When I got my first car, I was excited. It was a Volvo 340DL—cute and gold in colour. I lived in one of the flats within a 4-block, 8-flat property. Our landlord, Alhaji Lawal of blessed memory, lived in one of the flats. As is our culture, I went to Alhaji Lawal’s flat to inform him about the car, hoping he would come and pray over it.

Alhaji Lawal followed me excitedly. He wore his trademark shorts and hopped down the stairs. When he came close to the car, he made a statement that was shocking and which I misunderstood for a long time. He touched the car, looked at me, and said in Yoruba, “When we were your age, it was a Vespa we bought first, not a car.”

It's not about how much you earn. It's about what you do after you earn it. Prioritize functionality over aesthetics in your financial decisions. Share on X

I masked my anger with a false smile. How could he say that? Was he unhappy that his young tenant bought a car? I was 26 years old then. Alhaji prayed over the car, but I can’t recall saying “Amen” heartily.

For a long time, I silently resented Alhaji Lawal for that unsolicited advice. Now, I understand better. I now know he actually meant well. He spoke to me with the benefit of experience. As the saying goes, “If a child has as many new clothes as an elderly man, he cannot have rags in equal proportion with the elderly one.”

When you start a new job, business, or receive proceeds from a new contract, don’t rush to eat your seed. That is not the time to splurge on seeming assets that may actually turn out to be liabilities. There’s a Yoruba proverb that says, “The first income earned by a youngster is used to buy beancakes.”

It’s not the time to change your wardrobe to reflect your new status. It’s not the time to paint the town red. It’s not the time to buy that wig. It’s not the time to move from Okokomaiko to Victoria Island. That’s the time to save.

Save at least 20% of your income. Put it in a savings account. When you have a considerable sum, invest it in a higher-yield instrument. When you’re ready to buy an asset, prioritize functionality over aesthetics. Don’t exhaust all your savings on an asset. It is only a foolish man who buys a G-Wagon and then begs friends for money for fuel.

Save first. Invest the savings. Then buy assets from the proceeds of investments. And when you buy assets, buy based on need, not greed. You’re not competing with anyone. Share on X

Start small. Remember that the moment you drive that car out of the sales garage, its value depreciates. You also have to worry about car maintenance, tyre replacements, and, God help you, if a Danfo or Micra runs into you—unexpected expenses can show up at any time.

That wig you bought won’t thrill you after a month. Moving to the Island may seem glamorous, but it comes with hidden costs. You’ll need a generator or inverter to deal with power outages. You’ll have to keep up appearances, spend on social outings, and generally “keep up with the Joneses.”

Many years after Alhaji Lawal made that statement, it has become my guiding principle. Save first. Invest the savings. Then buy assets from the proceeds of investments. And when you buy assets, buy based on need, not greed. You’re not competing with anyone.