Money management is no piece of cake for a youngster. But Siddharth Balasubramanyan’s tips and tricks can help you save some bucks by the end of the year. Try ‘em out
Financial dependence is really hard. As students, it is important we devise ways to not run out of money. Our expenses are huge. While our urge to spend on food is ever growing, most teenagers today also have equally important ‘commitments’ such as the religious purchase of video games, spending on road trips, and for a lucky few, books. With so many things to buy, and so little cash, it is essential to devise a simple method of prioritising as well as keeping track of our expenses. You can use apps that help you track your savings, invest carefully and more importantly, prioritise your expenses
Invest in yourself
Speaking of investments, the best investment sometimes is to invest in yourself. There is no greater satisfaction than paying for your own education.
Investment plans
With insurance companies such as LIC, it is not a bad idea. With a range of plans, you can plan your investment very well
Mutual Funds
Debt Funds for a stable return and Equity Funds for a high–risk high–return portfolio is also a good option to invest
Index funds
Track the movement of the indices such as the Sensex and Nifty. Most mature markets advocate investments in index funds.
Get a good life insurance policy. Preferably a term plan. Make sure you insure yourself at a young age in order to capitalise on low premiums
Medical insurance
Same as life insurance but for medical emergencies. Many plans today even cover out–patient consultations and partial disabilities
Retirement Corpus
It’s never too early to plan for your retirement. Deposit a fixed amount every month with trusted fund managers and see your plans grow
Siddharth Balasubramanyan
Qualified as one of the world’s youngest Chartered Management Accountants (UK) and a Chartered Accountant at 22, he is working in the Hedge Fund business of a New York-based investment bank. He is also a part-time tutor in institutes