Money Saving Tips: The formula of three bank accounts will work! Expenses will be controlled, savings will also double..

Money Saving Tips: In today's era, where everything is getting expensive, it is not wise to keep all the money in one account. Especially employed people must have proper financial planning to manage their income properly. This will not only curb your unnecessary expenses, but you will also be able to gradually create a strong financial backup.

If you, too, struggle with the shortage of money by the end of the month, then just adopt a simple method. Yes, you just have to create three different accounts and follow some tips. Then see how your expenses will also come under control, and savings will also start increasing automatically. Let us know what these three accounts should be and how they can improve your financial health.

Salary Account
If you do a job, then first of all, you must have a salary account. This is the same account from which your monthly salary comes. It forms the base of your entire financial system. As soon as the salary is credited to your account, first transfer the money to the other two accounts according to your essential expenses and savings. This will give you a clear idea of your total income, how much to spend, and how much to save. Also, if you transfer every month through a fixed system, then thoughtless expenses will also be curbed, and the habit of wasteful spending will be controlled.

The second important account after the salary account is the savings account. The purpose of this account is to save, not to spend on everyday things. As soon as the salary comes, transfer a fixed amount (eg, 20%) directly to this savings account. Consider it as your savings vault. The money kept here will help you in case of emergency or for financial goals like buying a house, children's education, or retirement.

Mint has stated in its report that you should not withdraw money from this account frequently, and invest the amount deposited here in SIP, fixed deposit, or other investment schemes, so that, along with interest on the money, your future is also strengthened. Try not to withdraw money from this account without any reason, so that your savings keep increasing. This kind of discipline helps a lot in financial planning and helps in adding a large amount in the long run, so that you will be ready to meet future needs.

Account for spending

Apart from a salary and savings account, you must also open a third account, which you can call your spending account. The purpose of this account is only to manage the necessary expenses of the month. As soon as the salary comes, first transfer the savings amount to the savings account, and then put the amount left for expenses in this spending account. After this, do all the expenses of the month, like groceries, bills, mobile recharge, petrol, or travel from this account.

In this way, your financial discipline will remain, and most importantly, you will be able to avoid unnecessary expenditure. If some money is left in this account at the end of the month, you can add it to the next month's expenses or transfer it back to the savings account. In this way, by using three different accounts, you can manage your money smartly, control expenses, and continuously increase savings.

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