Motivating employees is not an easy task, due to the fact that what motivates employees seems to change overtime, and different employees are motivated in different ways according to their needs. It is a general idea that, employees can be motivated by two kinds of motivation,which are intrinsic and extrinsic motivation. The reason of doing this research was to prove that,the general idea we have, about intrinsic and extrinsic employee motivation, being influenced by demographic characteristics is true. Therefore in this paper, I particularly wrote on the idea of motivating employees, and how other authors indicate motivation and its types, how they differentiate or relate the intrinsic and extrinsic motivations, also how demographic characteristics influence intrinsic and extrinsic motivation. The methodology of the study included three theories which guide motivation by looking into individual behaviors. Those theories are Maslow’s Hierarchy of Needs, Two-Factor Theory and McClelland Three Need Theory. The data collected for the study was from employees in a financial institution called AccessBank, for branches located in Dar Es Salaam, Tanzania. Data was analyzed using a Statistical Package for Social Sciences(SPSS), and I used description statistics to summarize and present the information obtained. I finally concluded by looking at both the intrinsic and extrinsic motivation, they are both considered to be important in motivating employees. But demographic characteristics are to be considered as much important for motivating employees in the specific working place, since different people tend to be motivated differently.