As the clock ticks into another year, I find myself amidst a sea of resolutions for 2024: fitness goals, dietary tweaks, and lifestyle overhauls. But there's one resolution that stands in the spotlight - saving money. According to Statista.com, a staggering 59 per cent of us have committed to boosting our savings this year, marking a shift from the typical emphasis on health-related aspirations.
Let's be real – declaring resolutions is the easy part. The true test is when life throws unexpected challenges our way, causing those initial promises of gym memberships and salad-filled days to gradually slip. But, hey, that's all part of the journey we can all nod in agreement to.
In my world as a 30-year-old professional woman, the new year isn't just about resolutions; it's a chance to redefine my financial landscape. As a majority of us shift our focus towards bolstering our savings, I recognise the challenges that lie ahead.
Recently, I had the opportunity to meet Chartered Accountant Abhay Asknani, who shared his thoughts on kickstarting savings right from the beginning of the year. His advice? ’January is the perfect time to craft a budget and revisit your savings goals.’ It's a strategic move that might sound ambitious, but undeniably, it's the practical approach we need.
1. Revise Your Budget
Abhay stresses the importance of listing significant upcoming expenses, be it a potential relocation, marriage, or a dream vacation. Integrating these costs into my budget becomes crucial for adequate preparation. Whether there's a career change or a boost in income expected, adapting my budget accordingly emerges as an essential step towards financial well-being.
2. Trim Unnecessary Expenses
To cultivate a savings habit, I realise the importance of mastering the art of expense control. The trick is to categorise expenditures into needs and wants but with a catch – prioritising needs and trimming down wants. This move becomes my guide to keeping my financial ship sailing smoothly.
3. Master the Culinary Arts (Cook At Home)
Ever wondered how dining-out expenses stack up? Abhay's revelation is eye-opening; the cost per meal, even with delivery, can soar to 20 times that of a homemade feast. Imagining the monthly expenditure of ₹3,000-4,000 escalating to an eye-watering ₹6,000-60,000 is a wake-up call. Armed with a kitchen space, equipment and fresh ingredients, making home-cooked meals becomes the top of my priority list.
4. Every Purchase Is An Investment
Shift your mindset: every purchase is an investment. Evaluate whether your buy is a wise or regrettable investment. If the crystal ball predicts negative returns, steer clear of that purchase and divert the funds to your savings. It's not just spending; it's strategic investing in your financial future.
5. Cut Phone, Cable, And Internet Costs
In India, services often come bundled, and your postpaid mobile plan might cover DTH, OTT platforms, and internet access. Similarly, a separate fibrenet plan could offer the same perks. Simplify and reduce your bills by sorting out these overlapping services, giving your wallet a break.
6. Save On Energy
In busy urban areas, home temperature control can be expensive. Combat high energy bills by insulating your home with outer layers, reducing heat loss. It's not just about staying cozy; it's about saving money and creating a comfortable space for yourself and your savings.
