How much do you save

[mtoto mzuri]

Originally Posted by msema ukweli Kabisa

...and how I manage that is just a simple trick. I budget every little cent that I spend. I know where the money is going, where it went and where it will go in the future.

i think this is where i always go wrong when it comes to trying and saving the lil money i hav . i plan and budget, but i end up ditching the budget somewhere along the way!!!
i hav this disease called impluse buying. other than that, school drains me... there's always a book to be bought, papers to be processed, rent, food, entertainment kiasi e.t.c

i wanna know how students save money. i need major tips!!!!

soo yea, i save very little, if any money

[msema ukweli Kabisa]

Originally Posted by mtoto mzuri

i think this is where i always go wrong when it comes to trying and saving the lil money i hav . i plan and budget, but i end up ditching the budget somewhere along the way!!!
i hav this disease called impluse buying. other than that, school drains me... there's always a book to be bought, papers to be processed, rent, food, entertainment kiasi e.t.c

i wanna know how students save money. i need major tips!!!!

soo yea, i save very little, if any money

Sasa, I think saving as a student is very hard, esp coz you dont have a steady source of income coming in. But again that is the best time to create good habits which end up becoming you characater. For example of you are prone to impulse buying, put that in your budget, call it impulse buying and allocate a spending aount for it. So everytime you feel like buying something impulsively guess what, you can but make sure you dont go past your limit

[Ester]

Originally Posted by msema ukweli Kabisa

Swahili good job. I save 30% of my income and how I manage that is just a simple trick. I budget every little cent that I spend. I know where the money is going, where it went and where it will go in the future.

I also max out my 401k. I have my child education plan too (no kids yet) but most important I have an account in Kenya that I regularly deposit money which I never touch.

With that said I did not understand a single word AM Nafusi said up there. What is she saying. Ati she saves my giving money to friends?

Being a student, I live on a yearly stipend that's distributed at the beginning of every semester. The first thing I do when I receive my paycheck is to pay rent for the entire semester or year, depending on the length of my rental lease. I don't spend much on food, say $35 per week and since there's always a talk or lecture going on at any given time around campus, I know that I'll be covered for all lunch meals in exchange for an hour of my time; not to mention the priceless information I'm able to glean from those discussions.

Other would-be major expenses such as entertainment are covered by our student government. They host parties for our class and do a thorough job of making sure that there's a continuous supply of food, fun and drinks. Anyway, these are just once-in-a-while bashes especially for post-exam celebrations, otherwise we're all very busy students with little time for partying.

Clothing has never been a major expense for me. I've a good stock of the basics (classroom casual wear, office wear for clinics) and several bling bling attire for 'special' occasions.

The transportation system where I reside is quite efficient and available at convenient times. Therefore, I no longer needed a car which meant no car insurance and maintenance payments. Whoo!

I'm also not a huge spender thanks to years of training by very conservative parents. Bottom line, I'm able to save about 30% of my very meagre student stipend.

@ MUK, I remember listening to one of my favorite TV presenters, Suze Orman, where she advised parents not to sacrifice their retirement for their children's future college fees. It's a very personal decision for each and every parent, but it made me stop and think about it for a minute. My bf and I decided that if we ever have kids, we'll make it very clear to them that they will be on their own as far as college is concerned. That'll be our own peculiar way of instilling discipline in them. My take is that if I and other kids could land scholarships throughout colle, why not them? Our job as parents is to provide food and a conducive environment for studying. It doesn't matter how much mullah daddy and mummy make, they'll do those odd jobs and hustle through colle just like any other student from an average family.

Anyway, just thought I'd comment on that statement because it's been on my mind of late: To save or not to save for kids' college tuition?

[msema ukweli Kabisa]

Actually Esther I beg to differ. Rather maybe I should differenciate the two. I do have my retirement savings through 401k and other saving vehicles. But at the same time I have what is called a 529 plan for my unborn kids. It may look like a lot of money but actually just puting away 25 bucks every paycheck. In like 20 years its enough money to cover education for you kids.

http://en.wikipedia.org/wiki/529_plan

I am a firm believer of generation thinking. Meaning, the generation before should do everything possible to make sure that the generation that comes after them have a better future than them. Actualy that should be the only purpose for life. (that is another whole thread)

Trying to gamble that you will get kids who will land scholarships is like playing russian roullete(sp) with their future. I respect a lot of my white friends who saved early for their children education, and as a result this kids can dream of schools like havard and yale.

Anyway another advantage of the 529 plan is that its tax free. So you actually save on the taxes you pay. And once you set the payment in less than 2 months you actually forget you are contributing to the plan

[msema ukweli Kabisa]

And let me add, Incase you are blessed to have kids who get scholarships. Then the college saving can be use as either a wedding gift to start their lives or to buy their first home

[mtoto mzuri]

Originally Posted by msema ukweli Kabisa

For example of you are prone to impulse buying, put that in your budget, call it impulse buying and allocate a spending aount for it. So everytime you feel like buying something impulsively guess what, you can but make sure you dont go past your limit

i think i just might try this out starting this month. seems very practical.

