A young working professional has a long working life ahead of him. But he may often find it difficult to save money, and his monthly bills may pile up in no time. He may wonder, “What is the trick to saving money?

As the legendary American investor Warren Buffett said:

“Do not save what is left after spending”.

So, it is essential to keep at least a small part of your salary aside.

Let’s look into the various tips to save money, including assessing expenses while preparing a monthly budget, cutting down your debt and investing in suitable life insurance plans and guaranteed savings plans.

If you want to know what is the trick to saving money is, see the tips below:

  1. Start all investments at an early age as the longer the insurer has your money, the better the returns will be due to the compounding effect. Even a delay of a few years can make a difference in the returns by a few lakh rupees. For example:

    30-year-old Ganesh begins putting away Rs 5,000 a month until his retirement at 60, he will have Rs 92.2 lakhs if we assume an interest rate of 9%*.

    Ganesh's friend, Dinesh, delays investing for five years and begins at the age of 35. He also invests Rs 5,000 each month until retirement at the age of 60. Using the same 9% interest rate assumption, he will have just Rs 56.5 lakhs in retirement*.

    A delay of 5 years results in a difference of nearly Rs 40 lakhs1!

  2. Study all your monthly expenditures. Try to cut down on unnecessary expenditures, like going out for dinner or ordering food regularly. Travelling by bus or a local train instead of using your vehicle can also cut down your monthly expenses, especially when fuel prices are going through the roof.
  3. Children’s education has become very costly. Pick schools that provide good education at a reasonable cost, as it is not necessary that the most expensive schools provide the best education. However, if you don't want to compromise on your child’s education consider saving in a child plan.
  4. All bills should be paid on time to avoid late payment and interest charges. If possible, pay early to take advantage of discounts.
  5. If possible, pay off all your outstanding loans early, to avoid interest charges and also improve your credit rating.
  6. Invest in a good health insurance policy for yourself, your family and your parents. An unplanned medical emergency can wipe out your savings. Future Generali’s Heart and Health Insurance Plan not only gives a lump sum payout to pay off your hospital bills but also gives tax benefits and peace of mind.

Where should you invest?

The saved money should be invested in guaranteed plans, as these plans are advantageous, specially for salaried individuals because of the following reasons*:

  • Guaranteed returns in case of major calamities*.
  • Inflation-beating returns are not market linked but guaranteed*.
  • The returns are tax-free and there is triple tax benefit at the time of premium payment, accumulation and withdrawal*.
  • There is life cover at the time of investment*.

Here are different types of guaranteed plans you can choose from based on your needs and financial goals:


With so many options, you will no longer have to contemplate what the trick to saving money is. Choose the plan that works best for you, and watch your savings grow steadily. For more details, connect with a financial advisor or visit Future Generali India Life Insurance website NOW!