How to manage salary of 1.4lc per month as a fresher.
Fresh out of college, with no money experience. How to split the money into investments(safe and risky), utilities and other expenses. What percentage savings is good enough. How much of it can I really spend without feeling guilty and what quality of life can I afford with this salary?
Draw up a budget based on your first 6 months of spend.
Mandatory fixed
a. Rent
b. Utilities
c. House help
Mandatory variable
a. Commute Costs
Discretionary Fixed
a. Investments
Discretionary Variable
a. Entertainment
b. Shopping
c. Travel
This'll tell you where your money is going and you'll be able to figure out how to optimise each bucket.
If its your first job, don't skimp on having fun with your money. Don't get too cowed down with "investments". Go out, buy stuff, travel, do the things you've always wanted to with your money. Just don't build up a mountain of debt in doing it - enjoy within your means.
Good luck!
First learn to spend.
By the end of the 6th month you should be broke.
After that you will learn how to manage by yourself automatically.
(Never lend 1k,5k,10k to people)
Guide
Stealth
10 months ago
Because it's not lending it's charity cause you never gonna get it back
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well_wisher
Stealth
10 months ago
bhai basics h ye, khana kha , ghr dhund, kpda pehen… kuch sikh aur baaki udda de gareebon me agr well funded background se aata h ni to invest kr
President_Trump
Stealth
10 months ago
By not asking on a social media platform
FindingHorses
Stealth
10 months ago
Manage 😀
FindingHorses
Stealth
10 months ago
Get a simple place to live
Enjoy
Don't over spend
Save / invest
overthinker
Student
10 months ago
Hey, where did you get place? And what’s your CTC?
Don't compromise too much on roti, kapda, makaan.
Try to invest/save 50% of your income
You will be more than sorted
Inverse the 50-30-20 rule.
Invest 50% of your salary. Spend 30% on your needs. Spend the rest 20% on wants.
Smurfminion
Stealth
10 months ago
Send it to me
Initial 5-6 years of investment, has a dramatic positive effect on your overall portfolio when you look back 25-30years.
Do select right asset class ( mostly equity ), and be consistent on the initial investment journey.
Don't burn money, burn time to study asset classes in initial 4-5 years and then play big as an informed investor. Till then seek professional advice.
If I were you, I'd straight up invest 60k in equity (take risk while you are young) as soon as the money hits my bank account.
30k towards building an emergency fund for 6 months of essential espenses.
As soon as the emergency fund is built I'll redirect that money to equities.
The rest you can allocate to your monthly and daily expenses.
This is assuming you do not have any dependents or liabilities.
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