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How to budget on a N300,000 salary



Earning as high as N300,000 in Nigeria today sure puts you in the top echelon of salary earners.

According to the Nigerian Bureau of Statistics NBS, Nigeria’s minimum wage is N30,000, so a N300,000 salary puts you at least ten times above the national minimum wage.

To put this more into context, we may consider the current civil service pay structure. According to statistics from the Lagos state government Harmonized Public Service Structure HPSS, a grade 14 state worker earns between N325,518 to N457,952.

These are top government officials and earnings anywhere in the region of these salaries definitely puts you way ahead of a lot of civil service and private sector workers.

While these numbers suggest that one can live a lavish lifestyle with N300,000, the reality is far from that.

In today’s Nigeria, N300,000 per month would actually let you live on average and failure to plan or budget properly might plunge you into financial trouble.

Perth Partners infographic, shows the reality of living on N300,000 per month and the realities are indeed appalling. For instance, after spending conservatively and saving for rent, a worker would be left with no more than N15,000 for miscellaneous expenses.

The most worrisome part of the data is the fact that investing was not factored in. Apparently, a worker earning N300,000 can save, pay for their rent, bills, transportation etc. without putting anything aside for investing and still live from “hand to mouth”.

Little wonder, many workers who have worked for the statutory 35 years in civil service leave with almost no investment on the ground.

It is clear that thriving and surviving on a N300,000 paycheck requires a thorough and well-calculated plan to eventually escape the proverbial “rat race”.

How much is enough? Will a pay raise help my financial situation? Can one eventually kiss financial struggles goodbye?

Unfortunately, a very good percentage of workers experience varying degrees of financial difficulty. CNBC statistics show that about 70% of Americans feel financially stressed.

That is, seven out of ten Americans experience financial problems of one sort or another. The problem can be linked with financial literacy.

According to Credit Donkey, only 32% of US households prepare a budget.

This goes to show how many people have a spending plan as against spending on impulse. Spending without a budget only works when one has substantially more money than their needs and wants and definitely not in a case of scarce resources like a N300,000 salary earner.

Hence, it is not only advisable but indeed necessary for salary earners to not only draft but commit to a budget.

How to budget on a N300,000 salary

  • Understand the reality of the situation: Some salary earners are yet to realise the severity of the prevailing economic situation in Nigeria. For example, the NBS economic report for August put inflation figures at 24.08%. The cost of petrol has surged year-on-year by 216%. The reality of the matter is that the purchasing power of the same salary earned a year or two ago has drastically reduced today. Hence, more financial prudence must be applied. Understanding the reality of the situation makes the individual see budgeting as a necessity and not an option.
  • Assess your net income: Do you know how much you take home on average every month? For some, these numbers are not steady as allowances and other benefits differ at different times of the year. However, to create an effective budget you need to get a very specific amount you expect every month and work with this number. Assuming ambiguous figures or expecting more than is available may lead to budgeting errors.
  • Create a spending limit: Admittedly, it is difficult these days to allocate exact amounts to expenses because the prices of everyday items fluctuate wildly. The other option on the table is setting a cap on your spending. For example, you may cut off unnecessary spending once your expenses cross a certain threshold.
  • Cut off impulsive spending: Living off a N300,000 salary invariably means some expenses are off your reach especially if your goal is to avoid financial ruin. Unplanned expenses should be avoided. Only make expenses that have been planned beforehand. Avoid the urge to impress people with your spending or trying to “keep up with the Joneses”
  • Cut costs as much as possible: Creating and sticking a budget may be nearly impossible if you do not cut existing costs. For instance, experts recommend that your rent shouldn’t take more than 30% of your salary. However, instead of renting an apartment that takes up 30% of your salary, you may opt for a lower-tier property that costs way less or choose apartments in low-cost areas.
  • Seek professional financial help: For some, the solution may require them to see a financial counsellor. The job of the counsellor/ advisor is to help identify financial problems and proffer solutions. A financial advisor may identify bad spending habits or unrealistic savings expectations as the reason for the budgeting difficulty and help you with practicable solutions to help you improve.

In conclusion, living on a N300,000 monthly salary may require you to adopt a prudent financial plan.

The scarce financial resources require tact, discipline and flexibility to stay on top of your finances, invest and have enough savings for the rainy days.


5 not-so-obvious signs you’re a horrible boss and employees probably hate you




Recently, a lot of attention has been given to bosses who create a toxic atmosphere at work, but the truth is that many toxic bosses lack self-awareness, and introspection is hard, so let’s help them with some clarity.

Here are five not-so-obvious signs you’re a terrible boss:

This is often a gaslighting technique used to make people take on things that aren’t really part of their job description, because how else can a boss rationalise forcing all his or her employees to attend their colleague’s naming ceremony or wedding and contribute money towards it? You can’t enforce what people use their private time and money to do.

Another way the “we are a family” phrase leads to toxicity is sending employees on errands that have nothing to do with work, like picking up your laundry.

We are building something big in another phrase toxic bosses say to force you to take pay cuts and work crazy hours. It’s often healthier to differentiate work from family.

