Saving money is easier said than done. There are many who master the art of saving money and know how to take their savings to the next level – with key habits. Here are some habits of effective savers that will set you up for success.
They pick a strategy that suits their Personality
Your money, your ways. Getting an overview of your earnings, spending, saving and financial goals helps in creating a strategy that suits your financial profile. The amount and ways in which you save will form the crux of your strategy. Saving is more fruitful when its methods suit your personality and your motivations.
Success is measured when a goal is reached. In a similar manner, setting financial goals and reaching the goals is how one can achieve financial success. Create different funds for saving towards different objectives. For example, saving for a house, saving for an annual international holiday, saving for a course that you want to pursue.
Successful savers prioritize. They do not get carried away with spending on short-term gratification when they are aware of more important objectives in their life. Prioritizing is the only way to reach important financial goals.
They maximize their money
Not spending is only the first step of saving money. To make saving effective, it needs to be channelized in the right instruments and plans that help the money grow. For example, most probably, money idle in your bank account will earn much less interest compared to returns on money invested in mutual funds.
Effective savers use automation for their savings. A fixed amount directly going to a savings account from your salary cheque or cash back earned from credit cards routed to the savings account will mean you are contributing to your savings regularly, you do not have to manually calculate and transfer money to other accounts. Automation does it for you.
How can SaveAbhi help you?
SaveAbhi helps you become an effective saver. You can automate your savings with the app by saving your spare change every time you spend. That way , you do not have to especially spend time or effort on putting money aside. With the SaveAbhi app, you’re topping up your savings regularly without compromising on your spending habit.
Three simple steps to automate your savings:
Step-1: Download the app
Step-2: Set up your account. All you need is your Aadhar or PAN number and bank account details.
Step 3: Once registered, opt for auto mode or manual mode.
With every purchase you make – whether it’s at a coffee shop, a restaurant or at a gas station – SaveAbhi will automatically round up your expense to the next hundred and saves the spare change. Once the savings adds up to Rs 500, your money will get invested in ICICI Prudential Flexible Income Plan – a Crisis AAA rated debt fund. This fund gives you the safety of a fixed deposit, unlimited withdrawal without charges and above all, returns better then your bank fixed deposit.