Planning for a comfortable retirement shouldn’t be a hassle as long as you get the ingredients right. The secret sauce, Alfred Gachaga, the Founder of GRC Apex Consulting, writes, is time.
When we were kids, “retirement” looked like a happy old man in a rocking chair. Now? It’s your uncle in Eastlands still sending “Please call me” texts at 72.
For many Kenyans, retirement isn’t a chapter, it’s a crisis. And the scariest part? Most of us are walking straight into it, smiling like everything’s fine.
You’re Not Saving Enough (And You Know It)
That KShs 5,000 per month you send to your SACCO? That’s not a plan. That’s retirement by hope and prayer. By the time inflation is done with it, you’ll barely afford a bag of unga and two Royco sachets.
Here’s the math you’re ignoring: a decent retirement needs at least KShs 50,000–70,000 per month. Over 20 years, that’s KShs 14.4 million.
So ask yourself, will your savings hit that mark, or are you planning to turn retirement into a two-decade crowdfunding campaign?
The “I Have Children” Retirement Plan
We’ve all heard it: “I’m educating you so that you can take care of me.” Noble idea. Terrible strategy.
Your kids will be drowning in mortgages, school fees, and chasing side hustles. You’ll be refreshing M-pesa like it’s a pension fund. That’s not a plan; it’s dependency dressed up as tradition.
Plan for independence. If help comes, great. If not, you’ll still be fine.
NSSF Won’t Save You
Let’s be real. If your grand retirement plan is NSSF, expect less golden years and more rusty ones. Even with reforms, payouts barely cover rent- let alone medicine, transport, or the occasional nyama choma.
Time + Compound Interest = Your Best Friend
This game isn’t about effort- it’s about time.
Invest KShs 10,000 monthly at 10% from age 30, and you’ll retire with over KShs 22 million. Wait until 45, and you crawl in with just KShs 6.6 million.
Same contribution. Same hustle. The difference is time.
Retirement Is About Options, Not Age
The dream isn’t to stop working because your knees quit- it’s to stop because you want to.
Picture this: starting a vineyard at 58, traveling quarterly, or spending time with grandkids without begging your chama for bus fare.
What you don’t want: 65 years old, arguing with a matatu conductor over change, rocking a “Young Forever” cap while dodging landlords.
So, What Should You Do Now?
- •Face the numbers. Track your net worth, even if it makes you wince.
- •Open a pension or an RBA-approved account. Plenty of flexible options exist.
- •Automate your savings because, let’s be honest, if the money lingers in your account, you’ll find something “urgent” to spend it on.
- •And while you’re at it, strike a balance. Some of your money should work for the long-term (retirement funds). Some should stay accessible (medium-term investments) for life’s curveballs.
- •Most importantly, talk about it. With your spouse, your friends, your chama. We’re all figuring this out. Silence doesn’t pay bills.
Final Thought: Retirement Isn’t a Reward. It’s a Result.
You don’t stumble into a comfortable retirement. You build it, brick by brick, sacrifice by sacrifice.
So stop stalling. Stop saying “later.” Later is now. Because one day, the party ends.
The only question is: will you dance into retirement- or limp in with regrets?
Until next week stay curious, stay bold.
Alfred Gachaga is the Founder of GRC Apex Consulting, a Governance, Risk and Compliance (GRC) solutions firm that provides tailored services to help businesses navigate complex regulations and mitigate compliance risks.
*The views expressed here are the author’s own and do not necessarily reflect the editorial stance of The Kenyan Wall Street.