We have recently started a Family Fund with my siblings and close cousins plus their partners. The main objective is to secure our children’s education and also for personal development. Initially, everyone who subscribes pays a minimum of UGX 50k per month. Membership is voluntary. The money is put in a unit trust with XENO. Members earn interest on their savings. When school fees are tight or their is a financial need, members can borrow up to 3 times their savings, which they pay back slowly. Members can also exit the group whenever they want. We have created a steering committee comprising of a chairperson, treasurer, and secretary who will streamline the rules and legalities. We are currently 10 people in the group meaning in one month we collect 500k and in a year 6.0m. In 10 years with compounding this cash can accumulate to over ugx 100m. In 20 years when the kids start going to college, the cash could amount to over ugx 400m. This cash can secure quality education for our children.
Those who can, can save more than 50k. I have pledged to seed the fund with ugx 1m to accelerate things. We hold an online meeting once a month to review progress.
We are using the XENO app for now. I created a group account on XENO to manage the whole thing. Individual contributions are held in personal accounts with XENO. Members can monitor progress of their individual and group savings on the XENO app. Any withdraws have to be approved by the chairperson and treasurer. I am serving as interim treasurer. For now, we are not encouraging withdraws until we accumulate some tangible cash.
The overall idea is to promote financial wellbeing, support each other as a family and to change the narrative of relatives not being able to work together to achieve a common goal. The fund hopefully will grow into something meaningful to support the education of our children. And remember the best way to transform a society is through quality education. And also if you want to go fast go alone, but if you want to go far, go together.
Unlock your true potential 