How Much Should You Save Per Month?

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Financial management is a critical thing in family future planning. Only tiny and little savings contribute to the biggest collections. But not many people these days, in their lives running at hasty pace are able to manage even these little savings from their monthly expenses. Keeping in cognizance the importance of saving money bit by bit is really important and so is being careful about it as only these extra savings prove to be the best friends in unwanted and unexpected situations, urgency and emergencies. Also these savings help in future and in the times when you don’t have source of income.

Let us check out some ways which may help you save a considerable amount every month:

  • Keep a tract of your monthly expenses: Keep all your bills and receipts saved & collected for one month at a place. Now, make a spreadsheet categorizing your expenses on different things like food, rent, monthly debt payments, entertainment, pets and utilities etc. Match these expenses with your salary and see which category is over brimming. Cut off expenses on that part suppose if its food, decide your monthly budget on food according to your salary. Save a certain amount in every category and you will realize that you are able to save quite a considerable amount in the end of the month. You can also use online home accounting software for this purpose.
  • Seek discounts on insurance policies: Different insurance companies offer a plethora of policies along with different beneficial offers and schemes. Keep a track of all of them is little difficult but an insurance agent can help you find out ways to implicate several discounts on your policies and entertain them. Your insurance agents can avail you some special discounts applicable on some conditions for example for an accident free driver, on an auto insurance, many insurance companies give price breaks.
  • Prefer raw foods over packed & processed ones: Foods which have undergone processing & quality control and sold under a brand name are likely to be at a higher price in the market. You can buy raw & fresh foods and cook them yourself at home. It will be as healthy as the processed foods and also will help you save the money that you would have spent for packaging and processing of food to that company.
  • Use electricity smartly: It is a common habit at home that we never directly cut the power while switching off the television; we just leave it on standby mode and get away. Even on standby mode, the television keeps consuming electricity. So make sure from the next time you have to go somewhere from between watching your favorite TV serial, you cut the power from the main plug. Same applies with other appliances as well. Don’t leave lights and fans turned on when you don’t need them. It will certainly save you a good amount on electricity bills.

When you have a home and a family to look after, you must start learning the difference between your needs and your desires. Spend where required. Save money for a brighter future.

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