Has saving been torture for you in the past few days because you made a new year resolution to do so? Or do you still feel the 10% you save from your income for your future or pension or investments is not good enough for you? Or have you started doubting the 10% convention on saving percentage?
If the answer to the above questions is a Yes for you then there is a high possibility that you are struggling to save that bit. Convention says that saving 10% of your income is enough to secure your future financially but that has number has come a long way already. Now when the standard of living is outperforming itself every single day and living expenses are sky high, 10% won’t do much good to you later on. The iPhone you used to get in around 30K, 5 years back now costs 75K. The inflation and expenses are flying high then why not savings?
Here we are with 4 key tips to help you save a little more in a planned way;

1. No to high-interest debt
If possible, avoid debt in the very first place. If you find yourself in a situation where taking debt is the only option available, do your homework and settle for the one which charges a minimum interest rate. High-interest debt digs a huge hole in the pocket stealthily and you will not even realize you are left broke by the end of the month.
High-interest debt monopolizes the route of income and hence savings. there is only one direction your money flows into and that is the installment of that debt. Avoid using credit cards which charge a high rate of interest until it is the only option or has some really good scheme to offer. Make sure you spend only the amount you know you will be able to pay by the end of the credit cycle.

2. Swear by your budget
Remember we talked so much about preparing a budget and the benefits of it? I am assuming that you would have prepared one for yourself to stick to your savings and making things transparent for your own self.
Once you have your budget in hand, swear by it. If you have allotted a 20% to savings part, do it and do it now! Read https://www.piggy.co.in/blog/budgeting-in-2019/ to know more about budgeting.
Do not procrastinate on savings part. Everything else, if it is not an emergency, can be delayed but not savings. Take your savings as your only savior for your later years or the thing you desperately want to have. have a clear picture of where your money is flowing, what are your fixed or regular expenses and leave a room for one-time expenses as well but do not cut short on the savings part.
If you feel your income is falling short on your budget, plan again or start working on an alternate source of income.
There are a lot of options available these days to make some more money outside your job.

3. Prioritize your retirement account
This is one of the most urgent and important things that need to be done right now. Majority of the youngsters do not realize how important it is to save for retirement early. Now that when you do not have many responsibilities to take care of, make the most of this and save. According to a survey conducted by HSBC, only 33% of the working population in India is saving for their retirement while a good 76% expect their retirement to be comfortable. 56% of people live on a day-to-day basis which is going to pose a huge problem in the later years.
If you have not started yet, save for your retirement and I suggest max out on retirement savings. this has two benefits; it will be rewarding in your later years plus it comes with tax benefits. Look for schemes that suit you best. You can go for Government on India initiative for pension schemes, NPS. Read more at https://www.piggy.co.in/blog/retirement-planning/

4. Invest
Last but not least, invest your saved money. This will give a boost to your saved money and help grow it. Like I said above, investing is one of the alternate income sources. They may seem like another form of expense initially but try and look at the bigger and broader picture. If your Re. 1 invested today becomes a 50, 5 years down the line, there is no harm in this Re. 1 expense today.
Start a SIP and make a progressive investment towards a financially secure future. Visit https://www.piggy.co.in/

Saving a bit more (or 20%) is not too hard a task, all you need is a plan, a budget, and a disciplined approach. It does not require you to earn too high to save more, follow these insights to do your savings bit.
Start Saving, start Investing!

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