These days, in our world of instant gratification, it’s more important than ever to be able to stay focused on saving money any way you can. So to help you monitor your spending habits and cut expenses, here are 20 easy ways you can save every day—starting right now.
A car for Rs 5 lakh, a house for Rs 50 lakh, several lakhs for a decent education for kids and crores for a cushy retirement. In fact, seemingly simple needs have been elevated to dreams due to the high cost associated with them. You require either a large income or a strategic plan to meet these basic life goals.
While the former may not always be easy for the average salaried person, the latter is certainly within reach, especially if you begin at the beginning.
1. Make a weekly “money date.” Commit to sitting down with your money once a week for a money date. During this time, update your budget, review your accounts and track your progress against your financial goals. Like any relationship, if you want your financial life to improve, you must spend time with your money.
2. Plan out your meals for the week. Taking a few hours every weekend to grocery shop and meal plan for the week will definitely save you money, as dining out is the No. 1 expense for most households. By eating at home, you save money that would otherwise be spent on tax and tip—and you usually save calories, too.
3. Budget Your Expenses with Budget Tracking Apps
Track your everyday expenses and make cuts accordingly. You don’t need to sit with a paper and pen or a spreadsheet and manually track anything. In this digital day and age, you can use an app for basically anything. Download a budget tracking app, set your budgets for various expenses and track how much you spend in each of those. This will give you a good outlook on your frivolous and excess spends that can otherwise be saved to build your emergency or raise investment capital.
4. Open a Recurring Deposit Account
Opening a recurring deposit (RD) account in your early 20s is the equivalent of opening a piggy bank in your childhood. It allows you the freedom to choose any amount that you can afford to put aside each month into the account. As the name suggests, you make recurring payments on a monthly basis up to the chosen tenure – 6 months to 10 years. At the end of it, you will earn interest on the amount deposited.
5. Consider a Mutual Fund Investment
At this point, you might be wondering, mutual fund investment before you’re even 25, on a meagre income? How is that a wise decision without even familiarising yourself with the financial market? Here’s a little something about mutual funds that may excite you – you don’t need to be a financial expert to invest in them. You don’t make the decision of where the money is invested. And what’s better, you can now invest in a mutual fund with as little as Rs.500!