Money talks. This age-old adage has echoed through generations, underscoring the immense power that wealth wields. But the pressing question for many young people is, “How do we, as the next generation, amass this coveted power for ourselves?”
Enter the financial wisdom of Dorcas Rutunda, the Managing Director of ITM Africa. An emerging beacon of hope for the youth, who recently graced the Giants of Africa stage, sharing her principles of personal finance. With a roadmap marked by four cardinal points—earning, spending, saving, and investing. Rutunda offers a fresh perspective, specifically tailored for young individuals navigating the complex labyrinth of money.
Spending Money
Life is meant to be lived, and the occasional indulgence is not just welcome but necessary. However, Rutunda’s 70-20-10 rule serves as a beacon, guiding the youth on how to allocate their hard-earned money. 70% for essentials, 20% saved for the future, and 10% for those little joys of life. After all, while “chopping life” is delightful, financial prudence ensures we can keep enjoying it in the long run.
Saving Money
Rutunda nudges young people towards introspection, urging them to evaluate their saving habits. The ability to save, even a tiny fraction of one’s earnings, is a crucial step toward future financial independence. It’s not just about stashing money away, but about planning, having foresight, and preparing for the days ahead.
Earning Money
“You make money by finding a problem & finding a solution that adds value; then that solution pays money,” Rutunda counsels. There’s no shortage of problems in the world, but the key lies in identifying them and crafting innovative solutions. For the youth, every crisis, big or small, is a potential goldmine this is an opportunity to innovate, create, and eventually monetize.
Investing Money and Time
Rutunda’s sentiments resonate with the wisdom of Benjamin Franklin, who once said, “Time is money!” The importance of investing is twofold: financial and temporal. Young individuals have the unmatched advantage of time on their side. Every moment spent learning, networking, or honing a skill is an investment that promises substantial dividends in the future.
As the world celebrates International Youth Day, it’s pivotal to remember that the youth are not just the future; they are the present. The future of continents like Africa rests on their able shoulders. Their financial decisions, guided by these principles, can shape not just their individual futures but also the destinies of nations.
While money might “talk,” it’s up to the youth to dictate what it says. With the roadmap laid out by thinkers like Dorcas Rutunda, the journey to financial prosperity seems not just attainable but exhilarating.
Dorcas Rutunda urges the youth to evaluate their saving habits
