A Penny saved is a Penny earned is a proverb which means it is crucial to saving money whenever possible. To grow wealth the first thing you need to do is save and then invest, as only saving will not grow it as it required to beat the inflation in long term. In this Article we share you Best 20 Money Advice you should follow in your life to live a very good life.
What is the Best Money Advice : Top 20 Money Advice to Young Generation
#1. Get rid of your loans or any kind of debt first.
#2. Build at least Six months of emergency savings which can get you through rough times.
#3. Get a Term Life insurance, Health Insurance for Family and Personal Accident Policy as early as you can.
#4. Avoid taking loans to buy cars and any luxury goods in early age.
#5. Try to invest 20–25% of your monthly income through various medium. Diversification of investment is must to minimize your risk. You can choose Mutual Fund SIP, PPF, NPS, Gold Bonds etc for better return (Investment Should be Long term and Goal Based, Get in touch with Personal Finance Adviser)
#6. The younger you are the more risk appetite you can have (Take calculated risk to grow your wealth, remember don't try to become wealthy overnight as short cut never works in wealth creating, do intelligent, knowledgeable and calculated Risk based Investment only)
#7. The power of compounding is truly a game changer (Read books, Watch videos and learn about it)
#8. Diversify your investments— Equity, MF, Debt Instruments, Gold bonds, Crypto.
#9. Read up about investing online. A lot of information is available for free on various publications & YouTube channels.
#10. Do not invest in FDs when you’re young. The returns can barely beat the inflation. Your wealth won’t grow.
#11 Avoid taking up debt to pay for lifestyle choices.
#12. Know your expenditure. Keep a tab. Fix a limit and don’t allow yourself to splurge more until really necessary (Spread your legs only as much as the area of the blanket)
#13. Try to avoid credit cards as much as you can, Only use it for essential goods and services or for online purchase of goods to get discount at the time of sale.
#14. Stop Giving money away to friends or family unnecessarily. Know that some of it will not come back & ruin the friendship/relationship as well as you won't get any interest return on it
#15. Spend more on experiences than objects.
#16. Try to shop alone. Tagging friends along will always lead to buying a few more shirts since they looked good on you too.
#17. Read up your company’s insurance policy and learn what kind of benefits you’re eligible to get.
#18. Enable the auto-debit for your investments so that you’ll be forced to make do and budget your spending.
#19. When investing in Mutual Funds, go without brokers and opt for Direct plans. There are many Apps which provide access to Direct Mutual Funds only these such as Coin by Zerodha, ET Money, Paytm Money, Groww etc.
#20. Get the services of a CA or Tax Consultant to save as much tax as you can.
Disclaimer : Part of the Article has been taken from wire feed and online sources, we don't the copyright to same content.
Disclaimer : You need to do your own Analysis before investing in any kind of Assets. This post is only for educational purpose, we are not recommending any share or mutual.
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