We all wish to build a habit of saving regularly. But what is the next step?
The next step is to invest the saved money wisely and not let it sit idle. It sounds like a lot of effort, but it has a simple solution: the systematic investment plan (SIP).
An SIP lets you save and invest at the same time, little by little. You decide on a fixed amount, which gets invested periodically in the mutual fund scheme most suitable for you.
You can start an SIP in any mutual fund scheme, be it equity, debt or even liquid funds.
You choose the amount, starting from as little as Rs. 500, and the deduction cycle: weekly, monthly or quarterly (the minimum amount may vary for each). Most people opt for monthly SIPs.
So save that extra Rs. 1,000 you might splurge on shopping, and put it towards a future need.