Money has become a major thing in everyone’s lives. After all, how can anyone live without money? Well, animals can – but humans need it now more than ever before. Yes, from basic commodities to everything else, everything costs you money. For that reason, saving money has become an essential skill. Millennials are a generation known for living paycheck to paycheck – combating rising inflation and the lack of awareness in financial planning has not made it any easier
But how difficult is it to save money in India? Well, not too tough to be honest. It’s not just about making huge investments and earning more, sometimes taking little steps to ensure that you are using your finance smartly can make all the difference. Here are 10 easy ways to save money in India.
Maintain a Savings Account
That’s right, a good way to save your money is to maintain a savings account. In short, this is an account where you can keep your money for safekeeping. And you will earn an interest amount on your balance in the account. You can say that this method is more advantageous to you because you can withdraw it anytime you want. After all, life is full of uncertainties.
Maintain a Monthly Budget
Yes, this is the most often repeated tip when it comes to saving money. But, it also shows just how effective this method is to save some of those unnecessarily spent bucks. That’s right, another simple but powerful way to save money is to make a monthly budget. The fact is, you will get a good idea about how much you spend and how much you have at hand with this method. Then, you can make smart decisions that will help you to save your money. Of course, each individual’s and family’s monthly budget will differ. So, the key is to prioritize your expenses when you make the budget.
Diversify Your Investments
In recent times, investments have been a popular topic among the public. After all, investments allow a person to gain wealth without much effort. On the other hand, there are risks with different types of investments. For example, having stocks is a great way to gain wealth. But, having that alone is a risk. Of course, you can have other forms of investments like real estate investment. So, even if one doesn’t give you the expected gain, you won’t end up with a huge loss. In other words, when you diversify your investments, you reduce the risk factor, while increasing your chances of both earning and saving more money.
Buy Health Insurance
Well, this may sound odd to you. But, the reality is that you can save a lot of money when you buy health insurance. Surely, you know how much money you have to spend because of an illness. And, you know that the health sector is not a cheap one in India. On the other hand, you cannot quickly bring out a large sum when you need it the most. For that reason, buying health insurance is the best way to save your money.
Save Money on Traveling
Whether it is to and fro from work, or traveling to other places, you can save money in India on traveling. Of course, you need to plan for this. One way you can save your money is by using public transportation. You know how much the fuel prices are going up. So, rather than using your own vehicle, try to carpool together – especially for work. Next, plan your route. Yes, these little things can make a huge difference for your pocket.
Save Money on Income Tax
That’s right; you can save money in India on income tax. Well, there are relaxations in place that allow you to pay less income tax, by making the right investments. This way, you can save your money. Things like a national pension scheme, health insurance, and even your rent can help you do this without much trouble.
Surely, this may sound like a cliché to you. Still, you can save a lot of money when you avoid debts. Of course, if an emergency comes up where you need money immediately, you cannot avoid it. On the other hand, if you want to buy something you don’t need immediately, you could end up with unnecessary debt. In turn, this could drain all your savings. So, avoid taking debts if possible to save your money.
Paying Off Liabilities
Another good way to save money in India is by paying off liabilities. For starters, you can reduce the interest you have to pay for the debt or the credit card you have. Yes, the sooner you start this, the less money you will have to pay up. Next, you will get a good credit score which can give you a hand when you need it the most, especially when it comes to getting a loan. Finally, the money that otherwise will go for such liabilities will become extra cash you can save.
Save Money by Claiming Deductions
Perhaps, you can say that this is much easier than it sounds. Yes, you can go to the income tax portal and save money by claiming deductions. Well, you need to enter your details, and if eligible, you can claim the deductions. Think about it – the money that goes to the government as income tax stays with you because of such deductions. So, check out whether you are eligible and make a claim to save your money.
That’s right; you can save a lot with online shopping. For starters, you can find a ton of coupons to use, and then you can compare different products to find the one that has the best value for your money. So, go online shopping to save your money smartly.
Hope the above methods help you to save money in India. Yes, saving money is the best way to be prepared for now and the future.