ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Savings is setting money aside for use at a later time. Investing is using a resource (usually money) with the expectation that it will generate increased income or grow in value. Think about why savings could be important in your life. Putting aside money for future use can help you meet life goals.

Detailed explanation-2: -One of the most common percentage-based budgets is the 50/30/20 rule. The idea is to divide your income into three categories, spending 50% on needs, 30% on wants, and 20% on savings. Learn more about the 50/30/20 budget rule and if it’s right for you.

Detailed explanation-3: -Savings help achieve goals and help pay off the mortgage early and live a debt-free life. Living life below your means can give you plenty of room to save. Through savings, one can also pay down debt from friends, family, or even other lenders. The bigger the amount saved, the earlier you can achieve a debt-free life.

Detailed explanation-4: -Start saving early: One of the best ways to save money is to start early. Open a Savings account: Create an emergency fund: Set up short and long-term saving goals: Avoid buying expensive stuff unnecessarily: 09-Sept-2022