You must not go overboard on savings. You are the best judge of how much you can save and how much you can spend every month. There is no point in saving all your money and being sad about not having enough for your needs.

If you have a family, you must take care of their needs as well before you start investing. Set a target accordingly. But you should allocate a fixed amount every month. The more you can save, the better.

5. Don't lose your focus on savings

You may have invested your money across various investment options. Don't think that your job is over. In fact, you must keep a watch on interest rate changes and market fluctuations.

If it is stocks you have invested in, check out how the companies are performing, read up, be alert. You have to be proactive to the changes and be actively involved to make your money grow.