of the time, people especially in urban residential areas purchase their vegetables and other fresh products from local shops just near their homes commonly known as ‘Mama Mboga’.

“I stayed for two months without a job and life became difficult and  I knew I could not sustain myself for long. My friend had been sending me to the market to get grocery for him at a fee and that is how I identified the gap,”  he says.

With a capital of Sh800 and running short of time, the 28-year-old started purchasing more food from the market, posting them on his social media pages to let his friends know about it. He then delivers them to his customers.

He explains that being a city, many residents hardly get time to go to the market, especially to get traditional or indigenous vegetables. There is also a growing culture for online shopping among Nairobi residents.

“In a city like Nairobi, most people are busy, so I took advantage of that to serve them in their own houses. Many people, were also scared of going to crowded market places fearing that they would contract the disease,”  he says.

Free delivery

For months, Mr Muhando has garnered a huge following both on Facebook and Instagram.

But it is not that easy to open and run social media pages for a full-time online business. Most businesses find it difficult to produce content to market their products.

Luckily, for Mr Muhando who is an online comedian, anything to do with technology is not so hard for him. It only took an hour to create and set up his Facebook account.

“It takes witty captions and for you to have a good camera. It is also important to post the prices. Without seeing the prices, the customers will not be interested in the products, especially if it’s a small business,”  he adds.

He additionally posts the menu for his vegetables, with various discounts to attract customers including free delivery for those purchasing goods worth more than Sh1,000.

To have a variety and almost everything one needs in their kitchen, Baba Mboga apart from greens and fruits also sells spices such as ginger, garlic and onions, with starches such as sweet potatoes and arrowroots as well as eggs.

Invest in branding 

To grow his business, Mr Muhando says it was important to invest in branding for his audience to take it seriously.

He targets families and the busy clientele who could be at work or travelling. On a good day, he makes up to Sh2,000 after delivery.

In his recent innovation, as it is by some business owners who want to add value to their products, he has also introduced the bachelors package, where the traditional vegetables, which usually take time to be made are picked and sorted for easy preparation.

He also does extra services including chopping onions, tomatoes and preparing fruits or vegetables depending on the customer’s orders. Afterwards, he packs them in a branded reusable shopping bag.

As his business expands, Mr Muhando has sought partners who work with him, one, who is in charge of transport and deliveries while another is in charge of a walk-in store he is putting up.

Major challenge 

His major challenge is finding the balance between the cost he uses to purchase the vegetables and delivering them at the customer’s doorstep.

“Since my customers are spread all over, the main issue is balancing the delivery that it does not eat into  my  profits. Competition is also high since more people are now tapping into this business so it requires a lot of improvement and incentives for the customers,”  he says.

Mr Muhando plans to expand his business and even have a walk in store, such as the popular Zucchini, which will in turn create employment for more people as his contribution to the country’s economy.

His advises to young people who unfortunately lost their jobs during the pandemic, “look for other jobs or set up your own businesses,  however small”.

“Keep trying, remember quality service is your biggest advertising,” says Mr Muhando.

by nation.africa

Continue Reading

Lifestyle

Shock after man kills son before taking his own life

Published

on

Residents of a Naivasha village woke up to rude shock after a middle-aged man killed his three-year-old son before hanging himself on a tree.

The man strangled his son in Kipkonyo Village while the mother was away before committing suicide, plunging the area into mourning.

Tears flowed freely as relatives and friends tried to come to terms with the incident before police moved in to collect the two bodies.

Record statement

The 30-year-old man, after killing his son, threw the body into a latrine under construction before stripping naked and hanging himself.

Naivasha police boss Samuel Waweru confirmed the incident, adding that security officers had collected the two bodies and opened an inquest.

He said they would be seeking the wife who was not present during the incident to record a statement as part of their investigations.

“Initial investigations indicate that the man first killed his son by twisting his neck and dumping the body in the family latrine before using a rope to hang himself,” said the police boss.

A neighbour, Isaac Lang’at, said the deceased had for a long time clashed with his wife leading to a separation before he decided to kill himself.

By PD.co.ke

Continue Reading

Lifestyle

Meet young Kenyan lady playing key role in Joe Biden’s presidential campaign

Published

on

Esther Ongeri, a young Kenyan living in the US is the talk of the town after Kenyans learnt that she plays a key role in the Joe Biden presidential campaign.

According to Biden’s campaign website, Ms Ongeri is the Director of Special Projects in the Biden 2020 campaign and has served in the position since July.

Previously, she worked as the Executive Assistant to the Campaign Manager and Special Projects Coordinator in the same campaign team from June 2019.

Ms Ongeri held the posts of operations coordinator from September 2017 to February 2018 and special projects assistant to the CFO from February 2018.

She is an alumnus of Saint Peter’s University in New Jersey where she graduated with a Bachelor’s degree in political science and government in 2017.

According to her LinkedIn profile, the brilliant Kenyan was a staff assistant to New Jersey senator Robert Menendez between May 2016 and July 2017.

Ms Ongeri started off as an intern in the office of Senator Menendez between August 2015 to May 2016.

She attained her high school diploma at Saint Dominic Academy in 2013 after joining the school in 2009.

In the November 3 US elections, former Vice President Joe Biden is seeking to unseat incumbent president Donald Trump and both are busy on the campaign trail.

Continue Reading


poapay3

Like us on Facebook, stay informed

NEWS TRENDING RIGHT NOW

2020 Calendar

satellite-communication1.jpg

Trending

error: Content is protected !!