How to be richer without really trying.

  

Date Posted: 4/5/2013 5:31:59 AM

Posted By: florewan  Membership Level: Silver  Total Points: 949

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HOW TO BE RICHER WITHOUT REALLY TRYING.
a) BARGAIN HOLIDAYS: Going on a good holiday, even locally, has become a very expensive affair. And if you’re a family, a holiday really eats into your budget. Beach holidays always tend to be more expensive so why not opt for a holiday upcountry in other not-so-talked-about locations? Think rain forests, deserts, farm visits etc. You’d be amazed what an enjoyable holiday you can get for a fraction of the cost. Taking your holidays during off-peak seasons can further save you up to 50% of the cost during peak times, so avoid the Easter, August and Christmas holidays.
b) PAY TV: Do you really watch all those TV channels that you pay for? Most likely not. How about the PVR facility you pay for? The difference in cost between a regular subscription and the premium one can be up to Ksh. 7,000 a month. Over a year that is Ksh. 84,000. Ten years from now, at 5% return a year, that’s the Ksh. 1.1m you need to fund your child’s first year college fees! If that’s too big a change for you to make, consider shifting between bouquets, depending on your viewing needs at any given time.
c) HANGING OUT: It’s great hanging out with friends over lunch and after a hard day’s work, but have you added up those bills to see what it costs you? If all you had was an average lunch and a few drinks, it would cost you at least Ksh. 2,000 a day. Do this three times a week, and you’re looking at Ksh. 312,000 a year. Want to try projecting that over 10 years? Yes, it’s a hefty down payment on a mortgage.
d) MISCELLANEOUS: This is a favorite spending dumping ground for many, where anything that’s not in the

mainstream categories is lumped. It can add up to a tidy sum but because it’s details are not clearly identified,it is never touched. Account for your spending in specific categories; avoiding dropping it in as “miscellaneous” and it will restrict the leeway the category provides, giving you extra money that you did not have before.
e) LOOSE CHANGE: A friend decided to collect all the loose change lying about in the car, wardrobe, purse and the rest of the house, and put it in a locked piggy bank until it was full. It took two months. When it was opened up, she discovered she had almost Ksh. 4,000 – money that would have somehow found legs into the miscellaneous bracket.

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