Create a spread-sheet (or note it down) of your expected absolutely necessary monthly expenses (e.g Rent, Phone bill, Travel expenses).
Move the 5% extra of the above mentioned to a different bank account.
You won't be broke at the end of the month.
PS - It's a tip, following it or not is entirely up to you.
The Income that You earned in 2019 will not have the same Value in 2023, so always invest what you have earned in the same Year. Someone said this to me but I could not follow this.
Make sure You Spend less than 40% of What you Earn?
Spend money on Good Quality food than Medicine. That doesn't mean You should eat Basmathi Rice Everyday, effort is to bring unadulterated and Non-Chemical Added food. My Father takes care of everything related to Food.
Credit Card is a Game(trap), Play It Within limits but don't Let Anyone Use Your Credit Card.
I Use Credit Card only to Buy low price Items and I will payoff everything within a Week. My friends even ask you do use Credit Card😉😉😀.
Buying Fancy Smartphones every Six Months is a Bad Decision. This Habit is not Good but if you are earning more than 3 lakh a Month( Only Businessman do that) it's negligible Amount.
Never buy anything on credit.
- Manage expenses
Note down all your monthly and yearly expenses and one time expenses and some unknown expenses like hospital etc. and make a provision for these expenses based in monthly income.
Take out some percentage of your monthly income regularly for saving. Put this amount in some secured and unsecured funds as per your risk appetite.
- Minimum use of credit card.
That it is not the big income that changes your live, but small expenses. Most of people will not be paid substantial amounts of money from the work that they do. But, almost everyone is able to streamline their expenses and save instead. This is the way for average people to get to decent life. If you're getting average salary, don't live the life of average person who spends it all on different things that are absolutely not necessary for your life or happiness - instead put all of your money that you can towards securing financial stability or even financial freedom. When you do so you'll often save both money and your health at the same time - even environment. Most of the things that we spend money on are pretty unhealthy either for us or nature.
Save yourself and the world by saving more!
Always, Always save some part of your earning from first month you earn, that will be the money you will use when you really need it.
Most people don't know that, you can buy stocks in large fortune 500 companies, 1 (or a few) at a time.
There are programs called (Drips) Direct Reinvest programs. After buying these single stocks, you can have the dividends from those stocks reinvested to buy more.
The great thing about these types of programs, is the commission you pay is significantly less that you would pay a stock broker. The cost to reinvest the dividends is low too. It's a great way to dollar cost you way into buy stocks.
have a look at this site: https://www.directinvesting.com/
Always try to save,make it a habit to put something asise on a day to day basis,teach your chilrlbren this from a very early stage.