Christmas is over and the New Year is finally here!! It is a good time to evaluate your December

spending spree. Yup! The deals were pretty good and you couldn’t but buy them, but, did you spend too


You finally summon up the courage to look at your bank account balance and immediately, number

one on your New Year resolution is ‘Become more financially wise’ or ‘start saving more’ or

something financially inclined. Yet, we both know how intentions are easily dropped, so make up

your mind to start taking actions now.

We have 5 financial action points, to assist you with that New Year resolution for your finances.


It may sound somewhat ambiguous and boring, however, it is super important and after all has been

said and done, you’ll wish you budgeted.

You could follow the 50/20/30 guidelines: 50 percent for essentials, 20 percent for savings and 30

percent for lifestyle or discretionary expenses.

For clarity, make a list of necessities that keep your life running; food, housing, healthcare, utilities

etc., and work your way up to other (important) expenses. Then make a list of your income and do

the math from there. Your estimates here will give you a more precise budget percentage guideline.


Cliché isn’t it? Yes, we hear it ALL the time to save like your life depends on it. What is really crucial is

whether you do so. Have a percentage of your income that you reserve for savings only and stick to

it or better still, raise the amount from time to time.

The best way to save is to put it out of reach. You could activate a Direct Debit on your account

while saving through RenMoney’s Target Savings product.

You could arrange your savings account such that it has no debit card assigned to it and the only way

to access it is by waiting on long queues at the banking halls. This might discourage you from

spending it.

Also, save your loose change. Don’t say “Abeg, who still uses 10 naira in 2017.” It might seem like a

small thing compared to your bank account but you might be surprised by how much change you

can collect in a year.

One of the most effective ways to save money is to open a RenMoney Target Savings account that allows you save money and earn profit as well.


Remember opportunity cost from Economics? That product that can be substituted for another

choice. When making purchases, select a product or service that gives the same quality and

satisfaction than a more expensive alternative offers. There’s absolutely no shame is living within

your means.


This is where you ask your money those questions our parents used to ask us (Yoruba Questions


Ask it ‘Where are you going?’ ‘Where are you coming from?’ and every other relevant question you

can think of. “Oh, I have so much money, it doesn’t matter what happens to it anyway as long as

there’s money in my bank account.” Nope, we’re having none of that this year. If you’re more into

the traditional record keeping, great! Then keep your receipts and record your daily expenses.

If you’re more interested in the paperless movement, wonderful! Downloading an app might be

more suitable for you. Some banks make things easier by sending every debit and credit statement

to your email or your phone. Yes it will attract a little extra charge from the bank but if you’re the

type that throws your receipts around the place you might need this. Besides once you see how

much you are spending, you will probably seriously consider cutting back on your expenses.


If you don’t need it, don’t buy it. However if you feel you simply must have it, then put that on a

wish list for later when your finances are more together. Chances are the urgency to get it will die

out after a bit.

Sometimes, you really just want to release stress or boredom and you go on a shopping splurge. If

that’s your story why not do it this way, buy to sell at a profit. ‘Why buy at all?’ you might say, if you

feel that way, then control yourself.

You can do something creative like a no spend weekend, stay indoors, enjoy free entertainment and

skip the spending. You could even take up an inexpensive hobby like reading, watching movies

indoor etc. Online shopping could be another drawback, unsubscribe from daily deals site if you

have to.

You could do all this and when you get results, feel good about yourself. Remember that getting

more jobs can earn you more, but never really solves the initial challenge and at the end of the

year, things will probably repeat itself. We don’t want that now do we? So be financially wise.

For smart savings options, please read about our Target Savings and Fixed Deposit products,

RenMoney rewards you for saving your own money by offering amazing interest rates.

Remember, We’ve got your back,

The RenMoney Blogger.

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