International real estate investor and Co-Founder of JB5 Investments, Sheree Lanihun-Anderson, has urged Nigeria’s youthful population to embrace sound financial habits to achieve long-term financial independence. Habits, she said, that go beyond budgeting and into how Nigerians think about money itself.

Anderson, while giving advice on “Financial Habits Every Young Nigerian Should Learn,” noted that while many young Nigerians are earning incomes through employment, entrepreneurship and side businesses, financial success depends more on disciplined money management than the size of one’s earnings.

She recalled watching queues of Nigerians outside luxury stores in Mayfair, London, waiting to buy designer bags that can cost upward of N4 million at current exchange rates.

“It broke my heart, not because there’s anything wrong with nice things, but because I kept thinking about what that same money could do at home. It could capitalise a young person’s business instead of sitting in a wardrobe,” she noted.

She observed that financial literacy remains one of the most essential life skills that is rarely taught in schools, leaving many young people to learn through costly financial mistakes that could have been avoided with the right knowledge.

“Nigeria is home to one of the youngest populations in the world. Every year, thousands of young people graduate, launch businesses, enter the workforce, or pursue side hustles in search of financial independence. Yet, despite earning an income, many still struggle to build wealth because financial success is determined not just by how much you earn, but by the habits you develop over time,” she said.

According to her, one of the most important principles of financial stability is consistently spending less than one earns.

She warned against lifestyle inflation, where individuals increase their spending whenever their income rises, noting that it creates a cycle of debt and financial stress.

Anderson urged young Nigerians to channel additional earnings into savings and investments instead.

“Living below your means is not about denying yourself enjoyment; it is about creating room for future opportunities,” she explained.

The investor also stressed the importance of budgeting, describing it as a practical tool that enables individuals to monitor their income, control expenses and allocate funds for savings, investments and essential needs.

She encouraged young people to establish emergency funds capable of covering between three and six months of living expenses — on the current minimum wage of N70,000, that translates to roughly N210,000 to N420,000 — to cushion the impact of unforeseen events such as medical emergencies, job losses or business setbacks.

“Life is unpredictable. Medical emergencies, job loss, unexpected family responsibilities, or business setbacks can happen without warning. An emergency fund provides financial security during difficult times and prevents you from relying on expensive loans or selling valuable assets,” she said.

On savings and investments, the real estate expert advised that savings should always be tied to specific financial goals such as education, business expansion, home ownership or retirement, while distinguishing savings from investing.

According to her, while savings preserve money, investments help grow wealth over time through returns and compound growth — a distinction she said matters more in Nigeria than in more stable economies, given that inflation currently sits close to 16% and the naira has swung significantly against the dollar over the past year.

Money left idle in an ordinary savings account, she noted, is quietly losing value, while instruments such as treasury bills and money market funds currently offer returns that at least keep pace with the cost of living.

Anderson cautioned young Nigerians against investment schemes that promise unrealistic returns, advising them to fully understand the risks before committing their money. “While savings are important for short-term goals and emergencies, investing allows your money to generate returns over time,” she added.

Anderson further urged young professionals to manage debt responsibly, explaining that borrowing should be limited to productive purposes, such as stocking a business or acquiring income-generating assets, rather than financing weddings, ceremonies, or other consumption that leaves nothing behind to repay it.

She warned that borrowing to maintain appearances or fund impulsive purchases often creates financial pressure.

She also spoke about “black tax” — the pressure many high-earning Nigerians feel to support extended family — and argued that the instinct to help is not the problem, but the lack of structure around it often is.

“Helping family is not something I’d ever discourage. But when there’s no limit and no plan, it stops being generosity and becomes a leak no one can see. A fixed, agreed contribution toward a relative’s school fees or business is sustainable. An open-ended obligation with no boundaries usually isn’t,” she said, adding that this pattern of wealth built by one generation with no structure passed down, is a large part of why fortunes rarely survive intact past the person who built them.

She also encouraged Nigerians to diversify their income sources through entrepreneurship, freelancing, consulting, agriculture, digital businesses, creative work, investments and other legitimate ventures to improve financial resilience and create more opportunities for wealth creation.

The JB5 Investments co-founder advised young people to continuously improve their financial knowledge by reading books, attending seminars, listening to financial podcasts and learning from credible financial experts.

Anderson said financial literacy is one investment that consistently pays dividends throughout life.

She emphasised that wealth creation requires patience, consistency and long-term planning rather than the pursuit of instant gratification.

“You don’t need to earn millions before becoming financially responsible. You simply need to begin where you are, with what you have,” she said.