Personal Finance

Money Pot is a dynamic personal finance platform designed to equip individuals with the insights and strategies they need to take full control of their finances. Our mission is to help you make SMART money decisions with confidence. We provide practical, results-driven guidance on how to save, build wealth, and maximize your earning potential—ensuring financial success at every stage of life.

A Student's Personal Finance Testimony

“I got to know Solomon through my older sister, an entrepreneur, she pushed me to give a shot at financial coaching. However, I had initially believed that as a university student, it was too soon for me to begin financial advisory and that it was something to consider when out of college. Eventually, I conceded to my sister and agreed to organise my first session. I thought I was signing up for a finance course, where I would have a teacher telling me what I could and couldn’t spend my money on – I was very wrong. In our first few sessions, Solomon helped me uncover a lot about the relationship I have with my money and also helped me discover how I could improve that relationship. As the course progressed, I realised he is more of a coach and an advisor. In figurative terms, Solomon supplies you with a pen, paper, and eraser, and then lets you start drawing the map for your financial journey. At first, my spending habits were erratic and spontaneous; over time, I began to appreciate the importance of saving and goal setting. Solomon showed me that spending money was not a cause for guilt or judgement; but rather an opportunity to learn from habits and develop new positive habits. In my time with Solomon, rather than teaching me how to manage my money, I learned how to make my money work for me. At the end of every month, I used to ponder the same thing as countless others: “Where did all my money go?”  I discovered that how I perceive how and what I spend my money on is entirely up to me. That is, realising the value of my money and knowing where it is, where it has been, and where I want it to go.”

Owen Camryn Alukhava Jenkins

University Student, Oita, Japan

A Story you can relate...Episode 1

Meet Mdadisi and Bwana Pesa Pt.1

Early in the 1990’s in an urban town called Nyunguni, there lived a wise old man named Bwana Pesa. The old man was famous for his classic financial wisdom. Many people—young and old, visited him to seek advice.

One day, a young man named Mdadisi approached him with a money dilemma.

“Hello, Bwana Pesa,” Mdadisi approached, “I work hard day in and day out, but at the end of every month, I have no money left. I don’t know where my money goes!”

Bwana Pesa smiled and acknowledged the young man’s enthusiasm as he offered him a clay pot with a small opening at the top. “This,” he said, “is your Money Pot. If you listen carefully and follow through with what I am going to instruct you—you will learn what you need to know about personal finance.”

Confused but intrigued, Mdadisi took the pot home.

He followed Bwana Pesa’s instructions: every pay-cycle he received some money, he put a portion into the pot before spending it on anything. Over time, he noticed a remarkable change—the pot was fast filling with savings. This money pot approach got him thinking before spending, and got curious about more sessions with Bwana Pesa.

A year later, Mdadisi returned to Bwana Pesa with his money pot full of savings.

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“Look! I have so much money in the POT you gave me!” he exclaimed.

Bwana Pesa nodded. “You see, Mdadisi, the core of financial success is discipline and planning. Your money pot taught you to save before spending, just as you should in life.”

Spending Plan

With the money saved, Mdadisi went on to open a shop. Before long, he became a respected businessman in Nyunguni. He always kept his money pot nearby as a reminder of the lesson that changed his life.

The Nugget from the story?

Financial stability begins with small, consistent habits—just like filling a money pot.

The Big 5 of Personal Finance

At times handling money may make you feel like you are in the jungle full of the Big 5 dangers! Not always the case… scroll on…

The BIG 5 of Personal Finance

Welcome to the Big 5 of Personal Finance: Your Essential Guide to Making Smarter Money Choices!

No matter where you are on your financial journey—whether just starting, working for some time or planning for a comfortable retirement—mastering your money is one of the core activities you can incorporate into your financial journey. At Money Pot, we firmly believe that anyone—absolutely anyone—can seize control of their finances with the proper guidance and tools. Have you ever considered how your Income, Expenses, Savings, Investments, and Risk Management can make it into your “Big 5” items of your personal finance wellness?

