Armed for the future

There's many ways to arm your future. One can literally make a futures contract to have ammunition delivered at a future date a a given current price (the beauty of futures market). This isn't the kind of arming I'm talking about though. I'm referring to increasing the probability of a secure and more stable future. Investing to be more specific. Many of us are investing subconsciously e.g. eating right, networking, purchasing shares,etcetera. I'll briefly focus on the financial investment bit in hopes of alerting or reminding you how important it is to think in the long-term.

 

I've been setting aside Kshs. 600 every week for the past month. It sounds petty right about now, but I'm sure this "petty" stamp will decrease exponentially to the function of time. I plan on owning/acquiring at least 1000 shares in a number of companies listed in the NSE by the time I graduate next year. Economics101 teaches us that the opportunity cost of having money set aside is the interest one would have alternatively earned. Last i checked, the interest rate offered by most banks floats around the 4% mark while that of inflation around the 20% zone. Without getting too statistical about the figures, one can safely say that my recent more sounds good. As an OPM member, I need to grow my income...somehow! So i picked one of the safer ways of doing it, buying shares. Anyone who kept their eyes on BAT around 7-10 years ago would have noticed their Kshs. 139 stock price. As with most, people kept away from it claiming it was too expensive a share. As far as I recall, the company has been paying dividends in the range of Kshs.14 - Kshs. 17.50 @ share....among the highest paid in this country. The stock is currently listed at Kshs. 255 per share, a decrease from the Kshs. 300 it hit some time last year. There are other examples in the opposite end of this spectrum. I'm certainly not advising you on what to do with your money. My plan is to keep setting aside this "extra"amount every week. What I'm asking you to do is to consider saving Kshs. 601, and pray I don't catch up to your wealth.

BACK FROM HIATUS

I’d like to first apologize for taking my hiatus for too long a period. Too long has it been since I indulged you into some of the typical student experiences I’ve had. Amongst these are the royal wedding (which I attended courtesy of Dstv), a divisive national budget and a Kshs. 1,200,000 dowry fairy tale. The royal wedding was a wave of change and a much needed breath of fresh air for the world’s youth populace. Youth representation always makes me feel like my opinions have been heard no matter how far away I am. As for our national budget, I only refer to it as divisive because of the pre and post conflicts that it came with; ranging from date of reading to claimed miscalculations. The Kshs. 1.2 million dowry statement made a few weeks back has been (and still is) a topic worth having a heated debate. I found myself in one last week…and I loved it J Truth is, arguments bring out an individual’s real traits and values.

Most shocking of all is the ongoing tax mess. The suggestion to have employers file tax returns for their employees is quite noble. Its implementation within a fortnight however, is where the complications lie. The KRA (Kenya Revenue Authority) and Treasury differ in their opinions as to when employees will stop individually filing their tax returns. Even more shocking is the debate as to whether Members of Parliament should pay taxes. It’s been going on for almost a week now. The underlying issues regard an allowance by the old constitution to exempt them from tax and the new constitution which does not exempt them from it. Attempts to refer the matter to the newly appointed Chief Justice Dr. Mutunga W. have hit what I’d call a titanic iceberg. Our Lord met with senior officials of KRA as he sought to put in force an order in which Judiciary staff conform to the new constitution by paying their dues. A sneak peek into yesterday’s prime time news showed some MPs making their way to the tax collection arm of government to pay their dues. Some are calling it a PR tactic, a campaign measure…etc. All I know is that they’re starting to pay their levies, and I appreciate it. 
For a copy of the budget speech and related documents, download a copy from the link below
www.finance.go.ke
 

……VIVA LA CONSTITUTION…...

Party Etiquette

Last week saw the end of the first 2011 semester. This final week means a lot to students, with these meanings ranging from “finally done with this course” to “I ain’t taking that lecturer again”. It’s also the time when the most memorable of parties are held. The feeling of not working the next day is euphoric and everyone loves it. I wouldn’t go as far as saying that it’s irreplaceable though. So a couple of my friends and I got together to hold a party. I'm not rich...yet. The best way for me to do this was to pool resources, so we did. Invites were dished out and the venue was set for the raiding. It was the second time we held that party so we knew what to expect…..or did we? I’ve been to a number of parties and what still shocks me is neither people’s questionable fashion nor their +1(s). It’s;

1. Timing

There IS such a thing as coming late. I kept receiving calls from people at 0100hrs, asking whether the party was still on. The last time I checked, house parties start at 2200hrs (give or take an hour). Some people call 2 hrs into the party to announce their journey to the party. Don't we all know at least one such person? What’s acceptable is coming fashionably late. Infact, it’s highly advisable if one is looking to stand out at a party. You’ll also have to dress the part. Every party has that hype moment and I try not missing them. Pole pole sio mwendo

 

2. Endowment

If you’ve been invited to a party, GO WITH A GIFT IN HAND. They come in many forms. It can be a bottle of alcohol or a chaser (non-alcoholics). Your +1 is NOT an endowment. Some people make exceptions where that +1 is someone very hard to come by. Doesn’t mean it’s acceptable though. It’s insulting to the host if you’ve been invited to the party, show up empty handed and be the first to criticize the event. It’s rude and you should to be kicked out!!

 

3. Dress-code

Everyone has a right to dress as they please, provided it’s acceptable to everyone. Some arrive fashionably late with a gift in hand, but a hitch in their attire kills it. I'm no fashionisto and I’ve fallen victim to this a number of times, but it something I’m working on. Some people however, insist on dressing in curtains and PJs. Most house parties will see you sleep for about 4hrs at the venue before everyone heads back to their homes. Come dressed in curtains and they won't be drawn :-)

I had a great time last Saturday. The cramp twins (Frank & Tony) livened up the place, Njomz kept the drinks flowing, music was at par with NEEMA law, a good way all-in-all to bring the semester to an end. Did I mention that I spent Kshs.700 that night? Kshs.300 went to buying fruits and Kshs.400 into the pool of alcohol. Ever tried mixing fruits with alcohol? :-)