Financial Strategy
June 11, 2021

4 Tips On How You Can Save Money On A Low Income

Koa

Remember that famous quote from Warren Buffet, “Do Not Save What Is Left After Spending; Instead Spend What Is Left After Saving.”

Keep this quote in mind always. Thank us later!

Saving money on a low income may seem impossible. But it is not!

The question you're probably asking yourself is, how can I save when I barely have enough to sustain myself monthly?

You’re in the right place because we’ll share 4 major tips you should take to the bank on how to manage your funds and have enough money to save for your future self. Let’s get started.

1. Start by creating a budget

This is simply so you can understand your status with your income and expenses. We shall sing this budget song till the end of history! Read more on how to create a budget here.

Creating a budget forces you to intentionally get your hands on what you do with your money. It will also help you put a finger on possible ways to slash your expenses so that you can get away with the extra shilling for your savings.

Remember with Koa, you can start saving from as little as Kshs 100 bob, so that extra soo moja you have, drop it in your Quick Save account and earn up to 10% interest per annum while at it.

2. Categorize your saving goals

If your income is low, you want to make sure that every shilling counts. Organizing what you earn into different saving goals to make sure everything goes where it should. Another benefit of doing this is that it will help you better manage your money, especially if you automate the process. Here are the steps to do that:

The best part about this is with Koa, you can create different goals for all your savings in one account. Be it an emergency or your house or a new phone or even a car.

Start saving today!

3. Think of Saving Money as Paying Yourself, and Pay Yourself First

Pretty sure you’ve never thought about this but most of our income is spent paying other people. If you worry about everything other than your savings first, then when you finally get to save, there sadly won’t be money left to save.

It’s essential to understand that saving money is like paying yourself because the cash stays in your pocket (your Koa account 😉), not anyone else’s.

These funds can then be put towards your Koa savings goal to help you and your loved ones in financial emergencies and grow your money by up to 10% interest per annum while at it.

If this hasn’t convinced you to start saving right away, I’m not sure what else will. Consider paying yourself a top priority.

4. Get rid of all your debt

Name anything else worse than debt. Debt can hold you back from achieving your financial goals. We’ll wait. The constant financial strain on your budget can leave little to no room for savings at the end of the month.
Set it upon yourself to deal with your debt. It will take a lot of discipline, commitment, and tough decisions to erase your debts, but it can lead to a better financial life.

You’ll be able to put the money you were using for debt repayment towards your saving goals on Koa. Take action today!

With this information, you should take a minute and be honest with yourself and your finances at the moment. Take the first step by downloading Koa on your phone.

We promise we’ll motivate you to start saving towards your goals. Saving money is a journey and we’re willing to walk with you through it.\

We have more resources on personal finance and managing your money.

Check them out here:

  1. Find out your money personality and why it's important
  2. How to remain smart on pay day
  3. Everything you need to know about an emergency fund

You got this!