How can I increase my monthly savings?

Inflation has hit many areas of in the lives of the people. Each and every product from electronics to grocery has hit skyrocket price. Hence, there is always a burden on each individual as the expenditure is on the higher side leaving no scope for savings. People are often in a fix on how to save sufficiently each month.

Here are some methods that can help in increasing the monthly savings:

Spend only on Necessities

  • The excessive expenditure often happens when the individual is keener to spend on luxury items than the necessities. These luxury items pinch your pockets and often need to be replaced in a couple of years which include electronics, cosmetics, etc. Cutting down on this expenditure in the first and the foremost step for saving.

Utilize Public Transport

  • We all prefer to travel comfortably and at ease to our workplaces. But this comfort gives a heavy blow to our income. A person must try and use public transport as much as possible which is both possible and affordable. It contributes to a major share of your savings. It also cuts down on the cost of petrol or diesel which is equally expensive.

Avoid eating outside

  • With both wife and husband working and lesser time to prepare meals is forcing many employees to take lunch outside. Eating regularly outside is not only a burden on pockets, but also upsets stomach and ultimately ends up in medical expenses.

  • Squeezing in some more time and carrying tiffin boxes and water bottles with us help us in saving money and also staying healthy. With this savings, we can afford to visit an expensive restaurant once in a while which will be relief and refreshment from our daily routine.

Prepare a Monthly Budget

  • Some people often claim that they are unable to understand their own expenditure. Hence, making a monthly budget of expenditure is extremely essential.

  • It helps in understanding which are the areas where maximum expenditure occurs and how can they be worked upon.

  • The Budget helps in fixing targets of saving for every month.

Avoid using Credit Cards

  • Credit cards are very tempting, as we need not pay the money immediately and we can use it even if we don't have money in our savings. The burden of expenses falls on us only when we have to pay back, and if we default, we have to pay with interest.

  • It is advisable to use credit cards only if you sure how and when you are going to repay the amount. Using liquid cash helps us keeping more accountability on the money.

Updated on: 13-May-2022


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