Invetsers should define their own rules to achive thier finacial goals. Here we can see one of the key rule will help for continuous investment. Follow 20 30 50 / 30 20 50 rule for investment. First calculate your total income in monthwose. Split your total income with three portion.
- First one is Investment
- Second one is Additional expenses
- Third one is daily expenses
Investment
To enjoy a comfortable financial future, investing is absolutely essential for most people. Investment can be done in any kind of instrument. Let’s see some sample intruments
- Rental Income
- Fixed Deposit interest
- Stock Dividend
- Crypto Currency
Click here to see more.
Rule #1 20 30 50
Here 20% of your total income should be spent for investment. Park this 20% amount in the multiple Instruments. Here instruments are nothing but Gold, Real Estate, Mutual fund, Stock market, etc …
30% of total income will be spent as additional expenses. Additional expenses are amount sent for entertainment, hobbies etc…
50% of your total income will be spent for daily expences like essential things.
Rule #2 30 20 50
Here 30% of your total income should be spent for investment. Park this 20% amount in the multiple Instruments. Here instruments are nothing but Gold, Real Estate, Mutual fund, Stock market, etc.
20% of total income will be spent as additional expenses. Additional expenses are amount sent for entertainment, hobbies etc…
50% of your total income will be spent for daily expenses like essential things.
Here 50% is common for both rule. Investors can adjust the 50% with Savings. But should follow 20 or 30 for Investment. This value may be increased based on the investors income.
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