6/10 Kenyans are employed. 93% of them, 9 in every 10 employed, earn less than Ksh 40,000. Most of these are under contracts of between 6 months - 3 years.
To live in Nairobi, an average one bedroom house with not so bad security and frequent water supply will set you back Ksh 14k. Monthly household expenditures will cost approx 10k if you are frugal. Kenya Bureau of Statistics averages that amount at Ksh 17k per person, per month. Transport 4,800 bob.
So out of Ksh 40k gross, your net savings, assuming all factors remain constant = (40,000 - 12,000(PAYE) - 1,080(NSSF) - 1,000 (NHIF) - 14,000(Rent) - 10,000(Household exp) - 4,800(transport) + 1280 (tax relief) = -1,600 bob.
This means having worthwhile investments is beyond the reach of most. On average, a person’s salary will increase by a maximum of Ksh 100,000 in their 41 years of employment (Assume you start working at 24 years and retire at 65 years).
For the employed, lucky is (s)he who gets employment with the government under a permanent and pensionable scheme. Reason being, you will most likely have a vibrant union protecting you, your average salary will be Ksh 47,000 and rising steadily over the years and have access to loans over a long period of time.
Ooh, if your job allows, seek a transfer out of Nairobi
Cosigned. I once had a discussion with a friend. A lecturer in K.U saving 100k per month would take almost 4 years to afford a 4.8 million plot at Kahawa Sukari…if there are still any and assuming that the price of the plot remains constant which is impossible. Hapo hata hujahesabu kutengeneza nyumba…and most people assume that a lecturer position is a lucrative job (which it should be).
I agree. A good example is teachers in public schools. In the village, a secondary school teacher lives like a rock star and has a lot of cash left to invest. Hapa Nairobi very few people will admit being teachers, leave alone affording a decent life on a government paycheck.
True but hio PAYE is wrong, for 40k gross PAYE is around 5500. Kuiishi nairofi ni taaabu juu ya taaabu, You earn more in paper but left with nothing in reality, working from a very beautiful office but living in a very bad house, dressing sharply in tie and suit to boot but having few coins in the pocket. After all this unachafua meza weekend. You wonder
A lady friend of mine was in K.U in the late 70’s, she once told me, kuna student wali buy plot Hapo kahawa sukari na pesa ya university boom.
She told me they used to tease and make jokes at them, ati wacha kijifanya mzee bla bla bla… Then she told me, if only i knew.
Then the guy saving 100k per month from teaching hapo K.U will never own a plot there…unless ni loan na atalipia for many years!!Technically, Kahawa sio ya smallfish kama lecturers sasa.
Extra, extra, read all about it
They say you can win anywhere if you can win here
And you ain’t been no where if you ain’t been here
Hustle hard, yeah it really ain’t a game mane
Same places, different faces, on the train mane
sometimes security na comfort ya mshahara ndio undoing of many unemployed. Ukiwa biz inabidi ucheze gangster juu hakuna gurantees ata ukimake a kill u still wake up early the next day to hustle the next coins.