How Kenyans can cut expenses despite high living cost
Kenyan citizens living in urban centers face a significant financial burden due to the high cost of living in these areas. However, there are several ways that Kenyans can save money despite these challenges.
Here are some tips for saving money in urban centers.
First, it is essential to create a budget. This involves listing all monthly expenses and categorizing them into essentials and non-essentials. This helps identify areas where money can be reduced and allocated toward savings.
Tracking spending is also important. Keeping track of all expenses can help identify where money is going, leading to a better understanding of areas where spending can be reduced to save more money.
Cooking at home instead of eating out can be expensive. People can also meal prep to save time and money. Using public transportation, carpooling, or cycling can help save on gas, maintenance, and parking costs.
Another way to save money is by reducing utility bills. This can be achieved by turning off lights and electronics when not in use, using energy-efficient appliances, and adjusting thermostats to save on electricity and water bills.
Shopping smart can also help save money. People can look for deals, discounts, and coupons when shopping for groceries, clothing, and other essentials. Buying in bulk is another way to save money and reduce waste.
Starting a side hustle is another option. It can be an opportunity to earn extra income. People can sell items online, do freelance work, or offer their services to friends and family.
It is also important to avoid debt. Avoiding unnecessary debt and paying off outstanding debts as soon as possible can help avoid high-interest charges.
Prioritizing savings by setting savings goals and regularly contributing to a savings account is also essential. Starting small and gradually increasing savings as people become more comfortable with the process is a good way to start.
Also, reduce entertainment expenses. People can consider reducing the number of outings or finding free or low-cost entertainment options.
Negotiating bills with service providers is also an option. People can negotiate with their internet, cable TV, and phone service providers for better rates.
Buying second-hand items can also help save money. People can shop at thrift stores or online marketplaces for clothing, furniture, and electronics.
Another way to save money is by reducing credit card usage. Using credit cards can lead to overspending and accumulating high-interest debt. People can limit their credit card usage and pay off the balance in full each month.
DIY projects are also an option. Instead of hiring someone to do a job, people can consider doing it themselves. DIY projects can be a fun and rewarding way to learn new skills and save money simultaneously.
Finally, cancelling unnecessary subscriptions can also help save money. Taking a look at subscriptions and cancelling any that are not being used, such as streaming services, and gym memberships, can lead to significant savings.