23 Mar, 2024

Building a Secure Financial Future: Money-Saving Strategies for Nepalese Youth

Global Money Week 2024 has started, focusing on safeguarding your cash and securing your tomorrow. This year’s GMW theme focused not just on saving but also creating opportunities for the future. With a weak economy at present and an already low per capita status, the idea of saving and living a comfortable life already seems far reaching for most Nepali youths. Still, with some strategic ways of looking at money, there’s still a glimmer of hope. Thinking about further education, launching your own business, or simply affording things? Maybe you are looking to purchase a new motorbike, or you require money

for college tuitions, or looking forward to go on a trip? Whatever the goal, each rupee saved takes you one step nearer to your goal. Let’s discuss how you can do that:Budgeting for Success: Making Your Money Work for You A budget is your financial roadmap. Don't be scared; it's simpler than it sounds! Here's how to create one: Record all income sources, whether regular pay, extra earnings, or allowances. Having the knowledge of what you are earning is crucial in building long term wealth .Make a habit of listing expenses under different categories such as "Needs" (housing, groceries, transportation), "Wants" (entertainment, clothes), and "Savings" (a non-negotiable necessity).Can any "Wants" be reduced to boost savings? Small adjustments yield substantial impacts over time.Protecting Yourself: Be Aware of Financial Threats These days, shielding your savings involves watching for threats. Never share bank info, passwords, or PINs unless you know for certain it's a real, trusted site or individual. If an offer seems overly enticing (like claims of fast, effortless earnings), it likely is! Believe your gut feeling and spot warning signs. Rely on instincts: if anything seems fishy, don't proceed. Carefully research companies or people before giving financial data. Seek trustworthy reviews, secure website signs and legitimate contact details. Monitor bank statements frequently for odd activity too. Financial scammers evolve tricks constantly, so staying informed about common scams is key. Learn from reliable sources: government agencies, banks, consumer groups, and platforms like Saral Banking Sewa, which offers tools and resources to help you protect your money and secure your financial futureThe Path to Financial Independence Good money habits today lay the groundwork. But what about your long-term financial security? Check this out:Compound interest makes money grow on its own. Let's say you deposit Nrs.1000 and earn 5% interest. Next year, you'll earn interest on both the original Nrs 1000 and the 50 interest earned. Over decades, compounding exponentially grows your savings.Keep learning investment basics to potentially earn more in the future. A savings account gets you started, but stocks and funds could increase your wealth faster.Love photography? Teach kids? Craft cool stuffs? Turn your favorite hobbies and skills into money-making mediums for saving more.Planning for Big Purchases or LoansA major buy, like a motorcycle or a car, or payment for college fees, might seem to leave loans as the sole choice. That's where EMI calculators shine! These tools let you know the precise monthly payments you'll face, showing both the principal sum and the interest. Getting this breakdown lets you compare loans from various banks, check loan terms, and ensure the monthly amount fits your budget comfortably. EMI calculators remove the guesswork from borrowing, empowering you to make informed financial decisions.Meet Sandesh Sandesh always dreamed of owning a motorbike for himself. But he didn’t have money nor knew how to make it possible. But instead of giving up on his dream, he learned to utilize the power of recurring deposit to make it a reality. Each month, after he received his salary, he transferred a set amount to his recurring deposit account. He did this as the first thing he received his salary because he knew that if he saved what was left after spending, he would not be able to do it. He kept his expenses to a minimum and saved each month. The use of recurring deposit helped him build a habit of consistent savings. It helped him maintain discipline in his savings goal and finally after a year of saving, he was able to purchase his dream bike. Recurring deposit made his large goal of buying a motorcycle achievable utilizing the compounding effect.Finally, Nepal's tomorrow depends on its energized youth. Financial health isn't merely saving money. It's a wise approach based on good choices. You control your path by saving carefully, making smart budgets, spending responsibly, and always learning finances. This isn't just about having cash; it frees you to pursue dreams, build the life you want, and form Nepal's future. The ability to grow a prosperous nation lies in your financial decisions.