You will not believe what Black tax is all about.
When I first heard about Black tax, I automatically assumed it was a levy that people of color pay to their government. Such a notion confounded me so I quickly went to consult my dear informant, upon which my ignorance was cleared and I received enlightenment. And now, I will share this knowledge with you in layman’s terms.
After all, it is only he who does not know and does not know that he does not know that is a compound fool. Read that again if you’re confused.
Concept Of Black Tax
You know one funny thing? Everybody pays Black tax without actually realizing it, because they refer to it by another name, which you might know.
Black tax is billing. No more, no less.
Imagine you’re a person who just graduated summa cum laude and works a white-collar job five days a week, earning a seven-figure salary. Of course, we know gratitude improves the quality of life and it feels good to show appreciation to cherished ones. Sometimes, however, it gets a little intense.
Black taxing usually comes in phrases like:
- “Congratulations on that promotion, bro! Let’s celebrate at Domino’s tonight! I’ll invite the gang”
- “Oga Ade, we don hear say you don enter Assembly House. When you go fix our road?
- “Heard you moved upstate, nephew. Glad to see a brother making it out. All thanks to family, ain’t it?”
- “Darling, you are the apple of my eye for buying that industry. Now, Jimmykins, when does momma get a new car?”
Even not being a graduate doesn’t exempt you from black tax. Maybe you dropped out of school for unforeseen reasons and took up a trade. Maybe you own a food truck or sell merch online. As long as you’re doing well or making profitable income, there are people waiting (like vultures coming to roost) to collect that urgent 2k.
That is the concept of Black tax. I might have said the black tag leans a little toward bias, but since the culture is common among the African community, no one can really complain.
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Definition Of Black Tax
To put it simply, black tax refers to financial support that is expected from a person in a black community. The term black tax originated in South Africa (no surprise), but is widely used across the world.
In most cases, individuals pay black tax to the community and family members with or without prior notice. In fact, the general idea, especially in Africa, is that once someone gets a good job, they should start offering this support to their families.
The equation of the black tax is linear. An average individual, with the assistance of his family and the community at large, will work hard in school, have goodwill and be morally upright. Eventually, he goes to a college, gets a job, and immediately begins giving back to the community and family members.
So the billing begins.
The word tax probably comes from the fact that one is paying back for the help they received from their community and family through school. And Africa, unlike many other parts of the world, has always been very communal. The famous saying “it takes a village to raise a child” is taken literally.
Therefore, these children grow up to be adults that feel indebted to the community and family. There is an implanted need to pay tax back to those that contributed to their education. A white person could never. Hence the term Black tax.
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Instances Of Black Tax
In countries in Kenya, for instance, there is a culture called ‘Harambee’. It is quite common. ‘Harambee’ is a Swahili word that means let’s pull together. It’s famously used in fundraising efforts, especially those that involve community service or raising school fees. In some parts of the country, it is unheard of that one can turn away a request from a parent raising school fees.
So when they grow up, these…human investments feel indebted to the community and therefore pay taxes as appreciation.
If I were to let objection guide me, I would say the case is prevalent in Nigeria. My opinion is limited to experience, yes, but there are several experiences. It is no secret that when you reach a certain stage in life, it falls on you to lend a shoulder to the ones who guided your path.
When young individuals who need money for education or business (whether local or international) do some fundraising to gather money, community members expect these youths to pay taxes when they get a well-paying job.
When they succeed.
What many people won’t tell you, though, is that Black tax can bring a lot of pressure.
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Effects Of Black Tax
Many have argued that much of black wealth gets stunted in the continuity of such cultures. While it is good to keep the spirit of community and help people that are in need of financial help, Black tax is a form of financial exploitation from the extended family. It has continually contributed to perennial poverty in most families in Africa. Especially in families where we have too many ojukokoro.
Not familiar with the term? Read this article on popular Nigerian slangs.
Many young professionals and youths in Africa are unable to progress well due to the curtailing effects of having to plow back the little income they get at first in form of Black tax. In some cases, the financial need is too much that people take out loans to cater to the needs of the extended family. This means that people are constantly getting into debt, instead of investing for the continuity of the money.
Ways To Reduce Black Tax
As a young African who has responsibilities that don’t involve your community, how do you make sure that you not only anticipate this black tax but also work towards managing it?
Clueless? Well, I am not. And I exist to assist the ignorant. You’re welcome. Here are some tips:
You Can’t Help Everyone
While it took a village to raise you, you cannot raise a village. Come on! You’re not Baahubali.
You must understand it’s a bit hard to give back to all of these people. Normalise saying no to financial requirements that you cannot meet comfortably. Getting into unnecessary debt only leads to financial derailment.
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Teach Your Community Responsibility
In addition to saying ‘no’ (read this article for a little tutorial on that) it could be helpful to follow it up with reasons and teach family members responsibility, especially on financial expenditure.
Where possible, you can find out the greatest need for money and make an investment that can give cash flow to be used whenever these needs arise. This could be informed by setting up a self-generating business, such as a retail shop for the family to rely on. Doing this will mitigate the financial needs and requirements of the family and in return give your bank account a break.
Also, it’s important to advise people on saving tips where you notice that there is porous spending.
Plan Your Budget
Rationally speaking, it takes a while before the community comes around to this Black tax menace. Therefore, it could be wise to always set aside some part of your income to cater to such requests from your family. Putting this in your budget makes it easy to meet the need without plunging into debt.
While Black tax is prevalent in the African setting, it’s possible to mitigate its effects and to help teach the community to manage their expectations.
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A Word From Battabox
Black tax aka “billing” can be very frustrating at times, especially when it comes unexpectedly. Twice as annoying if you also don’t earn enough. However, the abovementioned practices can help you reduce the effect of Black tax and save some money.
If you have any questions, let us know below.
