How To Save Money Fast

Learn effective techniques to save money and achieve your financial goals.
How To Save Money
4 min
16-April-2024

Saving is the foundation of strong finances, but many people struggle to get started. With inflation rising at unprecedented rates, saving and investing today have become more important than ever. Learning how to start saving and integrating a disciplined habit today can help you in the long run. Over time, small savings add up to create a sizable amount, which can be invested to create a long-term corpus.

Why should you save money

Saving money is your safety net for unexpected expenses like repairs, medical bills, or even a sudden job loss. Imagine having enough savings to cover these costs without stress. You wouldn't need to rush into a new job just for the pay check or worry about how to pay emergency bills. Your savings give you the freedom to make smart choices, even when things get tough.

Also Read: How to Invest your EPF Savings

How to save money fast

If you wish to build your savings nest quickly but do not know where to begin, consider these tips on how to start saving money:

  1. Create a budget
    Drafting a budget is the first step to start saving money. Start by tallying your income and expenses. Use your bank and credit card statements to assess your expenses across categories. Then, draft a budget to set a guideline for your monthly spending and savings.
  2. Cut spending
    Review your expenses carefully to identify areas you can cut back. While fixed expenses like rent and groceries cannot be reduced, you can target non-essential spending to save money fast. For instance, you can reduce spending on dining, movies, shopping, and subscriptions to save more. You can then invest these savings in short-term investment plans with high returns, like fixed deposit, to earn above-average returns without an extensive lock-in period.
  3. Earn more
    Increasing your income is one of the easiest ways of saving more quickly. Negotiate for a raise during the annual appraisal season and ensure that your new salary matches the current industry standard for the job role. Alternatively, you can even consider a side hustle like freelancing on your off days. Passive sources of income can also help boost your income. For instance, passive income from renting out your vacant property can be used for savings and investing.
  4. Change your lifestyle habits
    Reviewing lifestyle habits can be beneficial for those wondering how to start saving more. Cutting back on expensive habits like smoking, drinking, and food deliveries can help you enhance your savings kitty.
  5. Switch to a better savings account
    Find out how much interest your current bank pays on your savings account. Search for high-yield savings accounts online to review the list of banks that offer them. Compare interest rates and shift your funds to a high-yield account to earn more on your savings.
    If you are looking for a safe investment option, you can consider fixed deposit. They offer guaranteed returns and a fixed interest rate throughout your investment tenure.
  6. Curb impulse buying
    If you are prone to impulse buying, understand your triggers. Avoid visiting shopping malls and retail stores where you may be tempted to make an impulse purchase. Instead, you can shop online and create wishlist online instead of actually purchasing the items to manage your impulse buying tendencies.

Also Read: How to Earn Money from FD

Tips to save money fast

Incorporating these lifestyle changes will help you save more faster:

  1. Drive less
    With petrol prices hovering around Rs. 100 mark every few months, driving less can help you save a fortune on gas. Switching to public transport, walking, and cycling are pocket-friendly and greener alternatives to driving.
  2. Minimise housing costs
    If you are a renter, switching to a cheaper apartment can help save on the fixed rent overhead every month. If you are a homeowner with mortgage payments, you can look for home loan refinance options to switch to a lender offering lower interest rates.
  3. Cut recurring expenses
    Cancel auto-subscriptions to streaming services and the gym. Renew them on a month-by-month basis after evaluating your expenses for the month. Similarly, opting for cheaper internet and phone plans, limiting food deliveries, etc., can keep your recurring expense ledger in check.

Conclusion

Learning how to start saving money is an indispensable lesson, whether you wish to meet a savings goal or simply create an emergency pool for rainy days. While the tips and strategies mentioned above may take some time and effort, implementing them can help you reach your goals in a disciplined way.

Opening an FD can be a great way to save money faster. Parking your surplus funds in a high-paying FD like the Bajaj Finance FD can help you earn up to 8.85% p.a., which is much higher than savings accounts. Additionally, you can choose from flexible tenures and payment frequencies to tailor your investment as per your investment goals and liquidity needs.

Investment Calculator

Systematic Investment Plan Calculator

Fixed Deposit calculator

SDP calculator

Gratuity Calculator

EPF Calculator

Lumpsum Calculator

Step Up SIP Calculator

Sukanya Samriddhi Yojana Calculator

Public Provident Fund Calculator

RD Calculator

Frequently asked questions

What is the Digital FD offered by Bajaj Finance?

Bajaj Finance has launched a new FD type called "Bajaj Finance Digital FD" for a period of 42 months. Bajaj Finance is providing one of the highest interest rates of up to 8.85% p.a. for senior citizens and for the customers below the age of 60 they are providing up to 8.60% p.a. The Digital FD can be booked and managed only through the Bajaj Finserv website or app.

How do you create a budget?
Creating a budget essentially involves listing your income and expenses and creating savings goals. You can either do it manually or use a digital app to help you budget your finances.
Can budgeting apps help me stay on track with spending?
Yes. There are several budgeting apps available online that can track your spending across categories, setting upper limits on spends, and more.
Show More Show Less

Bajaj Finserv App for All Your Financial Needs and Goals

Trusted by 50 million+ customers in India, Bajaj Finserv App is a one-stop solution for all your financial needs and goals.

You can use the Bajaj Finserv App to:

  • Apply for loans online, such as Instant Personal Loan, Home Loan, Business Loan, Gold Loan, and more.
  • Explore and apply for co-branded credit cards online.
  • Invest in fixed deposits and mutual funds on the app.
  • Choose from multiple insurance for your health, motor and even pocket insurance, from various insurance providers.
  • Pay and manage your bills and recharges using the BBPS platform. Use Bajaj Pay and Bajaj Wallet for quick and simple money transfers and transactions.
  • Apply for Insta EMI Card and get a pre-approved limit on the app. Explore over 1 million products on the app that can be purchased from a partner store on No Cost EMIs.
  • Shop from over 100+ brand partners that offer a diverse range of products and services.
  • Use specialised tools like EMI calculators, SIP Calculators
  • Check your credit score, download loan statements and even get quick customer support—all on the app.

Download the Bajaj Finserv App today and experience the convenience of managing your finances on one app.

Do more with the Bajaj Finserv App!

UPI, Wallet, Loans, Investments, Cards, Shopping and more

Disclaimer

As regards deposit taking activity of Bajaj Finance Ltd (BFL), the viewers may refer to the advertisement in the Indian Express (Mumbai Edition) and Loksatta (Pune Edition) furnished in the application form for soliciting public deposits or refer https://www.bajajfinserv.in/fixed-deposit-archives
The company is having a valid Certificate of Registration dated March 5, 1998 issued by the Reserve Bank of India under section 45 IA of the Reserve Bank of India Act, 1934. However, the RBI does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for repayment of deposits/discharge of the liabilities by the company.

For the FD calculator the actual returns may vary slightly if the Fixed Deposit tenure includes a leap year.