Personal Finance

9 Practical Ways a Salaried Individual Can Save Money

Practical ways for a salaried person to save money

An average Indian between the age group of 18 and 35, spends approximately Rs. 7000 on eating outside food. 30% gym memberships go unused and more than 45 litres of water is wasted per day. Indians at large are callous about with their spending and let's face it, they're pretty unaware about investing as well.

Although, there are ways through which one can save money and no, you do not have to make astronomical sacrifices to lead a slightly prudent life.

Ideally, the expenses, investing and spending should be at a 50:20:30 ratio. Expenses should include inevitable expenses like rent, investing should be inclusive of money parked in instruments that will fulfill your financial goals and spending should include the leisurely activities that you pursue.

In the blog below, I will explain to you 9 simple things that you can follow, which will save you a huge chunk of money.

Let's get started!

9 Ways a Salaried Individual Can Save Money

Below are 10 simple ways to start saving.

1. Cook in the House, in the House Cook!

ways to save money- Cook in the House

Believe it or not, but food is one of the biggest reasons most of our wallets are empty. Most restaurants market their food to be unique, but deep down you know the food is expensive and in a couple of cases you could whip up something better.

The digital age can transform you to be an indoor chef. Experiment with cuisines, buy good quality ingredients. It's healthier and you could save oodles of money.

2. Sticking to Gym Memberships

We know around what time gyms make a horde of money. But after the 'new year' hangover subsides, we're back to our comfortable pyjamas, Netflix and chilling.

But what about the wad of cash we just spent? Yes, we all live busy lives and it is a task to adjust work and fitness but think about the monetary loss you subject yourself too. Most gyms take a fee of Rs. 10,000 on an average

Therefore, go to the gym only if you think you're determined to complete the course.

3. Carpooling

how can i save money- Carpooling

Carpooling is famous in countries like Japan and is slowly gaining precedence in India. Many companies provide cab facilities to their employees for a nominal fee.

For those of you who do not have the option to avail transport, you can always pool in with someone who lives near your house or use a shared taxi. Or even use the public transport. If you think it's hard to do it everyday, you can try it 3 days a week maybe?

Imagine how much money you would save and it would be a boon to the environment.

4. Be Mindful of Your Grocery Bill

When you enter a super-market, you may get carried away and buy things that you may not really need.

The neat kiosks of chocolates, delicious products or new varieties of vegetables can get you to overspend. But hey, these are retail marketing gimmicks.

The chocolates kept next to the billing counter, is just a way for you to impulsively buy the sweet treats while you're billing. You can afford to do it once in a while, but if you're mindful about your grocery budget, you can save a significant amount!

5. Shop During Discounts

how can we save money- Shop During Discounts

The internet brings us a world of possibilities. There's always an online store or an outlet that either has a clearance, festival or new year's sale. Often you will find decent products with heavy discounts.

Make use of the opportunity, you can spend was lesser. For example,If your birthday is in June, you might as well grab the opportunity to buy that perfect shirt during the New Year sale!

6. Car and Health Insurance

You must be thinking why these insurances are on the list. Afterall 'you' will have to pay an amount to avail them. However, uncertainty is the only certain thing in life and if you do get sick or your car meets with an accident, the amount you would have to shell out, would be off the roof.

It's a better option to avail for these two insurances from the beginning, so that you're prepared for unforeseen situations.

7. Your House is a Money Wasting Fountain

We're not even joking.

As mentioned above, an average Indian household wastes almost 45-50 litres of water per day. We always complain about the electricity bill extremely high and one of the reasons is because we are callous.

Think about  how many times you have switched the light and air conditioner on and left for work? These actions are not just heavy on your wallet, but also on the environment.

You can also reduce your telephone bill by availing for family plans, which you can share with your family members or even friends. There are plans with network providers that range from Rs. 999 (unlimited talk time) for three phone numbers. These plans are winners. Think about subscribing to them.

8. If You Don't Need it, Sell It!

You have a lot of things lying around that you don't particularly need. Like extra clothes that you haven't worn, or even gadgets.

These are items which are in relatively good conditions but you don't need them. Why not sell them and make an extra buck? Various online portals like Quikr and even Amazon accept second hand items for resale.

You could even donate retail items. You might not earn money, but you can make some people super happy.

9. Invest in Tax Saving Instruments

Tax takes away a substantially large chunk of a salaried individual's savings. But now, there are various tax saving instruments through which you can save a portion of your tax like NSC (Section 80 C) and PPF (Section 80 C), through which you can save tax.

Normally, if you want to get tax benefits from investing in a medium, you can  try investing via leasing. It is an upcoming avenue in India and provides stable returns

Wrapping it Up

Above are just a few things that you can do to streamline your budget, but in reality there are so many things that you can do to save-up. But that doesn't mean you don't have fun. Yes, you should go on trips, party, have a good time with family and friends. But in general, try to be cautious of your spending!

Happy Leasing!
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Published on
May 13, 2022
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