We all know that saving money in Nigeria is not easy. However, some Nigerians are saving and building wealth despite the economic challenges.
What is their secret?
We spoke to several Nigerians from different walks of life about their savings and spending habits.
From them, we learnt 33 money-saving tips and tricks that they use.
These Nigerian financial tips and tricks can also help you save and lead a financially healthy life.
Want to know what they are? Let’s dive in
33 Tips And Hacks On How To Save Money In Nigeria
Spending
1. The Fivefold Rule
This tip wasn’t so popular with many Nigerians, but it is such a good tip that we all should try.
The Fivefold Rule states if you plan to purchase an item, you must have enough money in your account to buy it five times.
Crazy right?
This means if that dress is worth N20,000, you should have at least N100,000 in your account before you buy it. Of course, this rule applies mainly to luxury, not necessities.
2. Buy Things in Bulk
Many Nigerians were ready to die on the hill. And it makes sense. Buying things in bulk saves you a lot of money.
It is cheaper, especially for things like food and clothes. You also save money on extra costs like transportation costs.
3. Limit Your Outings
People weren’t happy about this. I mean, Nigerians love to chill and enjoy themselves.
However, if you want to save in this economy, this is one of the ways to do it. Some Nigerians even suggested reducing attending events and parties to one or two per month.
4. 30-day Spending Rule
Like the fivefold rule, this wasn’t so popular. Nevertheless, it is one principle that can help you curb impulsive spending.
Remember that N20,000 dress? This rule says you should wait 30 days before buying.
The delay is to determine if you need to buy or not.
I know what you are thinking: Today’s price is not tomorrow’s price.
While that is true, you might find a better-quality dress at a cheaper rate within those 30 days.
5. Prioritize
Many Nigerians swore by this tip in different words. Prioritizing needs over wants, food over clothes, etc. will help you focus your income on important things.
You will know how to budget properly once you figure out your priorities.
6. Go for Thrift
Whether you call it Okirika or thrift, second-handed items are a good substitute for newer, not-necessarily good-quality items.
Buying them cuts down your clothing expenses.
7. Go for Quality
Even though many Nigerians go for Okirika, sorry thrift items, they emphasise the need to buy quality stuff.
They are not wrong. Quality stuff lasts longer, which saves you a lot of money in the long run.
Budgeting And Debt Management
8. Have a Budget for Everything
“I have a budget for everything, including the we outside moments.” - One person said.
If you want to survive these tough economic times, have a budget for everything.
Budget for every expense, every savings, and every entertainment.
9. Lend out Only What You Can Let Go
Many people complained about huge sums of money that a friend or family member has refused to give back.
In these times, it is safer to lend out the amount of money that won’t shake your bank account.
10. Try RICH Budgeting Method
Coined from different financial resources, the Reserve, Invest, Control, Hustle budget method (RICH) has helped Nigerians budget properly and grow their resources. You can read more about it here.
However, the meat of this method is setting 10% for savings, 20% for investment, 60% for needs and wants, and 10% for learning and starting a business. You should check it out.
11. Don’t Fall into a Loan Trap
It is easy to take loans these days. In less than five minutes, the money will enter your account.
These Nigerians talked about how owing loan apps and banks have greatly affected their savings and pockets.
If you want to have savings, avoid debt as much as you can.
12. Automate Your Bills
With the advent of savings apps and neo-banks, automating things like electricity bills, and water bills has become so easy.
The thing with automating bills is that it helps you budget properly, which helps you save.
Transportation
13. Carpooling
Nigerians who work hybrid or fully on-site suggested this tip.
Hitching a ride with a colleague who drives makes all the difference. It reduces transportation expenses and stress.
14. Use Public Transportation
People who drive complained bitterly about the price of fuel and the cost of car maintenance. A group of Nigerian men even went on a full-blown rant.
Driving has its perks, but in this economy, public transportation is the cheaper option.
15. Use BRT or other Government-Assisted Transit.
Bus Rapid Transit and other government-assisted transit is now a trend with the everyday Nigerians.
It is cheaper and travels major routes in the state. This option helps many people be frugal with their money.
Food
16. Take Food to Work
This economy helped many Nigerians discover their cooking skills.
They confirmed that bringing food from home instead of buying lunch helped them to save a lot of money. You can discover your skills too.
