Saving money isn’t difficult. All we need is a little patience and consistency. However, it may be challenging without committing to a bit of discipline.No matter how hard you try, unexpected expenses are one of the things you can always expect – a Friday, forgotten bills, guilty pleasures, and many better-unsaid things.Saving money is simpler than filing your income tax. In fact, it’s much simpler. You don’t need things to be magically aligned. You can start immediately.Let us tell you how!
The Strategy
First things first–ask yourself, why do you want to save? And then, break down your primary savings goals, which can be:
- To build wealth
- Stay prepared for emergencies
- Get tax benefits
- A good life cover
- Save for retirement
Now let’s plan a strategy for you that will help you cut down your spending and help you save more.
Track Your Spends
The first step to start saving money is to record all your expenses. Using your card and account statements, figure out your monthly expenses, including your bills, payment, or daily coffee.
Determine Your Priorities
Before you start investing, make sure you have an emergency fund – which should be 6 times the amount of your basic needs (rent, food, household expenses, loan repayments and EMIs etc.). Get health insurance and life insurance for yourself and your loved ones, which should also give you tax benefits.
Say Goodbye to Debt
Monthly credit card bills or debt payments might seem little, but they slowly turn into a giant money-sucking alien from the movies.Debt will rob your peace of mind, sleep and income.Don’t worry, and you can win this by changing your spending behaviour.
- Use your credit card on NEEDS. Not WANTS.
- Clear the dues immediately
- Prioritise your monthly needs
- Spend the money left after savings
- Maintain a good credit score to get cheaper interest rates
Challenge Yourself Not to Spend
We understand the importance of a weekend. But weekends not spending money can be fun too.Consider any random month or week as no spend days, stop buying non-essential things and challenge yourself to control the urge to spend.Learn to say NO.And, please don’t buy winter clothes from a summer sale.It doesn’t look good. Now, does it?
Get a Savings Account With Benefits
Money may not grow on trees, but it does grow in Freo.
With an attractive interest rate of up to 7%*, you will watch your money grow faster than any regular savings account or a fixed deposit.It is quite easy to fall into the habit of overspending. But it is precisely for this reason that saving is one of the most effective ways to develop self-discipline.It doesn’t matter how much money you make. What matters is how you spend and save the money you make.
Pack your lunch and eat at home
Eating out is supposed to be an experience. Remember?The rise in prices of various commodities, including cooking gas and edible oil, is not slowing down. Hence, takeaways or your orders for home delivery will be costly.By the way, discount coupons are also drying out.Buy those groceries and learn to cook or hire someone who can.The progress will be visible when you sit down with a pen and paper to calculate your spending.Your savings will pile up. Once you see those numbers, you’ll never look back.
It’s time to declutter your house.
It’s time to join the cult of minimalism and sell everything that doesn’t bring you happiness.Don’t misread us here. We are trying to say that there will be things in your home that you don’t need. Sell them off!Let go of that old chair, clothes you don’t wear, things you bought and don’t know why, and realise that you don’t need much to live a happy, healthy life.You don’t have to live in a tent to save more money. Make saving money a priority.Now listen carefully. You’ll only save money if you prioritise your future needs over current wants. Whenever you see some flashy sneakers or ridiculous discounts in a mall, chant the mantra highlighted in italics.Happy savings to you!
