MODUPE VINCENT: EMPOWERING PEOPLE TO TAKE CHARGE OF THEIR FINANCES

At a time when financial literacy and empowerment are crucial, Modupe Vincent, a lawyer and banker, stands out as a guiding light for many seeking to take control of their financial destinies. With her impressive academic background, professional experience in banking, and passion for helping others, she has made significant strides in empowering women through her expertise in finance, law, and life matters. She tells Vanessa Obioha some of the money issues people confront daily.

Interestingly, Modupe Vincent’s story started with what she observed to be a generic abnormality while she was a top executive in the financial services industry in Nigeria. She observed that most of her colleagues in banking who earned embarrassingly huge emoluments were always broke before the end of the following month. She started to wonder what they were doing with their huge salaries. Then it occurred to her that most of her friends were violating what she described as the basic principles of prudent personal finance management. At one point, she decided she might take on the challenge of helping some of her friends to shape up financially. From helping one or two friends, she discovered that the network of bank executives in financial trouble was far more than she had envisaged. So, she decided to take it on as an assignment, which has engaged her fully since she started a couple of years ago. Vincent says the experience has been eye-opening.

One of the financial nuggets you will get from Modupe Vincent is the importance of planning your financial future. To the layman, this may sound like another balderdash preached by motivational speakers. But Vincent, who was recently appointed a president of a customary court in Lagos, brings a unique blend of experiences as a lawyer and a banker to her mission of empowering individuals to take control of their financial destinies. She firmly believes that many people’s finances and lives can be transformed if they possess and apply the necessary knowledge to their financial affairs.

To be sure, Vincent adequately prepared for the role she assumed. She graduated with an LLB and LLM degrees from the University of Lagos and was called to the Nigerian Bar as a barrister and solicitor of the Supreme Court of Nigeria. She is an alumna of the Enterprise Development Centre (EDC) of the prestigious Pan-Atlantic University Lekki-Lagos and of The Fate Foundation Lagos. She is also a certified financial planner.

Vincent’s background in law and banking has played a pivotal role in shaping her work and helping individuals realise their financial dreams. Drawing on her 25 years of experience as a lawyer and 16 years in the financial sector, she emphasised the importance of law in putting one’s financial house in order, from understanding legal steps in property transactions to deciphering joint ownership and beneficiary rights.

“Both law and banking have contributed immensely to what I do now,” she explained. “Law covers every aspect of life – and ignorance of the law can never be an excuse for your omission to do what you have to do or commission of an offence. It is not just about the theory, but the practical aspect – knowing that law helps to put your house in order.

“For instance, when buying a property, you have to know the legal steps to take. What does joint ownership of a property mean?

Is it sufficient to have just the name of only one spouse on the documents? Does ‘Next of Kin’ mean the same as ‘Beneficiary’?
These are some of the few legal mistakes that people make that cause problems for them later in future.”

In a similar vein, her banking experience has also provided valuable insights into financial principles. She emphasised that it’s not just about earning income but knowing how to manage and multiply resources to create lasting wealth.

“It is not really how much you make that matters, but rather, what you do with what you make. People have to understand that income is not wealth. It is not just important to make money (earn an income), but it is equally important to know how to manage and multiply your money (resources) and also make it outlast you.”

Continuing, she elaborated on the importance of planning a financial future, that is, when they can no longer work and earn an income but have to spend.

“Many do not put their financial lives in order; documents are not in place for others. In some cases, there is no documentation at all. People do not think about cash flow, creating assets, etc.”

To avert this, Vincent advises that people need to know where they are financially, in terms of savings, investments, debts, etc., and whether they are doing well or not, financially. Secondly, they have to know where they want to be financially and be prepared for the future.

“Ask what you need to do to get to where you want to be. Do you need to create another source of income or do you need to learn a skill? Anything that will help you in the future. You must start taking steps towards this. If you don’t know what to do, then ask questions.”

While Vincent’s interest in empowering people to make the right financial decisions stemmed from the pain and struggle, she witnessed people, especially women, endure due to their financial ignorance. She, however, noted that her purpose was mainly driven by this column where she learnt financial principles from the editor, Mr Ayo Arowolo. Hence, she has made it her duty to “affect as many lives as possible” with what she has; her knowledge and resources.

