Budgets- As a tool for Financial Independence= Part Two

1 min read

BUDGETS- as a tool for Financial Independence - PART TWO

alt text


  • Set a General Spending Cap.

That is find a formula that works for you. I can do say a 70:30 instead of an 80:20. And i will commit that i would only spend 70% of my income. You can do a 50:50, 90:10. Just assess your current situation and adjust accordingly. No 100:0 please😂

  • Allocation to Specific Things

Eg. Food- 20ghs Daily * 5 working days= 100ghs Transportation: Uber 50ghs daily/ Troski 10ghs People- Mum’s birthday next month- Gift 200ghs Occasions- I want to hang with my boys next month- 150ghs.

  • Emergency Amount

Aforementioned this amount should be specific and don’t abuse it. Lol


  • a. People and Lifestyle- who you hang with, what you do with your spare time.
  • b. Places or Events we attend
  • c. Knowing When to stop


  • a. Setting an overly tight Budget- If your budget is too restrictive, the likelihood of you defaulting is very high. Leave a bit of room to accommodate unexpected changes.

  • b. Forgetting the Little things- For example people do not budget for Data and airtime whereas it consumes a lot of our income. If you remember anything that will likely eat into your income, you have to put it down as part of your expenses.

  • c. Impulse Buying- most of us use Instagram, online, twitter shops which i must admit has some very enticing deals. Sometimes close your eyes or scroll through quickly 😂. A sure way of going off track is buying on impulse.

  • d. Items on “Sale”- A funny/sad story is said of a shoe that was going for 100$ but wasn’t purchased by anyone until the shop owner put a sign over it “Discounted -on sale 50%” and rather increased the price to 150$. It was purchased quickly. Sometimes these “amazing deals” truly aren’t. It’s important you look elsewhere and compare prices.


  • Budgeting is a must for financial independence.
  • Remember to Save Before You Spend
  • Remember the 80:20 rule and find a formula that works for you!

Cheers to financial independence.

Do follow me- DBredu for more tips👍🏾

Tags: budget | financial | spending |