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Are you an intern or someone with a low income who is struggling to save money with a 10000 salary?
Well, you are not alone.
There are millions of others like you.
Everyone will tell you to save money every month, but they will not tell you how, even when they know you have a limited budget.
But I can understand what you are going through.
Because I was in the same state when I started my professional career, struggling to understand how anyone can save with an income as low as ₹15000.
But I managed to do so.
Let me tell you, it is not easy. But all your sacrifices will be worth it.
You might be struggling to understand how to save money from a low income.
Then you are at the right place.
Today, I would like to discuss how anyone can save for the future with a low-income salary.
Even if you have multiple financial responsibilities and goals, I can guarantee you that following a strategic plan like I did can help you improve your financial situation and save for the future.
Let us find out what you need to do to save money with a low income.
Saving with low income is not everybody’s cup of tea.
It requires sheer dedication and willpower to minimise your cost and live in a budget-friendly environment.
There are lots of people who struggle to follow a detailed budget plan and fail to save every month.
You do not want to be like them. Right?
Here is a detailed overview of a strategic approach to saving money with 10000 salary.
Let me explain each of these approaches in detail to have a better understanding.
Set realistic financial goals that align with your income and expenses. Think of both short-term goals, such as buying a smartphone, and long-term goals, like saving for a house or higher education. Break each goal into achievable steps and timelines. Let us break down the goals:
Visualize your goals regularly to stay motivated. Write them down and review them periodically to track your progress. Remember, clear and well-defined goals give your savings plan direction and purpose.
Make a detailed budget that clearly states your income and how it will be allocated. Divide your income into necessary categories, such as rent, utilities, groceries, and savings. Don’t forget to include irregular expenses like festivals, travel, or medical emergencies.
Consider using the 50/30/20 rule—allocate 50% of your income to needs, 30% to wants, and 20% to savings or debt repayment. Use budgeting tools or apps to simplify the process and keep track of your expenses effectively.
If your expenses exceed your income, consider finding ways to increase your earnings. Increasing your income through a secondary or passive income may help you support your financial needs. Some of the ways to increase your income are given below
Even small additional income streams, like selling unused items or monetising hobbies, can make a significant difference in your financial stability.
When your salary gets credited, treat your savings like a non-negotiable expense. Automate your savings by setting up standing instructions to transfer a fixed amount to your savings account or investment plan.
Establish an emergency fund that covers at least 3-6 months of essential expenses to protect yourself from unexpected financial setbacks. This will ensure that your savings goals remain unaffected by emergencies.
Identify and eliminate unnecessary expenses by distinguishing between needs and wants. Cut back on unwanted expenses to meet your financial needs. Find out which are the possible expenses that you can cut without compromising your standard lifestyle.
Adopt minimalist habits to simplify your lifestyle and reduce spending.
Review your budget regularly—weekly or monthly—to ensure you’re staying on track. If your spending exceeds your predetermined amount, identify the categories causing the overspend and make necessary adjustments.
Analyse your spending patterns and look for areas to optimise further. Regularly monitoring your budget will also help you spot and eliminate small, unnoticed expenses that can add up over time.
Cultivate habits that help you spend wisely and save more. Plan your shopping trips with a list to avoid impulsive purchases. Compare prices online and in stores to find the best deals.
Always find room for improvement. Identify where you lack and ensure to improve. Update your financial knowledge with the growing financial landscape.
Leverage your abilities by understanding various new financial strategies and concepts by enrolling in financial courses that specialise in specific topics. You can also check out various financial literacy courses offered at FinQuo Versity App. Specify what you need to learn and improve. This will help you to save your time.
Attend webinars conducted by professionals. Make a note of the key points and take notes. Be engaging and maintain communication with others to learn from them.
A disciplined strategy like this can help you save consistently every month from a ₹10,000 salary. It is critical to be thorough and committed to the strategy.
If you’re looking to grow wealth on a low income, investment can be a game-changer for you.
While you lay the foundation by saving for financial security, combining it with strategic investments can accelerate your journey toward building wealth.
However, let’s face it.
Investing with a limited income, like ₹10,000 a month, is not as easy as you think. It requires discipline, careful planning, and a willingness to start small.
You might think investing just ₹500 or ₹1,000 a month won’t make much of a difference.
But let me assure you,
The magic of compounding effects can turn even small, consistent contributions into mammoth returns over time. It’s not about how much you start with; it’s about consistency and patience.
If you’re curious about the best investment options for low-income earners, explore the investment options given below.
These options can help you make the most of your money and pave the way for long-term financial growth.
The Public Provident Fund is an ideal investment option for those with lower incomes. This investment plan can generate long-term benefits by just investing as little as ₹500, up to ₹1.5 lakh annually.
