We know we’ve not seen you in a while because you’ve not seen money in a while; inflation in Nigeria is eating all of it. The price of everything is soaring everywhere, all at once.
Every week, we write to you about how costs have risen. A few weeks ago, it was about the cost of a pot of jollof; last week, it was the value of ₦73,000 in 2014 versus now. The rising cost of living has everyone by the neck. What can you do to relieve the pressure?
There are two main ways to survive rising inflation
- Earn more
- Spend less
As easy as it may sound, it’s not. If it were, everyone would be doing it. Let’s break it down further.
How can you earn more?
At the start of 2022, we shared 7 ways to make money. These ways include
- Making money from solving problems around you: Money is a reward for solving problems and creating value. If you can find a big enough problem around you that you can solve, you just might get someone to pay you to solve it. An example is providing a solution to slow online transactions, or solving the problems associated with delivery.
- Teach something you’re an expert at: The popular saying “those who can’t do, teach” no longer applies in 2022. The new saying should be, “Those who can do, should also teach, making money from both.” What would you say is your most marketable skill? Could be anything from writing to cooking. You can make some money from teaching people how to do it as well as you do.
- Sell your skills directly on and offline: If you don’t have the teaching bug, you can stick to doing and even take your doings online if you haven’t already. Learn about 8 ways you can make money online here.
- Learn a new skill and move into a different profession: You can also learn a skill you need to pivot into a higher-paying profession. While you can learn almost everything for free at the prestigious University of YouTube, you might also need to pay for a course or direct coaching. Consider it an investment in yourself. You sometimes need to spend money to earn money. Before you begin, it is paramount to do your research to know if it’s worth it.
- Stay in the same profession and switch to a higher-paying company: If you’re already in your dream profession, you can consider moving into a higher-paying company or role. Can you expand your responsibility and earn more money with your current employer or elsewhere? If yes, then do it.
- Be a part of the sharing economy: Share something you own for a fee. This can be your car with Uber or your living space on Airbnb. Join Chinedu in making money from the sharing economy.
- Negotiate a higher salary or more benefits: We know, the economy is choking everybody, even your employer. Though it might be tough, it’s worth the try. Here’s a step-by-step process on how you can negotiate a higher salary.
These seven ways we’ve listed above can help you earn more, but that might not happen immediately. So while you work towards earning more, what can you do to reduce your spending?
How to spend less
The first step is to get a budget and stick to it. We know, not the B-word again. Budgets are so hard to make and stick with. Don’t worry; we made a sure guide on how to make a budget you’ll actually use just for you. For those with a family to take care of, we also have something to help you with family budgeting.
Now that you have your budget, what’s next? You’re probably already doing this obvious one: cutting back on non-essential spending. Nigerians are great at slowly downgrading things from necessities to luxuries. Find the little things here and there you can cut back on.
Can you buy the same thing for cheaper? A consistent little ₦100 difference when added up can make something huge. Remember, little drops make an ocean. If you haven’t already, compare prices between your regular shopping spot and other places. Can you get things cheaper elsewhere?
Bulk buying discounts
Can you form a group with some friends to get a discount on essentials if your order is large enough? Who knows, there are probably cooperatives already doing this around you, but you’ve not heard about them because you haven’t asked. Ask around and see.
The inflation problem is oppressing everyone, everywhere, all at once. However, we hope that these tips we’ve provided can help you fight it.. We also hope to see you not just survive this inflation situation but thrive so we can keep helping you smash your long-term investment goals.