ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

Young and unmarried: money saving formula for bachelors

Updated on April 20, 2015
You are young - you are smart - you are dynamic, then why not think smart, spend less, and save more.
You are young - you are smart - you are dynamic, then why not think smart, spend less, and save more. | Source

A younger unmarried cousin of mine asked me a question a few days back, “brother since I started earning two years back, initially I had a habit of saving almost all my monthly income, but then I thought what is the use of all this saving unless I spend it. So I started spending money on buying stuff like new laptop, LCD TV, bike, but then I realized that I might be spending too much. Is there any formula which can help me to find out what percent of my income should I save and how much to spend? Can you please guide me on financial planning? How should I manage money I earn?”

I told him in a very funny way, “save as much as you can before you get married because after that you would not have a choice between the two.” So when he asked me again, please brother tell me about this seriously. I told him Nitin it is good that you have realized early about planning your finances and money management and also understand that there should be a balance between spending and savings. According to me, there is no definite rule or law which states that you must save X amount from your salary and so on. Personally I feel you should have 3 to 4 months of your monthly salary in your savings account in cash. Once that is there, try to divide your salary into monthly savings and expenses.

Monthly savings can be in the form of mutual fund SIPs or recurring deposits or PPF or other kind of savings where you slowly build your corpus. In times of economic slowdown and recession, you should try to keep your expenses as low as possible and savings as high as possible. And yes, I must admit once you get married, things would be pretty different for sure.

The only reason for me to suggest the above things to my cousin was because he is a young man and the time value of money principle works so well when you save at youth rather than saving later, especially after marriage and having kids.

Some people say youth is for enjoying and spending money, but I admit that you 1 dollar saved during this time will be as strong as your 3 dollars saved during 30s.

Even a difference of 5 years in financial planning can make the graph go completely different.

For example, when I was young, I asked my dad to buy me a video game (the video games which we used to attach to the TV and play - the Nintendo type). But my dad said it is costly and it would hamper your studies. I decided that when I would grow up and earn on my own, I would buy that video game and play it as much as possible. But now that I earn on my own, plan my finances, take responsibility of all household budget paying from electricity bill to home loan installments, paying from kid’s school fees to grocery items at home, managing investments to planning retirement, etc.,  the craving for video games has gone and I feel I should not waste money on it. Rather I would buy one for my daughter when she will be at least 5 to 6 year old.

By the above example I wanted to show that there is an age for doing things. So at an age when we are young, let us (sometimes) do things that people at that age do (that’s why I will buy it for my daughter at her right age). We are earning not just for surviving but for a living. So let us analyze how much we can save and how much should be our expenditure and plan personal finances and manage our money accordingly.


    0 of 8192 characters used
    Post Comment

    • Maggie.L profile image


      7 years ago from UK

      Very wise words indeed. You're quite right that we are best to save before getting married and having a family as that's when you have the most disposable income. Great hub.

    • Taleb80 profile image

      Taleb AlDris 

      7 years ago

      Thank you for this tips.

      Saving is so important.

    • AskAshlie3433 profile image


      7 years ago from WEST VIRGINIA

      Soni, thanks for the advice. Living paycheck to paycheck really sucks! Before I was in the medical field, I was doing this. Then, my car broke down. I had no money to fix or nobody to help me. It took weeks before they figured out my car. I lost that job and learned a valuable lesson, save your money!

    • soni2006 profile imageAUTHOR

      Rajinder Soni 

      7 years ago from New Delhi, India

      Thank you so much Jeanie and akulkarni for your comments. Yes I remember when I was a bachelor at that time, I was able to save money but I admit that I kept on spending and saved less and this is the reason why I had problems afterwards. I don't want my young friends to repeat the same as I did. They must start saving as 20s is the perfect age for this. Best of luck. Keep saving.

    • jeanie.stecher profile image


      7 years ago from Seattle

      Im sure that a student could save more than a person employed on a regular job. If the student just knows how to manage their affairs and focused more on studies, then they would have to spend more. Am i right? =)


    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at:

    Show Details
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the or domains, for performance and efficiency reasons. (Privacy Policy)
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)