17. Eat Out Less, Cook More
This is another tip Nigerians were not too happy about doing. Trying a new restaurant every week was an emerging trend. However, considering the cost of everything, it wasn’t sustainable.
Cooking is still a cheaper and frugal option.
18. Fasting
Whether intermittent fasting or not, these people confessed that fasting helps them reduce the cost of cooking and eating out.
19. Buy foodstuffs from Bigger but Cheaper Markets
From Mile 12 Market in Lagos to Eke Awka Market in Anambra State, food is in big markets.
Nigerians, especially women, said this one tip helped them save a lot of money.
“N2000 here, N1000 there, and I have saved 10k” - One woman
Savings And Investment
20. Start Daily or Monthly Savings
One person talked about how she was able to save N1000 daily and how that grew her savings along with her monthly savings. For you to save in Nigeria, you have to, well, save.
Now, with the Ajo+ feature on Jollof+, you can save daily or monthly and still earn 16.5% net p.a on your savings.
21. Start Investing Little by Little
People have started taking investments seriously; you should too. Having investments is one of the best ways to build your wealth. You can start with little investments and build your way up.
22. Try Envelope Styled Savings
A Nigerian said this tip was the key to his financial success. He suggested having different savings, either in different envelopes or on different plans on their savings apps.
This makes sense because you can have savings for family needs; your children's needs, a new car, or a house.
Luckily, with the Ajo+ feature on the Jollof+ app, you can have different target savings plans.
Family and Relationships
23. Have an Understanding Partner
It is not a relationship debate, despite what you may be thinking. Having an understanding partner means having someone who knows how finances work and who is willing to help you grow.
Some couples said their partners were one of the reasons they saved. Others said their partners turned them into an ATM. “CHOOSE WISELY”
24. Plan and Pay for Your Children’s School Needs Early
Nigerian parents cited this as one money tip that has helped them a lot. Paying your children's money early will require you to plan and budget for the money before the next term resumes.
You can start saving for your children’s needs with the Babybox feature on Jollof+.
When their fees are sorted, you can now face other priorities and plan for your savings.
25. Don’t Have Too Many Children
In this economy, having ten children is a serious financial problem. Nigerian parents mentioned that taking care of their children was a huge financial responsibility.
That is why it makes sense to have fewer children if you intend to save and plan for your future and theirs.
26. Avoid Processed Food for Kids
“I avoid processed food for my kids. It is more expensive, and my children aren’t easily satisfied than when they eat locally made food like rice or yam.” - Nigerian Mother.
More parents are focused on buying organic food than processed food because it is cheaper.
Security
27. Be Wary of Bad Investments
This was a sour spot for many people. Losing money during these times will hurt like hell.
That is why it is important to have little knowledge about any area you are investing in. This will help mitigate the risks.
28. Protect Your Bank Accounts and Investments from Scam Artists
This is a rule of thumb. It is a financial tip that we are all aware of. Protect your pins, passwords, and security questions.
Be careful who has access to your personal information.
Lifestyle
29. Apply The Income-Rent Ratio
This financial tip or rule has many Nigerians make intelligent decisions when it comes to renting a place. The income-rent ratio basically says that your rent should not be more than two months of your salary.
Think about it
It means you won’t be broke after paying your rent.
30. Have Insurance
From car to health, insurance protects you from unplanned expenses. This also helps you budget and save money.
31. Wear Wigs Instead Of Always Making Your Hair
I won’t lie, I thought this was a hilarious tip. However, when you consider the cost of making hair, it is a smart one.
Nigerian women said that with good wigs, they don’t need to make their hair regularly. This saves them money on hair attachment, hairdresser fees, and other expenses.
32. Upskill to Earn Better
A good-paying job is important. Many Nigerians we spoke to talked about how they have masters, doctorates, and a dozen certifications so that they can earn better.
That makes sense because higher income equals higher saving capacity.
33. Have Multiple Streams of Income
Along with a well-paying job, having multiple streams of income will go a long way in increasing both your purchasing power and your savings.
Many Nigerians have two or more sources of income. You should too.
To Sum Up
Many more money tips weren’t covered in this article. You know, Nigerians, we always find a way to survive, no matter the economic hardship.
Among these thirty-three saving tips, which one are you willing to try and which one do you think we missed? Let us know via email, Instagram or X
