Do you have a budget?

Ans: Hello;

You can get many budgeting methods online however the key is the strict fiscal discipline, optimal asset allocation and frugal shopping.

Few measures to improve monthly budget:

1. Mind your credit card spends and ensure timely payment.
2. Avoid impulse purchases.
3. Limit discretionary spending.
4. Avoid FOMO shopping.
5. Prefer E-Com/Q-Com to get price benefits but only from reputed portals.
6. Keep 6-8 month worth regular expenses coverage corpus as emergency fund.
7. Be adequately insured for life as well as health.

Given below two budgeting methods:

1. 50/30/20 method
Traditionally in this method it advocates that 50% of your income should go towards essential needs, 30% for discretionary needs and balance 20% for investment, however I prefer to flip it in this way:
50% Investments
30%: Essential needs
20%: Discretionary needs

2. Pay yourself first budget
The pay yourself first budget is another simple budgeting method focusing basically on savings and debt repayment. With this method, you set aside a specific amount from each monthly income for savings and debt repayments, spending the rest as you feel appropriate.

Best wishes;