Have you heard people saying, I can’t save, Saving isn’t my cup of tea, I don’t even know where all my money goes, so this is not only your story, according to a survey almost 71% of people face difficulty in saving due to some unexpected expenses occurring every month.

We are our own enemy and even if we can save some, impulsive buying drains our savings. This might come as fun and give you a lot of pleasure now, but this momentary pleasure can cost you a lot. So, its clear from here that savings can seem an easy task to do but the real task is how much you are able to protect that saving that to from yourself.

Here are a few ways in which you can protect your savings from yourself – 

1. Have a separate bank account for savings – This helps, practically speaking having a separate account for savings and spending’s helps. At the start of every month transfer some money to your savings account and put the debit card locked in the locker, thus you will be saved from impulsive buying. Keep your emergency fund in this account and use it only in emergencies.
2. Have a budget for your impulsive buying – You have got only this life to live so why always resist the impulse to have that dress or eat in that fancy restaurant. One must aim at striking a balance between living a life and saving for future life. It’s better to have a budget every month to do impulsive buying. This way your savings would not get hampered.
3. Invest the money – Money, when invested, has the potential to earn more money so keeping it ideal in your savings bank account doesn’t seem to be a good idea. Try to keep an only emergency fund in your bank account and invest the rest of your money. Also, rather than impulsive buying you can dream of bigger goals and invest that money in order to achieve that goal. Eg. Either you can buy that fancy purse worth Rs. 5000 or can invest the money and plan a vacation with your family in the future.

Also, it is advised to invest money in avenues where you require an effort to redeem the money. Due to easy access to digital cards, it is quite an easy task to withdraw money from your savings account but to redeem money from your Mutual funds you will be required to put an effort. Be lazy when it comes to redeeming money.

1. Bring changes in lifestyle – Having separate bank account and planning to invest or put money in FD are all external forces that help you rather say compels you in saving money. If you really want to save money you must cult this habit within you. Eg. Stop doing emotional shopping, stop doing emotional eating. In case you want to buy something, sleep with this decision and think hard, is it worth to spend that money? Also, don’t live your life comparing to someone else’s life. Everybody has their own journey and they get things at their own time.

We all have urges and temptations, but every urge or temptation need not be fulfill. So better have a longer vision and thinking before taking any decision in life will save you from taking wrong decisions.

Happy Investing!

Mutual Fund is subject to market risk, please read offer related document carefully. There is no guarantee of returns. Past performance is not an indicator/ guarantee to future returns.