Budgeting for a stress-free month
It is imperative to create a proper personal budget for yourself so that you don’t run out of funds before your next pay check comes in. There are helpful steps to make a personal budget which works especially for you. Before you begin, you need to know exactly how much money you get in-hand each month. Besides your salary, note down any other sources of income like a payoff on an investment or property rent coming in. Following this, figure out what you spend your income on each month. You can set aside a portion of your income to make wise investments that can make your money work for you. Bajaj Finserv offers fixed deposits with loads of benefits and options to choose from, based on your needs.
Understand Variable and Invariable Monthly Expenses
To learn how to set personal budget, follow some simple steps. Understand that each month, there is a certain fixed amount that you spend and an amount that varies. The fixed amounts in your budget could include home rent, maintenance, and monthly EMIs. Remember to not default on paying your EMI as this could mess up your budget plan the following month. Also note down your variable expenses that include monthly bills for electricity, groceries, doctors’ visits, family outings and more. Allocate amounts to each of these needs and try to curtail expenses if they exceed the budget you have set.
Save for a Rainy Day
Once you know the exact amount of money you need to spend each month, set aside a portion for emergencies. This money can be extremely useful in times of need, so do not compromise on creating an emergency fund in your personal budget each month. Despite saving well, if the need for urgent cash does come up, you can consider taking a personal loan. This loan can be useful for medical emergencies, a big-budget family wedding or that dream vacation you always wanted. Personal Loans from Bajaj Finserv can help you pay for sudden expenses with instant online approval.
Sticking to the Budget You Set
The most important rule of thumb when figuring out how to manage a personal budget is to not get tempted to overspend. Buy only when it is really needed and when you have the budget for it. Don’t get swayed by the various offers that keep popping up in the market. Protect your future and use some of your budget to invest in plans that can cover you and give you good returns. Bajaj Allianz brings to you Invest Assure, a Non-Linked Endowment Plan that gives you a life cover and tax benefits to boot.