How To Save Money With 20000 Salary

Are you seriously asking this question how to save money with 20000 salary? So I will not make any false promises in this blog but yes I can provide you a temporary solution.

But not for the permanent solution that you are looking for because once you read this blog on how to save money with 20000 salary you will yourself feel that yeah this question you can’t carry throughout your life ok you understand what I am trying to say.

To get rid of this solution permanently or temporarily you need to do one thing: you seriously need to think about personal finance. Your finances such as savings, budgeting method, investment type, insurance etc.

You can’t only focus on saving money though you need to focus on saving money also but you need to understand the entire game to play the game more efficiently and for a longer period.

How To Save Money With 20000 Salary
How To Save Money With 20000 Salary

Some of the key points that we are going to see are as follows:-

  1. Know your salary
  2. Cut down unwanted expenses
  3. Savings tips
  4. Maximize Your Savings
  5. 20,000 Salary is not enough
  6. Look for an extra source of income
  7. Saving is not going to be enough
  8. Invest
  9. Don’t stop learning

Know Your Salary

You need to know your salary anyhow listen why I am telling you is that if you know that your salary is 20000 rupees. Do you think that it is so necessary or important to buy a phone on EMI which costs is around Rs 100000 and you are repeating this mistake again and again? You can’t do this seriously if you want to save your money from your 20000 salary you can’t afford to lose money in EMI every month.

And second thing is that you need to track your income and expenses how much income is coming, how much expense you are doing unknowingly. Whether you are doing the right thing or wrong thing it all will be clear once you start tracking your income.

You can’t expect to know everything about your cash flow unless and until you track your income statement. There are lots of tools you can try that are working best for yourself that is and can make a budget accordingly. It is very very important you want to know how to make a budget you can go through this.

Cut down unwanted expenses

Identifying and eliminating non-essential expenses are you very important if want to save money from your 20000 salary. Listen the 20000 salary is not that too much that you can afford to waste your money on so-called unwanted things that are not needed by you at that particular time.

You can use various saving methods such as I’ll tell you can save lots of money on transportation if it is not necessary don’t unnecessarily waste your petrol or diesel you can get one transportation vehicle for you.

Savings tips

Savings is the most crucial and essential step if you want that you need to save money for low income. One of the most I mean you can say the highly effective method of saving is to save at least 10% or 20% of your income, you can transfer that to another account immediately so that you can initially save your money.

The second thing you can do you can automate your savings, so many banks provide this feature you can easily automate your savings. Once you get your payment it directly gets deducted from your account to your other account. So that you don’t have to keep in mind by chance you forget but that automatically saved feature helps you to save your money without making you think of that and the last which is the saving I can say the best saving method is that following 30 days savings rule .

Maximize Your Savings

Listen you know your salary is 20000 right and max to max you how much you can save only 20000 which is practically not possible. So to save money and if you want to retire at an early age you need to do maximum saving one thing is that from 20000 you can save as much as you want but that is not going to be enough and the second thing is that have a look next point.

20,000 Salary is not enough

Yes, it’s to 20000 salaries is not enough if you think that it is a good amount no man you can’t. If you are an individual might be ok initially but if you have family you can’t you need to think about this. Now what youat can we do about this I know you have only a 20000 salary you can follow the next point.

Look for an extra source of income

Yes, you need to look for access income you work 9 to 5 at job, and the remaining time that you get after working at a job you need to utilize. Yeah, I know it will be hard for you but you need to do it’s you want to look for an extra source of income and you are always going to find yourself in travels so you can’t afford to take this risk.

Saving is not going to be enough

Listen no matter how much you earn whether you earn 20000 or 1 lakh only I don’t care because if you save money saving is not going to be enough you need to understand this as early as possible.


Invest money if you want to become a millionaire or if you are in your early 20 and you are looking to become a millionaire before 25 you need to invest money. Although investing doesn’t give you a return in one night.

But if you invest properly regularly consistently you can see the results in the next 5 to 10 years and you can expect to be good I want your money to grow so you need to learn about investing first so learn and then invest don’t copy anyone otherwise you are going to lose all your hard-earned money.

Don’t stop learning

Listen the day you stop learning that day onward your income graph will be flat or going to decline. I am definitely sure so you need to learn every single day to keep on and the simple formula to make more money is to learn more. So if you want to earn more that’s a simple concept and easy but then also men people fail to do because they think that they have academic knowledge. But seriously think that, there is any link between your academy knowledge any financial knowledge. You need to know about personal finance.


I hope now you will understand how to save money with 20000 salary do you also know that your rs 20000 salary is not going to be enough so you need to look for more you need to cut down your expenses, you need to track your budget, you need to save more. Look as I said well and many more things I am definitely sure this if you follow this you will definitely help you to make and save more money.

All that I told you is practical and time-consuming. I have not said any shortcut that you will become rich in overnight or will save you amount to money from 20000 salary throughout your life easily. You need to follow this regularly and consistently with the proper discipline and religiously to see the results we need to follow for at least 3 to 6 months so that you can see the changes in your account.

And no doubt yes it is achievable with the right strategies if you follow them you can save money with a 20000 salary also but once again I am saying that that it is for the short term you can’t whole life with your 20000 salary. So you need to think beyond that we need to think about how you can get a much better skill so that you can increase your salary.

Call to Action

If you have any personal saving tips which works for you can comment below so that we all can try let me know the comment whether the things are working for you or not.

Saving money on a salary of 20,000 can be challenging but achievable with smart strategies.

Here are some frequently asked questions (FAQs) related to how to save money with 20000 salary you can clear more doubts.

How much should I save from a 20,000 salary?

Aim to save at least 10 – 20% of your salary, which is 2,000 – 4,000 rupees in this case. Well, that’s not something big if you cut unwanted expenses.

What are the best savings accounts for a 20,000 salary?

Look for accounts with no or low minimum balance requirements and good interest rates, like digital savings accounts or those offered by cooperative banks.

How can I budget effectively on a 20,000 salary?

Use a budgeting app or spreadsheet to track expenses, prioritize essentials, and allocate a fixed amount for savings each month.

Is it possible to invest with a 20,000 salary?

Yes, consider starting with SIPs (Systematic Investment Plans) that allow investments as low as 500 rupees per month also. But you can look to invest at least 2-3000 Rs which is much better.

What are some practical tips for cutting expenses on a 20,000 salary?

Cut down on dining out, entertainment costs, and unnecessary subscriptions. Opt for homemade meals, and free leisure activities, and cancel unused subscriptions.

How do I handle emergencies with a 20,000 salary?

Build an emergency fund gradually by setting aside a portion of your savings each month until you have 3-6 months. A 6-month emergency fund is ideal I know it is going to be hard but you need to do and focus on increasing your income.

Should I pay off debts or save first with a 20,000 salary?

Prioritize high-interest debts first while saving a small amount each month to build an emergency fund. You can use snowball method also if you find it difficult to pay high interest debt first.

Can I save for retirement on a 20,000 salary?

Start small with retirement savings by contributing to EPF (Employees’ Provident Fund) or a similar retirement scheme offered by your employer. Well it is good step initially but you can’t rely on that also.

How can I increase my income on a 20,000 salary?

Explore freelance opportunities, upskill to qualify for higher-paying jobs, or consider part-time work if feasible.

What are the long-term benefits of saving on a 20,000 salary?

Saving early builds financial discipline provides a safety net for emergencies, and sets the foundation for achieving financial goals like buying a home or retirement.

I hope you like the blog on how to save money with 20000 salary do comment below what you are looking for I would love to write content on that topic too.

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