In today’s rapidly changing world, securing a comfortable retirement is a goal that should be on everyone’s radar. However, statistics from our recent survey revealed that only 32.5% of Nigerians are actively saving for their retirement. This number is a clear indication that a significant portion of the population is not taking their retirement planning seriously, which could have serious consequences down the line.
Why 32.5% is a Low Number
Retirement is a phase of life that we all aspire to enjoy, but achieving that dream requires careful financial planning. The current figure of 32.5% highlights the stark reality that a majority of Nigerians are not adequately preparing for their retirement years. This low percentage raises concerns about the potential challenges individuals might face in the future when their earning capacity diminishes and health-related expenses increase. If you’re not part of the 32.5%, you should be concerned. At Cowrywise, we are concerned on your behalf. ?
The Importance of Taking Retirement Seriously
Retirement planning is not just a matter of convenience; it’s a necessity. As life expectancy increases and the cost of living continues to rise, relying solely on government pensions or family support may not be sufficient to maintain a comfortable lifestyle. By saving for retirement, you empower yourself with the financial security needed to enjoy your golden years without compromising on your well-deserved quality of life. The last thing you want is to look back and realize you could have done better.
Increasing Life Expectancy and Rising Costs
One of the primary reasons retirement planning is imperative is the remarkable increase in life expectancy. Advances in medical science and improved living conditions have contributed to longer, healthier lives. While this is undoubtedly a positive development, it comes with a catch: a longer life requires a more extended period of financial sustenance.
Simultaneously, the cost of living continues to escalate. Basic necessities, healthcare, housing, and even leisure activities demand more significant financial resources. Relying solely on traditional sources of income during retirement, such as government pensions or family support, may no longer be sufficient to maintain the comfortable lifestyle we envision.
Empowering Your Future Self
By actively engaging in retirement planning and saving, you lay the foundation for financial security during your golden years. It’s about taking control of your destiny and ensuring that you have the means to live the life you desire after you exit the workforce. Retirement is not a time to compromise on your well-deserved quality of life; it’s an opportunity to relish the fruits of your labour.
When you save for retirement, you’re not merely putting away money for a distant eventuality. You’re building a safety net that allows you to confront unforeseen challenges with confidence and grace. Financial security provides peace of mind, enabling you to focus on enjoying your retirement, pursuing passions, and spending quality time with loved ones.
Avoiding Regrets and Crafting a Fulfilling Future
Regret is a formidable emotion, especially when it pertains to matters as significant as your financial well-being. Imagine looking back on your life, and realizing that you could have taken more proactive steps to secure your retirement. The last thing anyone wants is to be haunted by missed opportunities and unfulfilled dreams.
Retirement planning is an opportunity to evade such regrets. It’s a chance to make informed decisions today that will shape the quality of life you experience tomorrow. By starting early and making consistent efforts, you position yourself to savour the rewards of diligent planning.
Retirement planning is not a casual consideration; it’s a pressing requirement in today’s dynamic world. Longer life expectancy and increasing living costs demand a proactive approach to securing your financial future. By saving for retirement, you empower yourself to embrace your golden years with confidence and grace. Don’t let the passage of time be a source of regret; take charge now and craft a retirement that aligns with your aspirations and desires. Your future self will thank you for your foresight and determination.
Take Action Now
It’s never too early or too late to start saving for retirement. By prioritizing this aspect of your financial journey, you make a proactive choice to secure your future. Begin by setting clear retirement goals, assessing your current financial situation, and creating a well-structured savings plan. Explore investment options that can help your money grow over time, taking advantage of compounding interest to maximize your savings potential.
Join the 32.5% ??????
In Conclusion
The statistics don’t lie: only 32.5% of Nigerians are actively saving for retirement. This number underscores the need for a collective shift in mindset towards retirement planning. Your future comfort and security depend on the choices you make today. Don’t wait until it’s too late – take retirement seriously, start saving now, and ensure that your later years are truly golden.
RELATED
19 Retirement Questions To Ask Yourself
I really want to control my finances. I envisage that I have a great tendency of making money and mismanaging funds. Most times I run out of money before the month ends and I feel terrible about it.
Hi Sonia.
Thanks for your vulnerability.
We provide a lot of financial education guides on our blog that can help you better control your finances.
Take it step by step and you’ll do better in now time!
What about school fees, health , charity and insurance.
school fees, insurance, and health can be placed in that friend’s wedding column as talked about in the article, t its all about understanding the main idea, looking within yourself where does this item fall, it’s about been creative and manageable with your money, i.e how long money stays in our hand using it effectively.
thanks a lot,Ope.really helpful,sometimes we outline the fixed and forget the discretionary ,and wonder how alll the money disappeared .This is very insightful
I look forward to more articles from you guys, random articles on various life topics. I love the active voice you used in writing and that sacarsm part too?
Thank you! We look forward to having you back here too ?
