The Art Of Living With “Black Tax” And Building Your Wealth At The Same Time

Black tax is the extra money that black professionals are expected to give every month to support the less fortunate family and extended families. This kind of tax has existed over the years way before the term was coined, where family members who have “made it” in their lives have to give handouts to those still struggling financially either monthly or on demand.

In most African homes if not all, parents and guardians expect gratitude from their children for going through school, feeding through the years of growth, and being housed. It is not a simple Thank you, No, it is in monetary form. This tradition has gone ahead to exploit both young and old hardworking Africans leaving some in deep debt and even dire brokenness. The unfortunate part about black tax is its connection to curses and bad omen. It is often repeated in family gatherings and even directly told to those who do not adhere to the rule of the game that the gods will take away their wealth or their wealth will destroy them.

The reality of the matter is that in these hard financial times, priorities should be observed to allow oneself to build wealth and progress in life. Here are some of the tips to accommodate black tax and still make wealth and acquire financial uprightness.

You come first

Being selfless is highly praised in the society but being selfless at your expense is illogic and totally senseless. For instance, you are servicing an education loan, development loan or any kind of monies being channeled to personal growth. Being conscious about these loans or needs will assist in managing your finances in order to allocate ‘aid’ money accordingly, to avoid spending on others while ignoring your needs.

Being True to the coin

The pressure of ‘black tax’ may come with a certain need to flex muscle considering other family members who have ‘made it’ may compete for recognition and acknowledgement on account of who is contributing more to the family. Knowing how much you are worth and capable of spending on the less fortunate members is key to avoid going overdraft. Succumbing to such pressures has seen most people drowning in debts and depression thereafter. If it is not possible to raise a set amount of money, it is okay to offer what your pocket allows for your own sake.

It is okay to say no

It is almost taboo in most African families to say no, this is seen as arrogance or pride by many and like earlier noted, conversations on curses and bad tidings may come up to scare those who are not willing to dig deep into their pockets. For instance, you have two kids in school and their fees is due, on the other hand, your sister also needs to take her kid to school and you are expected to finance that too. It is illogic to have your children sent home due to fee balances only to send your nephew to school just to make family happy and have them praising you. In such circumstances, it is okay to say no and prioritize yourself.

Demand for accountability

There is nothing much you can do about African traditions such as black tax. Bringing soberness into this trend could however assist in controlling what goes. Giving handouts will not rescue your family member from languishing poverty, however, having a proper plan and demanding that an individual accounts for monies borrowed could easen the burden and at the same time help others help themselves and progress. Asking your beneficiary to come up with a plan to justify money use is a good start.

Consider Equal Assistance

To avoid family wrangles, it is key that you come up with an equal compensation plan no matter the needs of the said family members. This will allow you to plan for a constant amount of money either monthly or weekly to avoid fluctuation on the budget. It will eradicate impulse spending and misuse of money.