Are you scrolling through your transaction history, trying to piece together where all your money went to be left with that bank balance? That lunch here, that “urgent” buy there, the unexpected transfer to a friend in need, it all seemed manageable at the time. Now, you are left with just enough money to survive until your next payday, or worse, you are already dipping into next month’s pay in advance.
Month after month, salaries vanish before the month even ends, leaving many scrambling, borrowing, or settling for an uncomfortable financial stretch. The worst part? It feels like a never-ending cycle. But what if it could change? What if you never had to experience that mid-month panic again?
The truth is, breaking the cycle of always being broke is not about earning millions. It is about managing what you already have in a way that works for you. Here is how to make that shift.
1. Know Where Your Money Actually Goes
Many people believe they have a good idea of where their money is going until they track it. The difference between thinking you know and actually knowing is what separates those who have control over their finances from those who feel like money is constantly slipping through their fingers.
For the next thirty days, make it a habit to track every naira spent. Whether it is rent, transportation, data subscriptions, food, or even small expenses like airtime top-ups and impulse purchases at the supermarket, write everything down. The goal is to identify patterns and habits that are silently draining your funds.
Most people are shocked when they see how much they spend on things that do not add long-term value. It is easy to believe that your money disappeared when, in reality, it was simply spent on avoidable or poorly planned expenses.
2. The ‘Pay Yourself First’ Rule; A Game Changer
One of the most effective ways to stop running out of money before month-end is by prioritizing your savings before anything else. This is called the pay yourself first rule, and it works. Instead of waiting until the end of the month to see what is “left” to save, put aside a portion of your income the moment you get paid.
A practical way to do this is by using a savings plan like My Target on the Vale app. It allows you to set aside money automatically, ensuring that you do not accidentally spend what should have been saved. By doing this, you are essentially making sure that future-you is never stranded, no matter what happens.
3. Create a Budget That Feels Realistic, Not Punishing
Budgeting has a bad reputation because most people see it as restrictive. The idea of cutting down expenses feels like a punishment, which is why many abandon their budgets before the month even begins. The key to making a budget work is not just writing down numbers but ensuring it aligns with your real life.
A realistic budget should cover essentials first. Rent, electricity, transportation, and food, before making room for non-essentials like entertainment and shopping. It should also include a category for unexpected expenses because, let’s face it, life does not always go as planned.
If you constantly feel like your budget is too tight, it might be time to reassess your expenses. Are there things you are paying for that you do not genuinely need? Are you overspending on things that could be reduced without affecting your quality of life? Making adjustments in these areas can free up money that can be redirected to more important priorities, such as savings and investments.
4. Separate Money for Different Purposes
Many people make the mistake of keeping all their money in one account. The problem with this is that it becomes very easy to overspend without realizing it. When everything is in one place, there is no mental boundary between what is meant for savings, bills, or enjoyment.
A simple yet powerful habit is to create different savings plans for different financial goals. For instance, your rent money should not be sitting in the same account as your day-to-day spending money. The same goes for money meant for long-term savings. Using My Target allows you to allocate funds toward specific goals, whether it is rent, travel, or an emergency fund, ensuring that you are not tempted to touch it before time.
5. Automate, Automate, Automate
There is a reason why some people seem to have an easier time saving than others. It is not because they have more willpower, it is because they have removed willpower from the equation entirely. Instead of relying on themselves to manually transfer money into their savings every month, they automate it.
By setting up an automatic savings plan, money moves into savings before you even have the chance to think about spending it. This reduces the temptation to use it for something else. Vale’s My Target feature helps with this by ensuring that your savings grow in the background while you focus on other things.
6. Learn to Say ‘No’—Even to Yourself
One of the hardest yet most necessary financial habits to develop is the ability to say no. It might be saying no to eating out every weekend, no to unnecessary shopping, or even no to people who constantly ask for financial favors that strain your budget.
Many people go broke because they prioritize temporary comfort over long-term security. The ability to delay gratification is what separates those who achieve financial stability from those who remain in the cycle of struggling month after month.
If an expense is not urgent or necessary, consider postponing it. Ask yourself, “If I do not spend this money today, will I regret it in a week?” More often than not, the answer will be no.
7. Make More Money, But Do Not Depend on It as the Only Solution
Earning more money is great, but it will not automatically solve financial problems if poor money habits remain unchanged. Many people assume that once they start earning more, they will finally have enough to save. However, without discipline, more income often leads to more spending, not more savings.
