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Ways to save more money after your monthly expenses

Fuel, food, household items, clothing – everything is becoming more expensive than ever – making saving especially difficult for young people. Although saving and investing regularly may seem difficult, it’s really just a healthy habit of sticking to a budget.

Let’s say you earn ₹20,000 per month and want to save at least 30%, or ₹6,000. Here comes the difficult task of regularly saving money, no matter what. If you feel you are running out of money for your monthly expenses, look for alternative income but don’t reduce your savings.

There is a lot of ways to save money due to growing financial awareness – also helped by social media influencers.

Money Insider dives deep into the potential to shift global financial consciousness. It brings together the best young voices in the industry educating millions of millennials, Gen Z and more.

One of those influencer couples — Abhiraj and Niyati aka Abhi and Niyu. This power couple has started a YouTube page called “Let’s Make It Rich” which talks about the rules, principles and ideas for managing your finances.

The duo have amassed over four million followers on social media platforms. Featured in Forbes 30 under 30 of 2021, both aim to offer solution-oriented content to its fans.

Abhiraj and Niyati shared some great ways to save, invest and increase your income.

#1 Invest in fixed return instruments
The first rule of investing is “don’t put all your eggs in one basket”. Thus, you need to diversify your investment to mitigate risk. For example, invest part of your savings in term bank deposits, mutual fundpublic pension plans, etc.

The idea is to invest regular amounts in these investment classes for a long time and generate good wealth. Diversification is important because it prevents your portfolio from being too heavily weighted towards one company or sector. This helps spread risk and ensure your investments are sound and protected over the long term.

#2 A few extra bucks on the side
In the age of the Internet, earning a few extra dollars doesn’t seem very difficult. In fact, one can earn extra income from the comforts of home without stressing too much. There are freelance jobs you can take up such as content writing, website design, digital marketing, or graphic design. Here you can work at your own pace and be your own boss. Another way is to create a blog, create a YouTube channel, tutor children, bake cakes, etc.

#3 Assess your spending habits
Analyze your spending habits to understand if certain costs are unnecessary and can be reduced, such as credit card bills. Avoiding these expenses can save a good sum which can be directed towards investments.

Another easy way to analyze and improve your expenses is also to prepare a detailed report Monthly Budget. Junk food and entertainment are the most popular categories that fall under unnecessary spending.

We can also separate the budget into wants and needs – ‘needs’ includes necessary expenses like food, electricity, rent, internet and ‘wants’ includes expenses we do otherwise.

#4 Automate your investments and be consistent
When it comes to investing, regular investments are more beneficial than a lump sum. In a regular investment, one has to invest a particular amount every month, regardless of the price of the asset.

Some investment products like mutual funds have options like Systematic Investment Plans (SIPs) with options to automate your investments. They withdraw a fixed amount from the bank each month to invest in a fund. This process eliminates the emotions associated with investing and avoids any delay in using your money. It will also make you a disciplined investor.

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