Know how to to save and grow your hard-earned money

Saving and investing at right time and in proper schemes, which fetch dividends in the long run, is the key to a secured life. Especially, youngsters, who start earning and those who venture into business, have to start investing at an early stage so that they can lead a peaceful life.

Hyderabad:Saving hard-earned money while in a job or doing business is the key. Like putting your savings in fixed deposits or preferring to trek the well-laid-out path of investments. But, still, we are bound to get many doubts, especially, those who have just started earning. They should make it a point about saving some money and that, too, in secured investments with assured returns. A few tips for those who wish to save their earnings.

Term policy: First things first, you need a life insurance policy. Being the breadwinner, your dependent family shouldn't suffer if something untoward happens. Hence, one term policy is a must. Prefer a term policy that is equivalent to your 10 to 12 years of income.

Don't fall victim to online scams:An e mail saying that you have won a big lottery and seeking processing fees of Rs 50,000 to transfer lottery money into your bank account. Please share the details of your bank account, Aadhaar, and phone numbers- will land in your inbox one fine day. It is natural to get attracted to such stuff because winning a lottery is like a dream come true. If you don't realise that it is a scam, you could be in real trouble. They will hack your account and wipe out all your savings. It is one of the many online scams that are making rounds in the town. It is better to be careful about such stuff.

Insincere promises: You can earn four times your investment and your money will be doubled overnight are some fake promises made by fraudulent companies. Even banks can double your amount only after 10 years. But, if you trust such promises, your money will vanish into thin air. It will be a daunting task to recover your money from such companies and despite making rounds around the company will prove futile as you will get tired but there will be no clue of returns. Always promises or assurances, which are far from reality have to be ignored.

Trustworthy schemes: Schemes that fetch more money than the bank's interest are few and far between. Browse those limited schemes and tick the right one. Investing your money in banks or post office deposits could be a wiser move. These days some financial institutions are offering deposit schemes, you can give it a thought.

For contingencies: Life is quite unpredictable sometimes since you have to face some unexpected situations. In such situations, you tend to lean on friends or family to borrow some money. Instead, you need to pool up an emergency fund to tackle crises. In other words, you should have some hard cash on hand. Also, keep refilling the fund.

Read: Financial plan can provide a roadmap to your future