A lot of Kenyans like watching international soccer and invest a lot of time and money on it. Since it’s better to enjoy a game in a social environment with other fans, many of us spend a good part of our income in sports bars and clubs watching soccer. While such spending brings social returns and enjoyment, these gains are short-term and subject to how your team fairs in a particular league. With this in mind, how else could we utilize the money we spend on soccer to for more long-term gains? Could the income spent on pursuing soccer income be enough for a worthwhile financial investment towards your future financial welfare?

Antonio

To find out how much money spent on soccer could instead be used on making you more money, we will take you through Antonio’s scenario. Antonio is Pesatalk’s in-house working class guy who like many avid soccer fans in Kenya, goes out to watch soccer games at least twice every month throughout the year. See more on what Antonio gets up to here.

Antonio earns a salary of 30,000 shillings and out of this spends an average of 2,400 shillings every month in going out to watch soccer in pubs, sports bars and lounges. There is always a game to watch since the soccer season happens throughout most of the year.

Below is Antonio’s monthly breakdown:

[caption id="attachment_18046" align="aligncenter" width="724"] Antonio's monthly soccer expenditure[/caption]

In one year, that’s a total of KES 33,600 shillings Antonio spends on following soccer; more than a full month’s salary.

How else can he invest this money towards something that would bring him good financial returns?

Let’s find out.

Shares.

Antonio’s could use his 33,600 shilling yearly soccer budget to buy company shares at the Nairobi Securities Exchange. Studies have shown that shares are a particularly good long-term investment that can be used to meet future financial obligations such as cars, weddings and housing.  Read more on reasons you should buy shares here.

Assuming Antonio had instead saved his annual soccer budget last year, he could have been able to buy 6,461 Mumias Sugar shares on January 4^th using the soccer savings. His shares would now be worth 42,320 shillings representing a 8,720 shilling gain in the 8 months since January. That’s 1,090 shillings added to his monthly income and subject to growth apace Nairobi’s rising stock market.

Land

Antonio can also use the soccer savings to start building his wealth by investing in real-estate.  While his individual savings may not be enough for a substantial investment, he can team up with his soccer buddies. There is safety in numbers. Assuming he regularly watches soccer games with three other friends who also stand to save the annual 33,600 shillings they spend on soccer , that’s an annual pooled saving of 134,400 shillings between Antonio and his three friends.

This money is enough to buy 1 acre in one of Nairobi’s satellite towns and just wait for its value to appreciate. When the plot appreciates to a value of 500,000 shillings, Antonio and his friends can decide to sell it and each take home 125,000 shillings which will be 91,400 shillings more than what they each contributed towards buying the piece of land. With the fast development and expansion happening in Nairobi’s peripheral towns, such an appreciation in land value is a common occurrence nowadays.

But what about Soccer?

Antonio or his friends don’t have to quit soccer to save money; they can instead invest in a soccer ball and actually play soccer. This will not only save them money and help them start building financial wealth; it will also keep them fit thus saving on health and gym expenses.

Then again, who can put value on time spent with friends watching your favourite team play?