This is really amazing and educating! Keep it up and thank you so much for THIS ARTICLE ?
Our pleasure ?
Hello Ope,
This piece is quite insightful and helpful. Thank you. I Read the part where you advised to not document budget on a book as one can lose the book. Can you recommend an app on playstore one can use?
Yes. I’m seconding this comment. I believe an accounting application can help. I actually document my expenses daily but combining them into a general heading is a big task.
Please help us, Ope.
Hi Glow, I can’t recommend any tool off the top of my head right now, but creating a simple Google sheet or excel file for your budgeting can work.
I have a challenge, am the one catering for the house so most times I run into debts because expenses are higher than income . please how do I work on this.
thanks
Okay, Ope, you got me on with this one! ?
I know I make a lot of money as a full-stack digital marketer, but after some time, I’m broke and I’m wondering how come? As you said, I’m wondering “where did all the money go to?”
Sha, this post is very helpful and I’ve just downloaded this app I want to make use of in listing out the entire process… but quick ??
Which app or tool would you recommend for proper budgeting and evaluation?
Regards,
Sam
Hey Sam, happy to hear you found this helpful! ?
For the tool to help with budgeting, I highly recommend that you get down to do the “dirty work” first by yourself. Create a sheet on Google Sheets or Excel to input and track your spending to give you a raw idea, and then you can use other tools for lighter budgeting work based on the idea you now have from your sheet.
Hi Glow
You can download money manager on playstore, that’s what I use. There are others there too
I spend close to 38,000 only
Hi Sam,
I found it fascinating when I had to keep track of my sister’s account, but tracking my own expenses or developing a personal budget appears to be an impossible feat.
I mean… I don’t have a stable source of income yet so it seems almost hard to do but then after going through your write up I wrote a few ways in which I get money and am hoping I’d be able to get an hang of it soon.
Thanks for the detailed explanation.
Ope rather not Sam, sorry.
Wow! This is great, learnt a lot
Thank you so much for sharing this, Ope.
I have a question though. How can I budget as a student?
Because it seems like I can’t apply the whole concept of budgeting in my life at the moment.
I mean, I am a student, I don’t have a fixed source of income; I receive allowance from my parent and sometimes from relatives. I also do not work and I have no investments.
Sometimes, I feel like financial plans and budgeting is just not for me, even though I’m quite interested in them.
Like when I even receive my allowance, the rate at which the money finishes fast, makes me ask myself, “How?” “Where did all the money go to?” and “What did I spend the money on?”
I want to know how to track my expenses, save effectively and if possible invest and then build a financial plan, even as a student but I don’t know how to go about it neither do I know what to do.
So, if there’s any advice you could give me, please do. I’m very ready to learn.
Also, thank you so much for your financial lessons. I am always happy when I see your blog updates in my email. Thank you!?
This is very insightful and educative. I will make a do with this tips immediately. Thanks immensely Ope.
This is helpful I learnt a lot as a young graduate budget helps in build Future occurrences coming in the future also helps to pridict a lot of plan that u ought to achieve
Thanks Ope for this rich enlightenment.
But I got to ask you a question.
What if you don’t get an income per say but, a kind of allowance that’s not stable that you’ll have to ask before its been given to you. How then do you plan a budget given such instance?
Thanks for this wonderful post of yours.It is more encouraging.
Dear Ope,
Thanks for this insightful write up. I am definitely practicing this starting now. This is just what I needed to hear at this time. Thanks again
Really amazing thanks alot for this
I need withdraw
Thank for this wonderful post of yours. It is more encourage
I need withdraw
This article came in on time. Am guilty of many of the bad money management stated in the article. Not withstanding, it is not too late to start. I will be better equipped for the remaining part of the year and next year as well. Thanks Ope
Alisabiu744@gmail.com
This article came in on time. Am guilty of many of the bad money management stated in the article. Not withstanding, it is not too late to start. I will be better equipped for the remaining part of the year and next year as well. Thanks Ope
Ope thanks for this powerful awareness, pls if the is an app I can use for something like this let me know. I should start taking records this month
Mohammed
How can I do this
Thanks very much Ope. I always enjoy your post they are enlightening.Talking about budgeting how can one who’s money doesn’t come in bulk monthly go about making and achieving his or her budget.
I can control my financial status on my own. Because I really feel to be financially independent, on the basis of personal interest, and growth. Thank you so much.
Hi Ope,
Thanks for the blog,
I am currently working and I don’t earn enough. Also, I have to settle bills at home and help the family.
I find it hard to save, any advice on this?
Thanks for this piece, I really needed it to start my next month.✨
Thank you so much Ope. We shall do this
Cowrywise has really helped me to everyone more and spend less
I wish it will not crash
Thanks so much. This is an eye opener. I always wondered why I’m left with nothing at the end of the week/month/year after making so much money. Please, do cowrywise have a budgeting app that could be helpful.? It’s important