I assure you if you read this article till the end you will no need to search elsewhere about ways to save money from salary. Let me give you an example of saving money.
Ram and Sham were two friends. Both worked in the same company. The salary of both were also exactly the same.
Both of them had the same education and both had the same responsibilities but still, Ram was always in debt and Sham always managed to save his money and never had any debt on him.
Sham was able to do this because he knew the secrets of saving money from salary and always used those methods in his life.
Actually, we all want to save money and we all make many promises to ourselves. But most people are not able to succeed and when we fail to save money, then we say that our responsibilities are excessive than our income and we blame many more things like this. But that is our own mistake for not saving money from salary.
6 Rules To Save Money From Salary
If we adopt only 6 things in our life, then we can easily save money and also be happy.
- Reduce anxiety
- Save first, Then spend
- Planning expenses
- Reduce wasteful spending
- Questioning and not using a credit card.
Now we talk about it in detail.
Rule#1 Reducing Anxiety
To save money from salary, first you have to reduce your stress. Many different experts around the world proves that a person spends more money in trouble while a happy person spends less money.
So if you want to save money, reduce your stress. There are many ways to reduce stress. You can search over the internet and find different ways to reduce stress. Only then you will be able to save money.
Rule#2 Save First, Spend Later
All of us fail to save money from salary because we all spend first and then think of saving while all successful people save first and think of spending later.
You should also save your money first and then spend it later. If you are doubt about this then you should do this practice and then see the results yourself.
You should save at least 20 percent of your income and to achieve this target, you have to start saving as soon as you have the money. Save the money first and then spend only the remaining money in hand.
Read Also, How to save money with a low income budget
To do this saving in a more effective way, you should open a new bank account for saving only. You have to decide that you will never withdraw money from this account.
So try to get this account neither online banking nor a debit card. Just have a passbook so that you cannot withdraw money easily even if you want, and the money you withdraw from this account is to be spent only for investment and not for any work.
Also keep in mind that in this account only 10 percent of your income is to be deposited, not more than that. You can deposit 10 percent of the rest in another account, which you can withdraw at the time of need.
You may find it difficult to save in the beginning. If you want, start at 5% and if that is not enough, start at 2% and increase it by one percent every month till 10% saving, but start from now.
Read Also, How much money should I have saved by 25
Rule#3 Plan your Expenses
Planning your expenses is as necessary as planning for saving. If you do not plan your expenses, then you will have to take a loan very soon and all the mathematics of your savings will be spoiled.
So in planning, you should pay all your bills first. EMI should be filled, school fees, insurance, and all such necessary expenses.
This way, you will not have to worry about these expenses and you will be able to spend your money with more understanding and relaxed mood. Also, you will not spend extravagance.
Rule#4 Stop Wasting Money
The next advice I will give you is to reduce wasteful expenditure. Many of us spend extravagantly and we don’t even know that we are spending extravagantly.
If we reduce these wasteful expenses then we can easily save up to 10 to 20 percent of our house expenses.
You can reduce it and in many cases, this number can be increased even more.
Buying a whole year’s wheat together is a great example of wasteful expenditure. Buying one-year wheat together and using it is 10 to 20 percent more expensive than buying flour and also painful.
But we do it because our parents and their parents used to do it. The things that were right in his time are not necessarily true even today.
You look at your bathroom, you use only 90 percent of the toothpaste and soap and the rest is wastage.
Many of us forget to turn off the lights in our house. This is just extravagance and these are just a few examples to save money from salary and avoid expenses.
If you notice you will see that a lot of expenses outside the house and inside the house which are wasteful expenses and you can save a lot of money by ignoring those expenses.
We are not asking you to be stingy. I say that you should spend only on your needs, just do not spend unnecessarily.
Rule#5 Do I need It? Think Twice Before Buying
One big reason for not saving money is that we buy things that we do not need. Whenever you are going to buy something, before you buy it, you just have to stop for three seconds and ask if you really need it and if your answer is yes, then stop for three seconds again and ask yourself, can you afford it without taking a loan or without using all your savings.
If you still get a yes answer, then buy it, otherwise, think again and do not buy the goods until you are completely convinced that you have to buy it.
Rule#6 Do Not Use Credit Card
If you have a credit card, it is very possible that you will also have a bank loan. For saving, it is most important that you do not buy any loan and no credit card at all.
Due to credit card, you pay up to 40 percent interest for a year and it would be great if you can get your credit card closed.
If you can not get it done, there is no problem. Keep it in a place where you cannot easily withdraw your money.
Use the credit card only if you have no other way. I will give you honest advice, do not take any loan unless there is no other way to take a loan.
Only then you will be able to save and by adopting good methods, you can not only increase your saving but also get more happiness.
So these were the 6 most popular ways to save money from salary. Now it is your responsibility to share this information with only 6 people.
These people can be your family friends or they can be unknown people at a place like Facebook WhatsApp group. You will share it with anyone, share at least 6 people so that they can save themselves out of poverty and make the country better.
I want at least 5 hundred comments on this article from you and if you still reading on this article, then surely you would have liked this article.
Please tell me your opinion in the comment. If you liked my article and I got inspiration I would love to write more on this subject related to saving money from your salary and avoid expenses.