Savings are an important part of life. Not only they help us in achieving our dreams and goals but help us a lot in case of emergencies. The amount of money that should save depends on a lot of factors and mainly the amount that you require to achieve your goal. In this article we will tell you some tips which will help you to decide how much money you should save.
Decide Your Goals
It is very important to decide your goals and dreams. Don’t just decide, write them out. Also add the stipulated time required for reaching that goal. For example your goal can be something like this: I want to buy a new mobile phone in next one year, or I want to go on an international holiday in a year from now or something like this. Make the goal is achievable and not something too hard or extraordinary.
Calculate Required Amount
Once you have decided about your goal, calculate the amount required to achieve your goal. For example if you goal is buying a new mobile phone in a year, calculate the approximate price of that mobile phone from a year from now. This will the total amount required to achieve your goal of buying the mobile.
Do Breakup of the Amount and Calculate Savings
Once you have the amount, just do a break up of it. In simpler words. if you need say Rs.120000 in a year, you will have to save around Rs.10000 every month. You can break up the final amount based on week, month, half year etc. as per your preference.
If you follow the above steps and decide your goals and systematically save some amount every month, you will be able to achieve it easily.
You can also consider doing monthly savings and investing in in recurring deposits or term deposits so that you get some additional interest on your savings too.
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