The best time to start saving money is today. Saving money is a habit, and the longer you form this habit, the longer it will pay you. Understanding the benefits of interest on savings is also essential. Saving some money from your salary each month can add up to a decent amount pretty soon. So let’s look at ten useful and easy tips to save money in India in your early 20's.
1. Pay Yourself First
One important thing to understand about earnings is that our income is not the salary that we get. It’s the money we save from our salaries. It's a good to sign up for a systematic investment plan with a certain percentage of your salary as soon as it comes and puts it in an investment account. This makes sure that you save money monthly and ensures that you get interested in your savings.
2. No Addictions
We are aware that excess of anything is wrong. It’s easy to catch it in our early 20's, whether it be smoking or binge-watching shows on Netflix. Just like saving money, learning to avoid these addictions is also self-improvement and habit-building process.
3. Learn to Cook
Cooking your meals at home is a great way to save money at home. It not only works well for your wallet, but also helps you maintain a healthy lifestyle. Keeping ready to eat and fit snacks at home for evening cravings and learning to cook your favorite meals can help you avoid a lot of quick take away orders.
4. Workout at Home
We have all at some point or the other signed up for a three-month gym subscription that we hardly used for a few weeks. It is entirely alright to get one if you are sure you are going to be using it. But if you are just getting started, it could be a better idea to start working out at home. There are plenty of tutorial videos available online for free that can help you get started. Buying gym equipment one by one per your need could end up being cheaper, and with the time, you might get all the stuff you need at home—a great way to save money while building your gym.
5. No Credit Cards
Spending money before you have earned it is rarely a good idea. Saving money is all about keeping your expenses in check. Avoid using a credit card as much as possible and not use one at all if you are not sure you would be able to pay the bills before the month-end. The idea is to earn interest on savings and not pay attention to earnings.
6. Avoid Late Fees
With our fast-moving lifestyles, it is common for people to forget making monthly payments on time, which can invite late fees. It can be a good idea to automate your fixed monthly payments like electricity, phone bills, and rent through an app or get an app that sends you reminders for these payments.
7. Keep Track of Your Expenses
You can't manage what you can't measure. Saving money is all about understanding and better managing your costs. To maintain your prices, it is essential to keep track of them. It can be a good idea to use an app that can help you do that. You could also enter your income after savings and fixed expenses like rent, etc. The app can tell you how much money you have left for fluctuating costs like food and outings.
8. Use Public Transport
It is good to know that the most money-saving tips also help us improve our health or the environment. Using public transportation as much as possible can be a great way to save money. If you enjoy cycling and your workplace is at a reasonable distance, using a bicycle to go to work can work wonders for both your physique and financial goals.
9. Have Weekend Parties at Home
It is great to have a good time with your friends and office colleagues once in a while. However, instead of going out each time, making plans for home parties can be a great idea. It helps save a lot of money on food and drinks.
10. Go Energy-Efficient
Turning off lights and appliances when not in use is another way of saving money and the environment. Changing all-electric bulbs to LEDs and being cautious of electricity consumption while purchasing new electronic devices seems small but adds up with time.
These are ten simple and smart things you can do to start saving right away. Remember, it’s all about taking that first small step and being consistent in your actions.