Money saved is money earned.

Simple and easy ways to do so.

 

 

Hello,

What are the basic requirements of humans?

1. Roti
2. Kapda
3. Makan

And the fourth one has just added,

    4. Internet (Thanks to JIO !!!)

 

         We all know that these are the basic requirements but did anybody told how to earn them?

               

        Back in the golden days of childhood. There was no tension of these all basic requirements. We all get garam-garam Roti, fashionable Kapda and sundar-chota makan. Pocket money was like a treasure. Needed no sincere efforts for this. After all it was BAAP KA MAAL.

               

        After finishing education we started our job or business. After that only we come to know aate daal ka bhaav. Till the time nothing had a price tag. It seemed like upar se aata he. Now the vision changed. Now we are having a ‘majestic’ power of seeing a price tag on substances. WOW! What a power we acquire.

               

        Whatever we earn is always seems like less. Years after years salaries increase so, does inflation. Sakhi saiya to khub hi kamat he, mahengai dayan khaye jaat he. We are unable to figure out what is happening to the money. Kab aaya kab chala gaya pata hi nahi chala. And life becomes miserable.

               

 

        We want a good vehicle, bungalow, vacation trips, fancy gadgets, etc…..and the list goes on and on. We do have such goals in mind but unable to figure out how to make them possible.

               

        Earning meaning is a lot easier than maintaining it. Maintaining it needs smartness. This smartness needs daily efforts. We need to have smart habits to save money. Working out daily for these goals will make them come true. So, what are these smart habits?

There are seven golden rules to follow.

 

1. Making a budget

2. Must save a fixed amount monthly

3. Buy a Gullak

4. Save money for emergency purpose

5. Try to make a second income source

6. Take advice

7. Most important is Investment.

 

Let us Figure it out !!!

 

1. Making a budget:

               The monthly income is fixed. Also expenses. Whatever is left after your expenses is called saving. Savings can be put in bank FD, recurring deposits, or in a postal account. Earning interest on savings is a smart way.

 

2. Must save a fixed amount monthly:

               Like, keeping 5000Rs aside every month no matter what happens will help you a lot. This should be done in a disciplined way. Your habits need to be controlled. Keeping in mind for the future goals.

 

3. Buy a Gullak:

               Yes, this works! After some small purchases, we are left with coins in hand. Put them in Gullak. After a year or two, you will find it full. Break it, you will be surprised that there is a hefty amount of 1000+ Rs saved by just putting some coins into it. At least it will help in filling petrol for a month or two. Or, you can do whatever with that amount.

 

4. Save money for emergency purpose:

               This is the first step, But I took it here because to make a habit first. We should always have a liquid amount for emergency purposes. After calculating I come to know that at least an amount of six-month salary or profits should be available at any point in time. First, reach this amount and then only make any goals. This should be our prime goal.

 

5. Try to make a second income source:

               How can we make extra income? It's easy. Follow your passion! make money out of it. Like Small event photography, selling your painting, Selling your photographs, playing music at small events, Part time job, advisory, etc… These all extra money you can save for future goals. You have to figure out how to convert passion into income.

 

6. Take advice:

               There is no shame in taking advice. An advisor will help to reach your goals easily. He might be knowing many techniques that you have never thought about. Following his advice will help you not just sustain but grow. You should be frank to your advisor like you are with a doctor. You should not hide anything from him. His proper planning will help to achieve your goals faster.

 

7. Investment :

               Money in a saving account will never grow, Investment will do. With the help of an advisor, you can park your money and let it grow.

 The compounding effect is the 8th wonder – Albert Einstein.

Because of this effect, the results are fascinating. The more you stay invested. The more you earn. It’s a matter of time. Longer the time higher the return.

 

               Now, the question is where to invest? After some research. I found out the best way to invest is in Mutual Funds. But need to plan before selecting a plan. This effort will be done by an advisor. Then no need to worry. (Google about Mutual Funds and compounding effect).

 

              After reading patiently now you are a smart money manager. Make these your habits and achieve your goals. Because koi sapna chota nahi hota.

Loved reading this. Please comment your suggestions below.