I shake my head when I see you guys quoting crazy salaries like 400k.
Sometimes I think you guys live in La La land.
More stats regarding the plight of the true middle class who earn 35k a month LINEARLY for 15 years haha.
Never bring up excuses like “if you make 100k of 150k” on here. Less than 0.05% of Kenyans even make that.
https://x.com/rufaske/status/1945190819213779207?s=46&t=BH6h7QIXWsDUqohBm7IVBA
Hapa kuna mbirrionnaires…
There is one thing that I know to be true. Financial literacy and discipline can go a very long way even for a low income earner. If you have been earning 35k from your regular job since 2015, and have never been promoted, and don’t know how to invest, you would still be worth 1.2M today if you saved 10k/month and lived on 25k/month. That assumes that you never invested a single cent even in a fixed deposit account. If you had invested that 120k/year at 10% p.a, it would be worth 1.9M today.
You can accumulate a tidy sum even with a modest salary if you have discipline and patience for compounding to do its thing.
self-proclaimed mbirrioinaires who can’t even prove it.
This back of the envelope calculation is totally off. We know it’s impossible to save on that salary if you have a wife and maybe 2 kids which most people in that bracket do. It’s not even about financial literacy. It’s just that salaries in Kenya are too low and you can’t out-save such low salaries.
Rent: 8-10k in Zimmerman for a 1 bedroom (your kids share a double decker in the living room)
Transportation: 5k (to and fro)
House Bills (electric, water): 2k
Food: 5k-10k
Pesa imeisha already and you have to borrow to pay school fees and cloth those kids. It’s not that the parents are not financially literate. That type of salary is simply not enough. Let’s even assume Pastor Ezekiel prayed for you and you managed to save that 1.9M, your kids are almost done with high school (if they don’t even have school fees arrears - a good provincial school in Nairobi/central/Western/Nyanza costs 50k per year minimum per child unless you want them to end up selling mandazis kwa neighborhood) and they need to go to college in Kasongo’s economy.
Hiyo 1.9M inaingia kwa maji chubwi. Emergency moja kwa familia pia will wipe out that 1.9M like nonsense. Accumulation of assets is nigh impossible on Kenyan salaries unless you are a 30-35 year old bachelor. And you know this as well.
Have you factored in inflation in this tugege mazematics?
The only way to break the cycle of paycheck after payment where unasurvive hand to mouth is to have multiple streams of income. Hata an extra 150 per day can make a big difference in sorting a recurrent expense
Hiyo zateh fae kei hata mumetoa statutory deductions kweli? Real figure is closer to 28-29k after giving Zakayo his dues.
Note the difference between mbirrionnaires and billionaires. Mimi nitawapigisha house tour kama nmevalia short na vest, wacha nimalizie ka area fulani ndio elders wasini karange nayo.
Food 5 to 10k.. ngumu sana.
Shopping huwa ikiwa chini ni ya 30k na daily use ya almost a thousand. Weka 60k on food. Rent 15k, others weka 30k. Kwa ufupi one needs 100k to survive. To do something na maisha yake.. msee anahitaji 150k and above
100k? Aii, many years ago I joined an organization yenye starting was just above 100k. Na tulikuwa close 2000 employees. 0.05% ni small number, maybe 1% of salaried? But umesema ukweli, watu hapa husema 100k as if ni norm, it’s definately not a norm. I have seen several payrolls in my professional life.
You can’t outsave your way out of poverty.
Sure. But if you save 10k/month for 10 years you will have 1.2M. That’s before investing a cent. Kwa hivyo watu wawache excuses that their income is too low, especially if they earn more than 50k net. The truth is that they are bad at managing their money. A guy who lands a 50k net job at 25, should have a net worth of at least 2M by 35M. Nothing less and no excuses.
Rustler time zake nikikasirika, namezanga zaidi ya 100k on a weekend. Just sayin’ ..
kenya ukiwa na gari na own house kwa 50*100 ni ivo, utaishi ile life watu wengine wanaishi, haijalishi wao ni millionaires ama billionaires.
Few understand this. In your own plot and house, you’re the alpha and omega.
Hii ni kitu husumbua diasporans sana…hawaamini vile low middle class earners are effortlessly making it on a ksh 60k salo, loans, chicken rearing and maybe ngombe moja ya maziwa kwa quarter acre yako kwa nyumba ya 2 bedrooms. Diasporans are so obsessed with our lives bana…they are earning $200k per year lakini hii yetu inawasumbua akili sana.
If you look closely, Kenyans in Kenya are the ones who are obsessed with those in the diaspora. Aren’t you the ones who say they clean toilets? I’m actually surprised you quoted that they earn $200k. Usually, it’s always negative stuff.