Implementing these five pillars into your planning approach brings harmony into how well-oiled your financial aspirations are. Understanding how they intertwine is the first step toward attaining lasting financial peace and security. Take charge of your future today!

Income

1. INCOME

Do you most people have a misconception of what income consists of? To simplify it for you, income is any of the following:

  • Salaries and wages
  • Commissions
  • Dividends
  • Interests
  • Bonuses and Maturities
  • Gifts and Allowances

2. EXPENSES

These include:

Living Expenses (Fixed)

  • These are regular, predictable expense that you must pay each month.

  • They don’t change much over time.

  • Examples: Rent, loan repayments, school fees, insurance premiums.

Essential but Variable Expenses

  • These are necessary expenses, the amount can change from month to month.

  • Still part of basic living needs.

  • Examples: Food, electricity, transport, medical bills.

Discretionary Expenses

  • These are non-essential, lifestyle-related expenses.

  • They’re often the first to cut when building up a financial plan.

  • Examples: Eating out, entertainment, shopping, vacations.

Expenses
Savings

3. SAVINGS

Saving is the launching pad of capital preservation. Below is a crude way of looking at it followed by a more polished approach of planning savings:

  • postponed spending
  • short-term to long-term savings
  • cuts on expenditure

The 4 most common types of savings accounts

1. Emergency Fund

🔹Purpose: meant for unexpected expenses like medical bills, job loss, sudden moves or urgent repairs.

🔹Liquidity: Place the money in an easily accessible account.

🔹Ideal Amount: 3 to 12 months’ equivalent of your essential expenses.

🔹Recommendation: Unit trusts, because they cushion you from inflation and also help you build some saving discipline.

3. Long-Term Savings

🔹Purpose: meant for grand goals like buying land, building a home or even building an income stream. 

🔹Liquidity: should be restricted because this requires top notch discipline otherwise your goals may go up in flames.

🔹Ideal Tenure: look beyond 5 years and structure it based the goal you wnat to achieve

🔹Common use: Retirement, Land/Home purchase, Construction and Generating Regular Fixed Income.

2. Sinking Fund

🔹Purpose: meant for specific goals and period. Normally from within 1–5 years, like a holiday fund, termly school fees, or raising business capital.

🔹Liquidity: should be placed in an account with some restriction to guard you from sabbotaging your own goals.

🔹Ideal Tenure: 1 to 5 years depending on the purpose.

🔹Recommendation: Unit trusts, Investment-Linked accounts, bonds, etc.

4. Group (Chama) Savings

🔹Purpose: usually motivated by the growing need for maintaining social capital.

🔹Benefits: encouraging peers to come up with econimic activities that resonate with their meet ups.

🔹Ideal For: building disciplone among members and encouraging community participation.

🔹Common use: Annual celebrations, Item Purchase, Matanga, etc.

4. INVESTMENTS

Investment is simply the act of putting your money to work in order for it to grow over time. Unlike savings, which focus on safety and liquidity, investments focus on growth. That is, building wealth; this could be through stocks, real estate, unit trusts, commodities or even start ups.

However, there’s some risk attached, therefore, before you delve into it assess your patience and risk threshhold. When approached with the right strategy, investing helps you turn today’s challenges into tomorrow’s possibilities.

Investments

5. RISK MANAGEMENT

Risk management is all about protecting what matters most. Should life take some unexpected turn, you live knowing you have some backup. It’s all about creating a safety net that helps you bounce back from events like:

🔹illness,

🔹accidents,

🔹loss of assets, or even death.

You can employ some of the following tools to manage risk:

🔹like assurance,

🔹emergency funds,

🔹or even diversify your assets across different classes.

However, out of the three suggestions above, it’s only solutions with an element of insurance that ensure you don’t end up losing money—hence, sabbotage many years and efforts of wealth bulding.