SAVE MONEY:4 WAYS

SAVE MONEY : 4 WAYS

          Now a days everybody want to live a rich like life style. Shopping for branded fancy looking clothes, riding fancy cars. There is nothing wrong in trying to live like millionaires. But millionaires also live by  golden rules, they never spend more than their earnings. They have already future planning for 10-15 years further, even plan for retirement. If we follow millennial life style, then we should follow all their habits, not only fashion life style. But we on the other hand never plan for the future, rather we keep spending more than earnings on fancy lifestyle.

         According to golden rule of saving, we should put 15% of our total earnings into our savings account for future retirement plan. Once put into savings mean we shouldn't not by any mean touch that money for any other purposes.

Here are 4 ways to save money for future planning.

  1)Try Yourself into Saving More.

When we first receive our salary check, our first urge comes to our mind is to spend the money on different things. If we are not saving anything, then for first timer, we should try saving at least one percent of our total salary amount in savings. Gradually we should try to save more like 1%, 2%, 3%...so on.

          Especially younger workers have a tendency to spend more than on shopping, gadgets, bikes, cars. For them starting from small amount is good. When they get used to this savings thing, they can try to increase more percentage of earnings into savings.

         Remember desire of having money brings great joy, comfort. But joy/comfort has very short life span. When comfort and joy ends and sure it ends, then we again need to work more to have more joy. That way we never be able to stop working and can never be really rich. Never driven by the desire.

  2) Hold off The Idea of Having a BMW, at least for now

We people love to impress friends, by riding a very branded car like BMW,AUDI. We think it makes us look cool. We sometimes buy car on auto finance. Financed money means the money, that we haven’t own yet. During the repayment procedure we end up paying even more money, than the original car price through interest.

          The money that should go to the savings for our future planning, we spend that money on cars just to impress.

  3) Use Credit Card as less as possible

Most people love their credit cards, as it gives the opportunity to buy something without even having the money in the account .We take the money as loan from banks and later we pay to the bank.

                Credit card use concept, not totally bad. Sometimes on emergency basis we can use the credit card. But the opposite we use the credit card to buy everything. So owe end up giving more interest to the banks. Moreover there are some fine for over usage of credit, fines etc. which leaves us paying even more.

                We should wisely use the credit card, only when necessary. It’s not that rich people don’t take loans. They take loans not to spend on shopping or on buying grocery items, instead they use that borrowing money on investments for growth of their company, or on stock market, mutual funds etc.

                        The loan that costing you to pay higher interest rates, try to repay it very first.

   4)Keep Track of Your Expenses

It is always good idea to keep track of our expenses, so that we can know, where we spending most and where we shouldn't or we are unnecessarily spending.

              Often times we spend our money on goods and services on unnecessary things, that we don’t even really need. By keeping track, we able to identify and can cut short our unnecessary spending.

                For example “You may find that you’re paying for Amazon, which is costing you $100, but you only use Netflix”.                                    For better keeping track of spending there some apps also available which you tracking easily. You can use those apps if you want.