How to control my expenses?

Indians are known for being big savers which has helped them tide over many a financial crunch. However, due to the pandemic, household savings have taken a hit. According to the Reserve Bank of India (RBI), household financial savings rate fell to 8.1% of GDP in the quarter ending December 2020, down from 21% and 10.4% in the preceding two quarters, indicating how our spending has outpacing our savings.

Map household budget
Instead of budgeting your expenses and then working out your savings, try to plan it the other way round. Once you budget expenses, bifurcate them into immediate and deferrable categories. You cannot avoid urgent expenses, but deferrable ones are a matter of choice. Once you set the long-term objectives, set your investment target for each month. The residual cash should then be prioritised and spent wisely.

Prioritise expenditure
Budgeting entails understanding how much one earns, how much one spends, and formulating a strategy to spend less and save more. You can prioritise spending to achieve your goals after assessing income and costs. Although keeping records to account for every expenditure is a good idea, it isn’t for everyone. The 50-30-20 rule might be a viable option.

Easy repayable spends
Another essential habit is to avoid getting into debt. Avoid use of credit card too much or on avoidable expenditure. Consider using credit cards for easy repayable costs, such as a small dinner or other spends that can be paid back within the interest-free period, thereby helping in maintaining a healthy credit score.

There are two types of income: passive income and active income. Although most individuals have heard of passive and active income, many don’t understand how they differ or how to generate passive income. Many people think that the secret to accumulating money and achieving financial freedom is to understand how to generate passive income.

ACTIVE INCOME –  Money earned from performing a service, such as working a full- or part-time job and receiving a salary, commissions, or tips, is referred to as active income. Two more types of active income are earnings from self-employment and materially participating in a firm while receiving compensation. For the majority of people, earning active money comes before producing passive income Whether from part-time or full-time work, hourly pay is a typical source of active income. A salary is another type of passive income. Another type of active income is commissions, albeit the sum might significantly vary depending on the task. Based on the calibre of the service rendered, tips are a form of active revenue. Freelance fees and consulting income are two other types of active income.

PASSIVE INCOME – Passive income is typically generated by an asset that generates income but with which the investor is not actively involved. Frequently, funds from sources of active income, such as earnings, salary, or other remuneration, were used to buy that item. Investors do not pay Social Security or Medicare taxes on passive income, and they can lower their income tax burden by taking advantage of a variety of possible tax deductions, in addition to not having to work hours each day to produce passive income. Many other methods, such as investing savings in a certificate of deposit or owning bonds, can be used to generate interest income. Another potential source of passive income is dividends from equities that are traded publicly. Apple, Nike, and Mastercard are a few well-known blue chip firms that pay dividends.

There are many tasks to complete and organise while you wait for your child to arrive, from setting up the nursery to buying all of the necessities for new parents. How parents will be able to buy numerous diapers, and clothing items, and eventually save money for their child’s college education is one of the greatest and most stressful things they have to consider both before and after the birth of their child.

There are many methods to be compensated while on maternity leave, whether you’re fortunate enough to have six months of paid leave or only a few weeks without income. One of the best ways to preserve your income while you’re busy and welcoming your child into the world during maternity leave is to work from home. There are increasingly more chances for parents to work from home while also caring for their kids. Once such work opportunity is by ULIPINDIA.COM ! You don’t need a degree or any kind of financial investment to earn with ULIPINDIA.

You can earn a passive income with ULIPINDIA.COM’s affiliate program. You can join ULIPINDIA.COM as an AMP (Affiliate Marketing Person) or NAMP (Network Affiliate Marketing Person).

In India, e-commerce has completely altered the way businesses operate. India’s e-commerce market is expected to grow from $46.2 billion in 2020 to $188 billion by 2025, according to a report from the World Economic Forum. It is predicted that by 2030, it will be worth US$ 350 billion. The Indian e-commerce market is expected to reach $74.8 billion in revenue in 2022, an increase of 21.5%.

An estimated US$ 111 billion will be spent on online shopping in India by 2024, with an additional US$ 200 billion expected to be spent online by 2026.

The rise in internet and smartphone use has been a major catalyst for the industry’s expansion.