This investment plan has a lock-in period of 15 years with an option to extend in 5-year blocks. Therefore, you can choose this option if you’re considering it for the long term.
Furthermore, most PPFs are government-backed and can earn between 7% and 8% per year. It is low-risk and provides moderate returns.
A unit-linked insurance plan, or ULIP, is a dual-benefit investment plan that offers market-linked investments and life insurance coverage.
In this investment plan, you have the option to select favourable market investment options such as equity, debt, hybrid, and index funds.
You can start investing in these with just ₹1,000 and gradually increase the amount. The minimum period required for this investment is 5 years.
Longer durations, however, yield higher returns. Upon maturity, investors can receive the payouts, which will be tax-free under Section 10(10D).
Direct stock investment is a highly rewarding investment, but it comes with certain risks. Long-term investments in stocks are considered profitable.
When you invest in stocks, you need to research every detail about the relevant company.
Use well-established brokerage platforms to start the stock market investment. Look for no or minimal commission to save on transaction costs
Begin with established companies (blue-chip stocks) for stability or explore dividend-paying stocks for passive income.
Diversify your capital into various stocks to manage risks associated with the market conditions
Research and analyse company fundamentals, financial health, and market trends. Review and regulate your stocks as per the performance of the assets.
Manage and regulate the stock market investments, considering the latest updates and market conditions.
A recurring deposit is a type of saving and investment where you deposit a fixed amount of sum every month with a return of interest from 6% to 9%.
In this plan, you have the flexibility to choose the amount you wish to invest and the tenure.
This will help you to make a considerable amount of money within the predetermined period.
You can easily start a recurring deposit account by filling out the application form in any bank, office, or financial institution.
Submit the necessary documents and start your RD by making the first deposit.
Fixed deposits are a type of investment where you will invest a large amount for a specific time period at a predetermined interest rate.
Fixed deposit plans are regularly offered by banks or financial institutions.
The amount deposited into the fixed deposit is subject to earning interest at a fixed rate. The interest rates vary between 6% and 7.8%
You can increase your earnings by holding a fixed deposit account for a longer period, which earns a higher interest rate.
There are multiple types of fixed deposits catered to the different needs of investors; some of the popular ones are standard fixed deposits, tax savings, senior citizen, and Flexi.
You can choose any type of fixed deposit account that aligns with your financial health.
Mutual funds are a type of stock market investment. Here, people invest a specific amount in a pool of money. This fund is managed by professionals.
A fund manager will invest your money into a pool of assets after considering the potential growth opportunity.
Mutual funds are specifically designed for those who have no time to learn about the stock market, beginners, as well as for experts.
You can save some amount of money from your income to invest in mutual funds. Start with Systematic Investment Plans (SIPs) as low as ₹500.
Mutual fund options are available online and through banks as well. However, mutual funds are subjected to market risks. So it is crucial to understand the risk involved while investing in mutual funds.
There is a diverse selection of mutual funds with various risk ratios. Choose a plan that aligns with your goals and your risk tolerance.
Common mutual funds are equity mutual funds, debt mutual funds, hybrid mutual funds, and many others.
You can open a mutual fund in any type of account that caters to your needs and financial condition.
You do not need any introduction to gold. Gold is infamous for its demand and growth.
The price of gold in India has increased by about 90% in the last five years.
If you have invested a significant amount in gold, then you would not be here now.
You can still invest in the cold considering its historical price data and its potential. Investing in gold includes physical gold, gold ETFs, digital gold, gold mining stocks, gold futures and options, and gold mutual funds. You can choose to invest in any way you would like to.
In context to this, there are other investment options, such as retirement plans, cryptocurrencies, real estate, and many others. You should learn about more investing options if you want to invest.
A better understanding of specific investment plans can help you use your skills to make informed decisions.
Starting your career with a modest income and saving money with a 10000 salary can make you feel financially concerned.
Managing expenses, avoiding impulsive purchases, and planning for the future might seem impossible—but it’s not about how much you earn; it’s about how wisely you manage it.
By setting clear goals, creating a budget, and sticking to it, you can take control of your finances. Even small investments, like ₹500 a month, can grow significantly over time.
Cutting unnecessary expenses and adopting smart spending habits may require sacrifices, but these will pay off in the long run.
It’s not easy, but every small step you take today will bring you closer to financial stability. Stay disciplined, stay focused, and remember—your future self will thank you for the effort you put in now.
Hashim Manikfan
Hashim Manikfan is a professional financial content writer with extensive experience in creating engaging and informative articles on a wide range of financial topics. With academic background in Communication and Journalism, Hashim has published numerous articles aimed at educating readers on essential financial principles. His work covers areas such as financial markets, investment strategies, economic trends, and more. His writing style ensures complex topics are accessible and interesting, making financial literacy attainable for a broad audience.
