As a millennial in India, financial independence and budget planning are probably among your top priorities. With increasing costs, juggling long-term savings and day-to-day expenses can be quite a task. But what if some easy hacks could help you save faster without compromising your lifestyle?
Let's examine some unconventional ideas that will supercharge your savings and help you manage finances the right way.
Ways To Save Money With These Smart Hacks
- Choose Interest-Free EMIs Over Credit Card Swipes
The maximum outflow of money occurs due to high interest rates on credit card purchases. Instead of swiping your credit card directly for the purchase amount, choose interest-free EMIs or Equated Monthly Instalments.
Most e-commerce sites facilitate this option at zero percent or low interest, so you can spread the cost over time without paying anything extra.
This way, you can purchase what you need without incurring a huge bill in the form of interest.
- Utilise Credit Card Reward Points and Cashbacks to the fullest
For those using a credit card, ensure something comes back your way. Many banks have cashback or reward points on your purchases. The credit card reward points thus collected can be used to buy air tickets for travel, dining, or shopping.
- Save Money by Buying in Bulk
Buying in bulk can save a lot of money, especially on household necessities such as groceries, toiletries, and cleaning agents.
The fact that you are buying large quantities means that you pay less per unit, and you won't feel the urge to go to the store any longer, where you are tempted to spend impulsively. Bulk purchases often offer discounts and cashback, so it's a win-win situation!
- Cancellation of Unused Subscriptions
The costs of magazine subscriptions, gym memberships, and streaming services mount up rapidly.
How many do you use? Go through your subscriptions carefully and cancel the ones that no longer serve you. All those tiny, repeated payments, like Rs. 500 per month, add up to Rs. 6,000 annually. Instead of spending money on underused services by paying passively, use it to build up your savings account.
- Spend Time On Budget Planning for Your Financial Goals
Many millennials ignore the importance of clear financial goals. Whether you're saving for a vacation, creating an emergency fund, or saving for the down payment on a house, having a target will help you be more disciplined. Break your goals into achievable bits and track progress from time to time. Use apps that will help you visualize your milestones. This way, they don't seem so daunting but rather purposeful.
- Upskill Yourself: Basic Carpentry and Plumbing
Doing house repairs can be financially exhaustive if one is always hiring professionals to do some simple work. Mastering simple carpentry or plumbing skills will save you from spending a great deal of money on the minor repairs and maintenance jobs in your house. From fixing leaky faucets to assembling furniture, these skills can be acquired without much hassle. You can gain this knowledge by watching YouTube tutorials!
Use Public Transport or Carpool - Fuel prices are touching the sky, and commuting to work using a car is burning a hole in your pocket. Use public transport like buses or metros or carpool with friends and colleagues to save on fuel expenses.
- Use Free Resources for Upskilling
Improve your skills and develop your capabilities for a better job with free online resources—sites like Coursera, edX, or even YouTube offer excellent tutorials and courses. Whether you want to learn a new language, master digital marketing, or pick up coding skills, free resources can save you from the hefty fees of paid courses.
Frequently Asked Questions
1. How do start budget planning that one can follow?
Track your expenses for at least a month to see exactly where your money is going. Once you can see what you have, make categories of the things you need to live on, such as rent and groceries, and separate those from what you want, such as dining out and shopping. Set aside part of your income for savings and try not to exceed the limits you set aside for discretionary spending.
2. What are some practical ways to save money quickly?
Practical ways of saving money, such as not buying impulsively, using cashback apps, carpooling or using public transportation, and canceling unused subscriptions, work quickly. Also, consider fixing a certain amount to save once you get your salary.
3. Which is better for daily expenses: a credit card or cash?
Paying in cash will always help you spend less because you are most aware of the cash you give out. If used judiciously, credit cards with cashback offers and reward points can also be quite a boon, especially for planned purchases.
Sometimes, reaching your financial goals does not require significant changes, just small, consistent good habits. By incorporating these brilliant saving hacks into your daily routine, you'll be closer to manage finances faster without ever giving up on the things you love.
Get a South Indian Bank Savings Account and enjoy our Rewardz program to earn those valuable points. Happy saving!
Disclaimer: The article is for information purpose only. The views expressed in this article are personal and do not necessarily constitute the views of The South Indian Bank Ltd. or its employees. The South Indian Bank Ltd and/or the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial/non-financial decisions based on the contents and information’s in the blog article. Please consult your financial advisor or the respective field expert before making any decisions.