Look for ways to increase your earnings, whether through freelancing, a side hustle, or negotiating, a better salary can provide more financial breathing room. The key is to channel additional income into savings and investments, rather than increasing expenses.
The feeling of always being broke before the month ends is exhausting, but it does not have to be permanent. With small, intentional changes, you can gain control over your money and build a financial cushion that keeps you from experiencing that dreaded mid-month panic.
Start by tracking your expenses, prioritizing savings with tools like My Target, and automating your money to make good financial habits effortless. Over time, these small actions will add up, and before you know it, you will have broken free from the cycle for good.
The best time to start is today. Your future self will thank you for it.
NOW TO THE NEWS
Nigeria leads global innovation stages at LEAP 2025
Nigeria made a resounding impact at LEAP 2025, the world’s leading technology event held in Riyadh, Saudi Arabia, as a delegation of top government officials, business leaders, investors, and innovators took center stage to showcase the country’s growing influence in the global digital economy.
At the forefront of this historic representation was Folajimi Daodu, CEO & Founder of Vault Hill, whose strategic leadership ensured Nigeria was not only present but actively shaping discussions on fintech, AI, blockchain, climate tech, investment, and digital transformation, according to a statement.
With Nigeria’s technology ecosystem gaining international recognition, LEAP 2025 provided an unparalleled platform to reinforce the country’s position as a key player in global innovation and economic advancement.
A strategic representation of Nigeria’s Best Minds delegation at LEAP 2025 featured an impressive lineup of industry leaders and policymakers, each contributing valuable insights on the future of digital transformation and economic development.
Nigeria’s financial sector suffers N52.26 billion loss to fraud in 2024 – NIBSS report
Financial institutions in Nigeria lost N52.26 billion to fraud in 2024 according to the latest report by the Nigeria Inter-Bank Settlement System (NIBSS).
This represents a significant increase of N34.59 billion compared to the N17.67 billion recorded in 2023.
The NIBSS Fraud Report documents fraud activities, whether attempted or successful, and related metrics identified by local financial institutions or agencies.
Naira shows biggest sign of stability for 2025 after holding firm in February
The Nigerian naira showed its biggest sign of stability in February, despite closing the month 1.6% weaker in the official market.
In contrast, the parallel market saw a sharp appreciation of 6%, indicating improving liquidity in the retail forex segment.
The official exchange rate on the Nigerian Foreign Exchange Market (NFEM) ended the month weaker, but analysts believe the overall trend suggests growing stability.
The naira has now recorded a 2.3% year-to-date depreciation, a far cry from the extreme volatility witnessed in previous months.
Despite a $4 billion decline in Nigeria’s foreign exchange reserves, the exchange rate has remained largely stable, attributed to improved transparency in the Central Bank of Nigeria’s (CBN) forex policy and the new forex trading framework introduced late last year.
Also, despite the Naira’s slight depreciation in the official market, there are signs of increased foreign investor confidence.
The return of foreign investors is seen as critical in maintaining stability, as their inflows provide much-needed forex liquidity.
CBN urges banks to align enhance risk-based compliance with global standards in tackling illicit funds
The Central Bank of Nigeria (CBN) has called on financial institutions to strengthen their compliance frameworks and align with global banking standards to combat illicit financial flows and maintain the integrity of the financial system.
The apex bank made this call at the Mandatory Compliance and Anti-Money Laundering (AML) Training Workshop held in Lagos on February 28, 2025, in collaboration with Citi.
The event brought together compliance officers, trade operations specialists, and correspondent banking teams from various financial institutions to discuss global regulatory trends, financial risks, and best practices for ensuring compliance.
In a statement issued on Sunday, the CBN reaffirmed its commitment to reinforcing regulatory oversight and ensuring that Nigerian banks adopt dynamic, risk-based Anti-Money Laundering (AML) and Counter-Financing of Terrorism (CFT) programs that align with evolving global standards.
Shola Phillips, Special Adviser to the CBN Governor on Compliance, stressed that financial institutions must operate with compliance frameworks that reflect international best practices.
She noted that correspondent banking relationships are becoming increasingly dependent on stringent compliance measures, making it imperative for Nigerian banks to improve their risk management structures.
