A Million within reach! Ways to make an effective saving.

Everybody might have new goals to achieve on New Year’s Day. Some might want to be a better version of themselves, some might want to have their own property. One of the popular goals might be having a million savings or a lot of money. However, it is hard to achieve that goal because of the habit of buying and so on. Here are some tips for you to make an effective saving.

Saving is not complicated. You just need a few techniques together with the way to save. Then, adjust them into your style. It is easier for salarymen since they earn the exact same amount of salary every month. There are 3 ways of saving that ACU would like to present to you!

1.The clear division of expenses

The first thing that you need to do when you earn money is to divide it clearly. The popular formula to divide is 50-30-20. The 50 is 50% of the money for daily living expenses. The 30 is 30% of the money for personal expenses and the 20 is 20% of the money for saving. The division of money will help you manage your money easier. For example, you can divide the salary of 15,000 baht into 3 parts. The first part is 50% of the salary which is equal to 7,500 baht. The second part is 30% of your salary which is equal to 4,500 baht and the third part is 20% which is equal to 3,000 baht.

2.Study in investment

There are various types of investment such as a savings deposit, a high-interest deposit, funds and gold saving. Today ACU will talk about Mutual funds and Tax Free Fixed deposit.

Mutual funds: It is a money raising from investors. Securities companies will manage those funds into investment according to the prospectus. For those who want to save money, SSF and RMF are good choices to hold in the long run and can be used to have tax allowance.

SSF(Super Saving Funds): It is a long-term saving fund which has no minimum amount to invest and no requirement for continuity in investment. Also, SSF Fund can be used in Tax allowance.
RMF(Retirement Mutual Fund): It is the mutual fund for people to invest in order to have money in their retirement. The condition of this fund is to purchase the fund every year and each purchase needs to be at least 3% of their income in each year.

Tax Free Fixed deposit: It is a monthly saving which the period of time will depend on banks. Normally, the period of time saving will be 24 months and 36 months and it has to be the same amount of saving in every month. Pros of Tax Free Fixed deposit are tax allowance and higher interest than normal deposit account. However, it can be opened 1 account per 1 bank.

3.Collecting 50 baht note or the note which has 9 as the last digit

The popular way for saving. Some might collect the note that ends with their favorite number. Some might think that a 50 baht note is hard to find so it is worth collecting it. However, imagine that you continue to collect many 50 baht notes and you will have a lot of money before you know it! For example, 100 notes of 50 baht is equal to 5,000 baht and 365 notes of 50 baht equal to 18,250 baht!