We’ve all thought about taking that long break and escape ourselves to beautiful landscapes away from home. And then, the plan gets aborted midway because it’s never going to be something we can afford. We’re a generation filled with workaholics, where we work like there’s no tomorrow. And when it’s time to celebrate after work, the reality leaves us with empty pockets.
Have you ever wondered where did all the money go? Did you drop or lose that money somewhere? Well, the answer is NO. You just didn’t save enough!
Treat savings as your utility bills
This is easy! In the beginning of the month, most of us settle or clear bills such as house rent, electricity, internet and water bills. Similarly, you could add “Savings” to your list of bills and start putting aside a fixed amount every month. It could be as minimal as 1000 INR a month to start with and then gradually increase the capital.
To get better returns off your savings/investments, plenty of options are available out there in market.
Here are few tips to step up your savings/investments game.
Investment without Risk
During the initial days of investing, a budding investor would always prefer an investment options with known risks rather than unknown risks as safety of investment becomes paramount than the returns. Fixed Deposits (FD), Personal Provident Fund (PPF), National Saving Certificate (NSC) are some of the best saving/investment options in India that you could invest in. These options are suitable for long-term investors.
Investment with Risk
Investing in assets like Equity Mutual Funds, Gold, Real Estate, Stock Market Trading are few investment options with higher returns. They are suitable for investors with higher risk appetite. These investment options yield higher returns but comes with higher risk and lower liquidity. If you invest in these options with knowledge, you could easily manage risks and align it very well with your financial goals.
Insurance to cover Risk
Insurance is a must, as they aim at protecting or covering you and your loved ones financially from a probable future risk. Few must-haves insurance plans are life insurance – secures your family after your death, car/vehicle insurance – ensures that major accidents don’t leave you bankrupt, health insurance – ensures that medical bills don’t dig a hole in your pocket. On the flipside, they also help you save your taxes.
These were few options to get you started with your investment/savings plan. In our next blog, we will be discussing about each of these saving and investment options in greater detail.
“A goal without a plan is just a wish”