The Managing Director of EDC Investments Limited, Paul Kofi Mante, has urged Ghanaians to set aside at least 20 per cent of their income for investment, no matter how small their salary may be.
Speaking on Joy FM’s Super Morning Show while discussing the power of compound interest and the importance of starting early, Mr Mante said building wealth begins with discipline.
“As long as you are getting into money farming, as long as you are putting something away into the future. I would strongly suggest, if the money is not enough, you start with the 10-20-70 principle,” he said
He explained that under this principle, 10 per cent can go to tithing for those who believe in it, 20 per cent must go into investment, and the remaining 70 per cent is for living expenses. “But 20% of every earnings must go into investment,” he said.
According to Mr Mante, anyone who consistently saves and invests 20 per cent of their monthly income can build something meaningful over time.
“Anybody who can put 20% away every month can build up something decent in the future. So my first recommendation is to put 20% away. Automate it. Every month, let 20% go into an investment,” he advised.
He also encouraged people to invest all unexpected income, which he described as “windfalls”.
“Windfall is any money you haven’t budgeted to receive because you live your life without that,” he explained.
Mr Mante shared a personal experience to illustrate his point. He said he once spoke at a church in Tema and advised members to invest any unexpected money they received in December 2025.
“I talked about windfalls for December… invest all windfalls because you didn’t expect a windfall and you would have lived your life without that,” he recalled.
In January, a church member visited him with surprising news.
“Somewhere in January, somebody came to my office who was in the church who said that Paul, I am completely blown away because in 13 days in January I have a windfall of 11,000 cedis,” he said.
The individual admitted that in the past, such money would have been spent without thought. “The envelope comes in the car, and before I realise it, it’s all gone,” Mr Mante quoted the person as saying.
For the first time, however, the money was invested.
Mr Mante used the example to stress the need to treat income carefully. “Within every income, there is food, and there is seed. Just like in most fruits, you find a seed, and you find food. It is the food that is for consumption. The seed is not for consumption.”
“The seed is for farming. It’s for sowing. It’s for planting. It’s for the future. And I am recommending the seed to be 20%,” he added.
The investment expert said people who believe their salaries are too small to save must examine their spending habits.
“The way people can find the money to invest, if you are thinking the salary is not enough, is to watch your spending habits. Watch first-time spending. Any major expenditure you haven’t done before, pay attention to it,” he said.
Mr Mante also offered practical advice on everyday spending. “Your salary must dictate what you eat, not your appetite,” he said.
He urged people to avoid impulse buying and to check supermarket receipts carefully. “I have seen situations not once, not twice, not three times. The price on the shelf is completely different from what it is in the system.”
He cautioned against waste and unnecessary borrowing. “You don’t throw away leftover food. Anytime you throw away leftover food, it is money you are throwing away. You don’t borrow to consume,” he said
He advised Ghanaians to shop with a list, avoid competing with others, and live within their means. “Put your children in schools you can afford. Drive what you can afford,” he said.
“The grass may look green at the other side. It may be synthetic grass,” he added.
Mr Mante said that financial discipline is essential because income alone does not guarantee wealth.
“We need to sit back. We need to ask ourselves some questions. And then we can find the money to invest because the salary is never going to be enough,” he said.
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Source: www.myjoyonline.com