Following the festive expenses of Diwali, financial expert and Nixepa Capital co-founder Kushagra Mohan has offered useful suggestions to bring the financial situation back on track. He has advised adopting a 7-day money detox plan and the popular 50:30:20 budget rule to control expenses.

7-day money detox plan

The money detox plan involves steps such as putting a brake on expenses, conducting a financial audit, and automating savings. It outlines the process of accurately calculating expenses and closing unnecessary subscriptions to stop wasteful spending.

The 50:30:20 budget rule

For budget management, the 50:30:20 rule divides the salary into three parts. For example, on a salary of thirty thousand rupees, fifteen thousand rupees can be kept for needs, nine thousand rupees for wants, and six thousand rupees for savings and investments.

Additionally, to deal with emergency situations, the advice suggests setting a target of keeping an amount equal to three to six months of essential expenses secure in an emergency fund.