My name is Mark. I work in the civil service and take home a net salary of Sh56,900. I have a two-year-old child, but I’m always broke and buried in small loans.
I’ve become addicted to gambling—placing bets on football matches, playing aviator games, and even participating in radio gambling.
My rent is Sh13,000, shopping Sh12,000, power and water Sh4,000, transport Sh3,000, Wi-Fi Sh3,000, and GoTV Sh3,000. I also owe Sh13,500 in mobile loans. The rest of my salary goes to gambling, and I immediately reborrow the mobile loans after repaying them.
Expert Advice: Josephine Murage – Investment Banker and Personal Finance Consultant
Mark, based on your expenses, you’re spending around Sh51,500 monthly, leaving Sh5,400 unaccounted for. This suggests that Sh18,900 of your income—including borrowed funds—is going to gambling.
Your gambling addiction is likely rooted in the one-time win of Sh40,000 and the occasional small payouts, which have psychologically trapped you in a cycle of chasing losses. However, remember: the house always wins. Gambling systems are designed to ensure more losses than wins.
To break this cycle, seek psychological counselling if you cannot quit on your own. Gambling has not only drained your finances but also strained your marriage. The first step is acknowledging the damage it’s causing.
On your finances, start by trimming unnecessary expenses. You’re spending Sh10,000 on Wi-Fi and GoTV, which is redundant since most TV content is available online. Reduce this allocation by half.
Similarly, your Sh4,000 water and power bill is high—aim for Sh2,500. These cuts will free up Sh5,000, giving you Sh10,400 in disposable income.
Set up standing orders to allocate this money the moment your salary hits your account. Prioritise paying off your mobile loans, which have punitive interest rates and fuel your gambling habit. Avoid reborrowing at all costs.
Begin saving by splitting your disposable Sh10,400 into two: Sh5,000 for an emergency fund and Sh5,000 for a savings account, preferably in a money market fund or SACCO.
Over time, increase these allocations to Sh10,000 each as you clear your debts and eliminate gambling.
As a family man, establish financial and investment goals. These will guide your savings and spending habits.
Consider upskilling to boost your earning potential and encourage your wife to keep proper records for her business to identify areas of growth.
Breaking a gambling addiction isn’t easy, but with determination and a structured financial plan, you can regain control over your finances and secure a better future for your family.
If you have money problems, email [email protected] and leave your contact details for follow-up. Selected questions will be answered in this column.
