The 'Golden Rule' of becoming rich: How much money should you save according to your age? Know here..

One thing is true: our income may increase or decrease with time, but the habit of saving should never be left. So financial needs and responsibilities change at every age, so the method of saving should also be according to that. But through a special decade-by-decade guide, you can learn how to save and invest from the age of 20 to the age of 60. So if you adopt it in the right way, only then can you become financially strong in the future.

At the age of 20: Start small, but start immediately.

The sooner you start saving, the better it is. The amount of investment may be small, but the habit is big. Yes, even if you start with a SIP of just ₹ 500 a month, the magic of compounding can give you a fund of crores in the future. Therefore, it is most important to develop the habit of saving and investing from now itself – this is the first brick of your financial foundation.

By the age of 30: Make a target of saving equal to annual salary.

By the age of 30, your financial planning should become a little stronger. So in such a situation, you should try to ensure that your total savings are at least equal to your annual salary. For this, take the help of reliable investment options like EPF (Employees Provident Fund), PPF (Public Provident Fund), and Mutual Fund SIP. This target will give a strong foundation to your financial security and will keep you ready for big future needs.

At the age of 40: Make it a habit to save 25–30% of your income
Although the age of 40 is usually the highest earning age of life, it is important for everyone to focus on savings at this time. So try to save at least 25–30% of your income. Now you should make a planned investment for expenses like children's higher education, retirement planning, and health emergencies. Along with this, if there is any loan, then it is necessary to repay it on time, so that financial tension can be avoided in the future.

By the age of 50: Create a strong fund of 4 to 6 times the salary.
By the age of 50, all of us should seriously calculate the status of our retirement fund. At this time, the target should be clear that you have saved at least 4 to 6 times your annual salary. Since retirement is not far away, clarity in financial planning is important. Also, if there are any loans or any other liabilities, try to settle them as soon as possible so that there is no financial burden after retirement.

At the age of 60: Plan for a safe and regular income
At the age of 60, your priority should be capital protection and a stable monthly income. So, now it is better to move away from risky investments and adopt safe options like Senior Citizen Savings Scheme (SCSS), Annuity Plan, or Systematic Withdrawal Plan (SWP). You will continue to get regular income from these. Also, keeping in mind the increasing medical expenses at this age, it is very important to have strong health insurance so that you can enjoy retirement without worry.

Pay attention to these things.
So if you work with a little wisdom and discipline in every decade, not only can you easily achieve the big targets of your life, but you can also live an independent and relaxed life without any financial burden even after retirement. So small financial preparations made at the right time can make a big difference in the future. (Note- The news is based on general information, consult an expert before planning for the future)

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