1% Expenses cute rule refers to the This rule mean every month whatever your expenses are particularly your desire and needs try to cut them down by 1% .So if you spend 1,000/-on your needs and desires.
1% of that means 10 /- try to spend 999/-next month now the reason why i say that there are limitation to this rule is that you will have to spend same money to live your
life.So beyond a certain point it can not continous but unitl you can follow this 1%rule follow it.It will keep you disciplined it will force you to think about things from where
you can cut down money without of course hampering your lifestyle and your well being and will help you save a lot more.
Frequenty Asked Question
What is the 1% spending rule?
If you spend money on something and we’re talking about a non-necessity something that you don’t have to buy, you just want to buy and the cost of that item is more than one percent of your annual income before taxes you have to wait at least 24 hours before buying it and so what this means is if you make forty .
What is 50 30 20 rule of money in India?
The 50/30/20 rule fosters financial discipline by helping you budget your expenses using the following savings ratio formula: 50% of your net income goes towards meeting your needs. 30% of your net income goes towards meeting your wants. 20% of your net income goes towards your savings.
What is 4% rule in India?
The 4 per cent rule says that an individual can withdraw up to 4% of the total value of their portfolio in the first year of retirement. This way, one can expect to outlive their money during retirement.
Conclusion
1% Expenses cute rule refers to the This rule mean every month whatever your expenses are particularly your desire and needs try to cut them down by 1% .So if you spend 1,000/-on your needs and desires.
1% of that means 10 /- try to spend 999/-next month now the reason why i say that there are limitation to this rule is that you will have to spend same money to live your
life.