Originally Posted by msema ukweli Kabisa

I am a firm believer of generation thinking. Meaning, the generation before should do everything possible to make sure that the generation that comes after them have a better future than them. Actualy that should be the only purpose for life. (that is another whole thread)

so true!!!! i remember this one time i was kinda scared to ask my dad for money ( i dont remember wat i needed it for). then my mum got to find out and was like everythng they work for is for us (me and my bros) and that we shudnt be afraid 2 ask if we needed something. yani that was overwhelming for me.
same thing is gonna apply kids (if im blessed to hav em). i wll do wateva is in my power to make their lives comfy. and i dont mean spoiling them... just making sure that they hav a comfy life (if not better) that iv had. and that includes footing their tuition uptill college or even further if i can afford it

[Ester]

Originally Posted by msema ukweli Kabisa

Actually Esther I beg to differ. Rather maybe I should differenciate the two. I do have my retirement savings through 401k and other saving vehicles. But at the same time I have what is called a 529 plan for my unborn kids. It may look like a lot of money but actually just puting away 25 bucks every paycheck. In like 20 years its enough money to cover education for you kids.

529 plan - Wikipedia, the free encyclopedia

I am a firm believer of generation thinking. Meaning, the generation before should do everything possible to make sure that the generation that comes after them have a better future than them. Actualy that should be the only purpose for life. (that is another whole thread)

Trying to gamble that you will get kids who will land scholarships is like playing russian roullete(sp) with their future. I respect a lot of my white friends who saved early for their children education, and as a result this kids can dream of schools like havard and yale.

Anyway another advantage of the 529 plan is that its tax free. So you actually save on the taxes you pay. And once you set the payment in less than 2 months you actually forget you are contributing to the plan

MUK, I respect your opinion as usual, but just imagine the cushier golden egg you would create for yourself and wifey if you instead invested your kiddos college fund for the both of you. ($25 p.m for x number of years is a decent amount of money!) I think the point Suze O. was trying to put across is that with the increase in health care costs (we'll see how Obama's proposed national health care plan goes), decreasing social security benefits incl. Medicare/Medicaid and the turbulent economic times we're living in, people past 'retirement age' will not only have to work for more years but increasingly dig into their own pockets for payment of services. It's part of the parental instinct to provide and bail out your chldren whenever they require it; but if you somehow do not save enough money for your own retirement, won't you be forced to rely on them for upkeep?

Ivy League schools actually provide pretty hefty scholarships for deserving students who come from struggling backgrounds. For these schools, all they need to see are outstanding grades and somehow they always come up with the money. That's never an issue.

[msema ukweli Kabisa]

Ester I do respect some of Suzzie Omarns opinion. But she is using the classic selfish angle that has so permeated the society for quite some time now. Esp her being a lesbian woman with no kids.

Where you would prefer to have an extra million for yourself so that you can take cruises to bermuda while your offsprings are all community college graduates who lived a second grade life.

I for one, was educated mainly by my parents and I am eternally grateful for the chance. There are people who are as capable as I am who's parents let them go for themselves and many dropped out to struggle.

The lack of generational thinking is so invasive in our Kenyan life and that is why you see the collapse of our political and social structure, where our leader cant think beyond 5 years.

Again when it comes to saving for your childrens college, the topic will totally be derailed so maybe I will start a thread about it.

And the majority of people who are admitted to ivy league school pay their way. and that is why its mainly upper incomers who manage to educate their kids their

[Sanaa-]

Originally Posted by msema ukweli Kabisa

Ester I do respect some of Suzzie Omarns opinion. But she is using the classic selfish angle that has so permeated the society for quite some time now. Esp her being a lesbian woman with no kids.

Oh my, I didn't know that about Suze, not that it affects the way I see her, but sometimes she can be so harsh/reprimanding lol.. I tremble a bit when she is on tv.. gosh I'd hate to have her talk about my finances, she will find a mistake anywhere even in the best financial plan.

[msema ukweli Kabisa]

Originally Posted by sanaa-

oh my, i didn't know that about suze, not that it affects the way i see her, but sometimes she can be so harsh/reprimanding lol.. I tremble a bit when she is on tv.. Gosh i'd hate to have her talk about my finances, she will find a mistake anywhere even in the best financial plan.

sanaa she is a carpet muncher for sure, and i bet she is the one who wears the strap on in that relationship

in february 2007, orman told the new york times magazine that she is lesbian.[19] her partner of seven years is kathy travis, a co-producer on the suze orman show.[19][20][21][22] in the interview, orman said that she wishes she could marry her partner partly because it could save them both a lot of money. She says, "it's killing me that upon death, k.t. Is going to lose fifty percent of everything i have to estate taxes. Or vice versa."

Suze Orman - Wikipedia, the free encyclopedia