A particular demographic of interest for the entrepreneur is women. To address their unique financial challenges, she established the Financial, Legal and Life Empowerment For Women (FLEW), a training outfit dedicated to empowering women with knowledge in the areas of finance, law and life matters. She talked about the various ways she reaches women.

“I have approached teaching women personal finance in several ways: speaking in conferences, conducting training (both online and in person), in churches, etc., but in very practical ways.”

She also has a blog named after the outfit where she shares her knowledge and a YouTube channel, “Money Matters with Modupe.”

Vincent is the author of two books: “How to Make the Best of Your Money by Budgeting” and “Go Make the Money.”

Although empowering people in the financial field is her primary purpose, she also has a deep commitment to helping special needs children.

“My husband and I are launching our NGO – Oasis For Better Life Foundation. This will take care of what we are doing currently (imparting knowledge) and also take care of children with special needs – with emphasis on autism.”

As she continues on her mission to empower individuals and transform lives through financial literacy, she remains driven by a profound sense of purpose and a genuine desire to make a difference.

FREQUENTLY ASKED QUESTIONS ON MONEY

What does it mean to pay yourself first?

Vincent provides insight into this concept turned upside down by many people.

To “Pay yourself first” is one of the main principles in Personal Finance. The goal is to ensure that you have enough money saved before your monthly expenses are made.

“Pay yourself first” was a phrase first used in a book titled, “The Richest Man in Babylon” by George Clason.

Who do you pay first when you receive your paycheck (salary)?
If you are like most people, you will probably pay everyone else first (payment for food, utilities, transportation) before you keep whatever you have left (that is if you have anything remaining).
This in effect is paying yourself last.

What does “pay yourself first” mean?
– It refers to how you save money.
– It means you should pay yourself from your salary or from your profit and save into your own savings and investment account.
– It means you set aside a portion of your income to save and thereafter invest in something or an asset that will yield you more money.
– It means that you pay yourself first before you pay other bills. You have to treat yourself like a bill, an expense to be paid for. Just like you allocate money for your everyday or every month’s expenses, you also (first of all) allocate money for your savings and or investment (which is your pay-yourself expense).
– Paying yourself first ensures you manage (plan) your money before spending it on bills.

You must prioritise ‘your pay yourself’ account over and above all other bills you need to pay.

To pay yourself first means that the first bill you pay each month should be to yourself.

One major way to overcome the challenge of saving, and a great method for you to get to your financial destination, is to “pay yourself first”.

The major challenge many people have with starting or continuing with savings and or investment is finding the money to save or invest. While some people believe that it is difficult, others believe it is impossible to save and or invest.

Remember, if you are going to make savings and start investing, then it is up to you to start with what you have and to start from where you are.

It is not how much you earn that really matters – so no matter what your earning status is, you can afford to pay yourself first.
Financial Experts will tell you to start with a minimum of 10% of your income. For some, 10% is convenient to start with and for others, 10% is a “large” amount they cannot afford to start with, at least not for the very first time.

The truth is that rather than start with 10% (the minimum recommended by most Financial Experts), almost everyone can start with at least 1% of their paycheck or other money that comes to them, and you can gradually increase this amount over time.

START SMALL WITH WHAT YOU HAVE WHERE YOU ARE.

Your excuse should not be that you don’t have 10% to start with, at least you can start with 1%.

PAYING YOURSELF FIRST IS A MUST

Paying yourself first is not the same as setting money aside and then spending money on yourself. It is about you setting the money aside in a separate account for the long term or for the future (targeted towards a goal). By paying yourself first, you are making your future a priority.

As you begin a new month, you must ensure you just don’t continue to work without having anything to show for it.
Commit to an amount (whatever amount you can start with).
Set aside the amount you have committed to saving before spending the remaining part of your money.

You may not immediately see the benefit of paying yourself first but do not get discouraged. Your future is important. Whatever becomes of your future is dependent on what you do today. Do not get discouraged by the tiny steps. Remember a journey of a thousand miles begins with a little beginning. What you need is for you to be disciplined and to be consistent. Paying yourself first is about putting yourself first, which ultimately will help you make sure that you are prepared when trouble comes your way, especially financially.