A quality of a good boss is tact, and a quality of a bad boss is a lack of tact. There are just some things you shouldn’t say, like sexual jokes such as “I bet you had a wild night last weekend” or “When was the last time you had sex?”.

Also, when passing criticism, you shouldn’t cast aspersions on their character or mutter full-blown insults like, “You are dumb” or “fool” “stupid”.

To expect people to put in their best and even come to the office and not pay them when due is akin to emotional torture. If you can’t pay your employees, you probably shouldn’t hire them in the first place.

If you are sending an urgent email or putting a phone call through by 12 a.m. in the middle of the night, then you are quite toxic. Except that it’s a matter of literal life and death, there is no need to send that mail or put that call through to your employees. The same rule applies on weekends and when they are on vacation.

Before you schedule a long meeting, ask yourself, “Can this be an email?” If you love to waste everyone’s time in meetings that really don’t add to productivity, then rest assured that your employees or subordinates probably hate you.

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Presidential fiscal committee to end obsolete taxes, says Taiwo Oyedele




Taiwo Oyedele, the chairman of the presidential committee on fiscal policy and tax reforms, says they will be revoking some taxes considered to be unduly burdensome.

Oyedele told the national economic council (NEC), chaired by Vice-President Kashim Shettima, on Thursday, that his team will be looking into suboptimal and obsolete taxes that need to be repealed.

He said the committee will also be enacting new harmonised tax laws, as well as provide a list of taxes and levies — that do not exceed a single digit — for all levels of government.

Listing other expectations from the committee, Oyedele said they would also produce a new national policy on tax and fiscal policy for ratification by the federal and state governments after reviewing the 2017 national tax policy.

He said the committee will also be providing a national fiscal risk framework for efficient fiscal governance, fiscal consolidation, and stability.

The fiscal policy expert told NEC that the committee will draft bills for constitutional amendments on fiscal matters to promote fiscal federalism, as well as enhance the revenue administration system to improve revenue mobilisation.

According to Oyedele, part of the committee’s outcomes include ensuring a robust framework for tax revenue accounting and reporting to improve taxpayer trust and establishing of national office of tax ombudsman, fiscal policy, and tax simplification.

He said the team will also mobilise revenue through tax and non-tax, as well as review the quality of government spending.

“The committee will identify relevant measures to make Nigeria an attractive destination for investment and facilitate inclusive Economic growth,” Oyedele said.

He said they are also expected to review and redesign sustainable debt management as part of the fiscal system.

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Our three subsidiaries paid N474bn tax to FG, says Dangote




Three subsidiaries of Dangote Group paid a total of N474bn as tax to the Federal Government in three years.

An official of Dangote Group, Hashem Ahmed, disclosed this at the opening ceremony of the 18th Abuja International Trade Fair on Thursday.

Ahmed, who represented the multibillion dollar group, disclosed this while speaking on the theme of the fair titled, ‘Sustainable financing and taxation as drivers of the new economy’.

The trade fair was organised by the Abuja Chamber of Commerce and Industry, in conjunction with other private and public partners.

After conveying the greetings and well wishes of the Group President, Aliko Dangote, Ahmed said, “For us, the theme for this year, which focuses on sustainable financing and taxation, is apt, as it resonates with our modus operandi.

“As you may be aware that apart from being the highest employer of labour in the private sector, the Dangote Group is also the biggest tax payer. In just three years, Dangote subsidiaries paid a staggering N474bn to the Federal Government.

“These are Dangote Sugar, Dangote Cement and Dangote Salt, combined. This corridor of sustained financial support by the Dangote Group is in addition to several empowerment/skill acquisition programmes, Corporate Social Responsibility programmes, sponsorship and philanthropic schemes, running into several billions of naira.”

He said the group was also pleased that the Federal Government was pursuing a tax reform policy that would help expand the tax net and provide necessary financing for the development of the country’s infrastructures.

Also speaking at the event, the Minister of Industry, Trade and Investment, Doris Uzoka-Anite, said the government had announced a plan to support small businesses and startups in Nigeria in response to the country’s current economic challenges.

Uzoka-Anite, who was represented by the Director, Commodity and Export, FMITI, Kaura Irimiya, stated, “We intend to spend N75bn by March 2024 to strengthen the manufacturing sector. We also intend to provide small grants to micro businesses in each to the 774 Local Governments of the federation.

“We have also earmarked a fund of N75bn that will be used to support up to 100,000 start-ups and MSMEs at single digital interest rates repayable over 36 months.”

She added that last week, “we launched the National Technology Export programme, in partnership with Microsoft and earlier this year, we launched the over $600m investment in Digital and Creative Enterprises programme, in partnership with African Development Bank and other partners.”

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Bodex F. Hungbo, SPMIIM is a multiple award-winning Nigerian Digital Media Practitioner, Digital Strategist, PR consultant, Brand and Event Expert, Tv Presenter, Tier-A Blogger/Influencer, and a top cobbler in Nigeria.

She has widespread experiences across different professions and skills, which includes experiences in; Marketing, Media, Broadcasting, Brand and Event Management, Administration and Management with prior stints at MTN, NAPIMS-NNPC, GLOBAL FLEET OIL AND GAS, LTV, Silverbird and a host of others

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