Dhan (Money) Bachat (Saving)
Money grows via Savings and Investments. You earn money but will likely spend it all unless you have a plan to save and invest and increase it over time. There are multiple ways to do it based on knowdlege, needs, planning, comfort factor etc. You do this by controlled and wise spending, budgeting, prioritizing, saving and investing wisely.
Different experts have shared various methodoligies such as 50/30/20 rule of money, 75/15/10 rule, 24/48 rule, 20/10 rule and many more.
The 50/30/20 rule is a budgeting strategy that divides your income into three categories: needs, wants, and savings. The rule is a common way to create a budget and can help you manage your finances.
If you're not a fan of complicated budgeting, consider the 50/30/20 rule, which simplifies the budgeting process. It works like this:
Spend no more than 50% of your income on necessities, such as your rent or mortgage, utilities, groceries, and debt obligations.
Less than 30% of your income should go to discretionary spending.
Dedicate at least 20% of your income to saving, both for retirement and shorter-term goals like vacations, a down payment, and emergency savings.
What is the 75-15-10 rule?
The 75/15/10 rule is a simple way to budget and allocate your paycheck. This is when you divert 75% of your income to needs such as everyday expenses, 15% to long-term investing and 10% for short-term savings. It's all about creating a balanced and practical plan for your money.
What is the 24 48 rule?
The 24/48 rule says that to build a successful business, you've got to make sure that the people in the 24-degree environment always keep the 48-degree folks in their mind. Businesses depend on the 48ers for the execution of their ideas and strategies, and indeed for their success
What is the 10 payment rule?
The 20/10 rule is a financial strategy to help you avoid dangerous levels of debt. Simply put, the 20/10 rule advises that you should avoid accumulating long-term debt that exceeds 20% of your annual income, and you should avoid debt payments of more than 10% of your monthly income.
Q. What is the 30-day rule to save money?
The 30-day rule is a strategy laid down to curtail impulsive buying. Whenever you decide to buy anything, commit to waiting for 30 days before purchasing. At the end of 30 days, you will have clarity as to whether you need the purchase or not.
Q. What are the 4 rules of money?
The 4 rules of money are to explore ways for additional income, reserve a part of your income for savings, prioritise savings over expenditure, and invest prudently.
Q. What is the 60/20/20 rule?
If you have a large amount of debt that you need to pay off, you can modify your percentage-based budget and follow the 60/20/20 rule. Put 60% of your income towards your needs (including debts), 20% towards your wants, and 20% towards your savings.
source: various sites found on google