Being young and living on your own create one of the most stressful problems that Ghanaians face; rent. Luckily, financial expert Desmond Bredu shares some tips that should help.
Many of us are usually worried (& why not, rent prices are ridiculous especially in Accra) when our rent is almost due and we have to make a lump sum payment usually for the next year… Here’s some tips to help you navigate this.. #thread
Have you thought about treating your rent as a recurring monthly expense?
This means breaking down your anticipated yearly rent into 12 monthly payments and keeping it a separate account.
This however means you should be renting a property that your monthly income can comfortably accommodate(see what i did there?🥳) without significantly affecting your other needs in a given month.
You can dedicate an account for the sole purpose of paying rent. Instead of keeping it in a another bank account where you will earn very small interest, you may open a money market unit trust and get decent returns to cater for any difference.
This account has to be a separate account from the one you use often to avoid you dipping your hands into it.
You should automate that monthly rent expense into this special account through setting a standing order on your account.
In my experience, time flies, don’t be caught off guard, don’t be too eager to move out: stay with family if possible until you’re really really reaaaaally ready to be on your own (adulting is hard) ps. mine is due in a couple of months😂
If you want to know more about unit trust, check this video I did on my YouTube.
Originally tweeted by YouTube: Desmond Bredu (@parlenzy77) on August 3, 2021.
For more financial tips like this, you can visit Desmond Bredu’s YouTube channel.
Source: Desmond Bredu (Twitter)
