10 Proven Ways to Save Money on a Tight Budget in Kenya

Are you on TikTok, X, Facebook, or any other social media platform, and do you live in Kenya? If you check the two boxes, I’m sure you know that the living conditions in Kenya are hard, and if they are not yet hard for you, they might be hard in the future.

This is especially true if you consider that the fiscal year 2025/35’s total spending is estimated at 3.992 trillion Kenyan shillings ($31.19 billion), Kenya lives on debt, and the tax regime in the country is not that favorable.

If you understand what this means, then that’s good because it also means you know that frugality is the way to go.

And if you don’t know what the above figures mean, then it also means you have to be frugal.

In today’s post, we will look at at least 10 proven ways to save money on a tight budget in Kenya.

1. Create a budget and stick to it

The first step to making things right and living a successful frugal life in Kenya is to create a budget and stick to that budget.

Managing your finances effectively helps you track your income and expenses, categorize your spending, and set realistic goals.

If you can’t do this without backsliding often, then a good way to achieve this would be to use budgeting apps like MoneyLover or Expertify to simplify the process.

It gets easier if you are financially literate or if you put some effort into changing your money habits.

2. Cut down on unnecessary expenses

These unnecessary expenses could be things like eating out more frequently, ordering food instead of cooking at home, having multiple TV subscriptions (some of which you don’t watch), buying shoes and clothes, etc. more frequently than you need to, among other stupid expenses.

Instead of spending so much money on nonsensical stuff, cut what you don’t need and only spend money on what’s important.

An easy way to achieve success with this is to consider brewing your coffee instead of visiting Java every day. Instead of subscribing to movie channels that you don’t end up watching, buy movies. If you don’t need to use your car, you don’t have to.

3. Embrace public transportation

Being a car owner in Kenya, one thing that I can tell you with a lot of certainty is, that car maintenance in Kenya is very expensive. More expensive than even buying one. And this statement is especially true if it’s a personal car.

Not to forget that the government is also thinking of adding taxes (annual tax), which will see car owners pay upwards of Ksh. 400,000 annually to keep using these vehicles.

What’s the remedy for this, you ask?

Using public transportation.

Instead of using your car to go to work daily, save that fuel money, parking, and maintenance fees by taking a matatu every day.

After all, matatus are a convenient and affordable option in Kenyan cities.

4. Shop smart and buy in bulk

Have you noticed that Kenyan supermarkets are constantly running promotions to keep up with the competition in the market?

Sometimes these competitions are not economical, but smart. And you would also be smart if you took advantage of them.

Take advantage of these discounts, sales, and bulk purchases to save a few coins.

If you are not sure about the supermarkets to visit, my recommendation is Naivas or Carrefour supermarkets.

Also, you may want to compare prices between these stores before settling on a supermarket.

5. Cook at home

This goes to you if you are like me and you can’t live without the Kiwi fruit milkshake at Art Cafe, the breaded fish fillet served with steamed vegetables at Java House, or the Monami grilled fish at The Vic Hotel.

These restaurants charge premium fees, sometimes ranging between Ksh. 3,000 and Ksh. 4,500 a meal.

And if you think this is expensive, then you have not tried Ankole Grill, the Inti Experience, or just about any good restaurant in Kenya with the best food and good music.

My point is that these places are expensive. Plus, cooking at home is healthier and cheaper than at these restaurants.

To save a lot more when cooking at home, plan your meals, use local and seasonal ingredients, and batch cook.

6. Reduce energy consumption

If you live in city apartments, you might not have as much control over your utility bills as you want. But if you live outside Kenyan cities, or even in your plot, then you can control these utility bills big time.

Instead of relying fully on county-supplied water, use borehole water for other utilities and piped water for others. If it helps, also harvest rainwater to decrease your water utility bills significantly.

And, have I also mentioned that you can decrease your energy utility bills by opting for green solutions like solar, gas, and wind energy, among other sustainable solutions?

Some of the most convenient ways to achieve this would be to go for solutions like Jiko Okoa, Mkopa Solar, and Sun King Solutions, among other preferred brands.

7. Take advantage of free activities

Instead of spending money on entertainment, consider free or low-cost activities like watching the Kenya Secondary Schools Sports Association (KSSSA) games, visiting parks, hiking, attending community events, or just walking while listening to music.

Apps and websites like Eventbrite can help you find local free events in Kenya.

8. Negotiate and bargain

Unless you are buying from a supermarket or any other place with fixed prices, you don’t have to buy anything for the listed price.

Sometimes, just by bargaining, you end up saving half of what the dealer requested in the first place.

Unless the seller is too rigid and the market price is the same, do not buy. You can always find a better deal in Kenya.

9. Use mobile money wisely

The thing with Mpesa is, it’s convenient. But, did you also know that having so much money in Mpesa can lead to overspending?

If you want to avoid spending more than you can afford in Mpesa, then try these tricks:

• Monitor your transactions
• Set limits
• Take advantage of offers and cashback deals from your providers

But most importantly, lock money you don’t want to use in your banking app or Mshwari.

10. Invest in yourself

And if you don’t want to cut most of the things mentioned in this list to save money on a tight budget, then you can also consider investing in new skills and education.

Doing this will help you find better jobs with a high income.

Online courses, workshops, and certifications can enhance your qualifications without breaking the bank.