Is It Sunset for Kenyans In Diaspora, As Cost of Living in Foreign Countries Hit the Roof

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HomeI took my time to talk to a number of friends, to try and understand the things that revolve in their mind every time they book that ticket back to homeland.. There is fundamental question of how much will i be spending during my holiday. How can i speed less, unless one is on a shopping spree.

There’s no question more fundamental to personal finance than how much money we should save. Our savings rate is the cornerstone of virtually every other decision about money we make. It affects everything from buying a home to saving for emergencies to retirement. I do want to give you my thoughts, specifically, on the plan for budgeting. But first, I want to talk about a shift in my own thinking on money that has occurred in the past five or six years.

Holidays AHow much one should save will vary considerably based on circumstances. A 20 year old with several decades until retirement can save a lower percentage of her income than say a baby boomer just starting to save for retirement. Many modules on money saving ratios have been developed and tired but on the current rise of cost of living.  Addressing savings rates based on age, income, and current savings has become a nightmare for many.

The one shortcoming to any approach of saving modules is the unforeseen rise in cost of living, and assumption on a traditional retirement age fixed at 65. Many want to retire early. Many under the foreign employment contract can recon with me that by the time we hit 55 many things affect our life and will spend more of current expenditures than on saving. Redundancy programs early retirement programs in the name of companies restructuring.

InvestA different approach to this question is one based on how long it will take to reach financial freedom. In other words, based on a certain savings rate and assumed rate of return, how long will it take to build up enough investments to fund annual living expenses after my income is cut off.  I call this the Financial Freedom.

Long term investments modules and minimum current expenditure should be realized today if we need a conformable tomorrow. A lot of human nature trends will be put to test and only a few will see the future as planed with the the current diaspora Kenyan mindset.

Luxury RoomMany of the overseas workers do the norm, they forget their background, they do what a lot of people do, buy a new car through mortgage, the expansive cable TV package, and the big TV and current gadgets. Sign a big house contract which mostly have no mortgage factor, and then a bigger one after a 2nd baby. Take expensive family vacations.

If only we could trade those things for a lifestyle where we spend less money and save more, which would let us have this lifestyle where we have the ability to work, and allow a fund compounding investments in a homeland and can i retire there with less hustle. Its a simple explanations by the rich when they say they let their money work for them.

With the world current trend and life, there is too much irresistible fun and expenditures that Kenyans will never shun off. Leaving no room for the investments dimension and the practicality of  financial modules they follow if at all they do. A Statements that leaves me more sad and with no-contemptible   statement.



Is it a sunset for Kenyans in Diaspora. Consumer prices in foreign countries hit the roof. But what dumbfounded Kenyans do is leave the day and forget tomorrow. We lack clear vision despite clear evidence from Uganda and Rwanda, home investments is the only way we will save future generations from seeking foreign opportunities.

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