Mumbai couple makes ₹2.2 lakh a month yet can't save: Expert explains what they could do differently

A Mumbai resident's Reddit post recently went viral on several social media platforms after he claimed that he and his partner struggle to save money despite earning a combined income of ₹2.2 lakh per month.

In a post titled "Mumbai is too expensive to live", the man detailed the couple's expenses and sought advice from fellow Reddit users on how they can manage their finances more effectively throughout the month.

The post quickly gained traction, with users debating whether the issue stemmed from Mumbai's high cost of living or the couple's spending habits. Among those who weighed in was Sebi-registered investment adviser Abhishek Kumar, who shared his analysis on LinkedIn and explained what the couple could do differently to improve their savings.

How does the couple's monthly budget look like?

According to the post, the couple spends ₹44,000 on rent for their one-bedroom apartment in Mumbai. Travel to and from work costs another ₹5,000-6,000 each month, while electricity bills add another ₹5,000-6,000.

The couple also spends ₹8,000 on a maid and approximately ₹20,000 on groceries, gas and other household expenses.

One of the largest components of their budget is investments as they earmark ₹60,000 every month towards systematic investment plans (SIPs).

In addition, they spend ₹5,000 on medications and around ₹12,000-13,000 on social outings. Though the couple should ideally have some money left, the Reddit user also noted that the remaining money is usually spent on unplanned purchases and travel expenses.

What did the expert find?

According to Kumar, the problem wasn't the couple's income but the lack of a clear savings plan. He identified three reasons why they struggled to save money despite earning ₹2.2 lakh a month:

• No plan for the ₹60,000 surplus: After factoring in all the expenses such as rent, bills, investments and grocery expenses, the couple should ideally have around ₹60,000 left. However the money gradually disappeared on discretionary spending such as watches, perfumes, clothes and dining out.

• Travel wasn't budgeted: A visit to hometown cost the couple around ₹45,000 due to last minute flight bookings. Kumar pointed out that since the family visits weren't planned for, they ended up feeling like a sudden financial burden every time.
• Saving what was left over: Instead of setting aside savings first, the couple relied on saving whatever remained at the end of the month. According to Kumar, this approach often fails because unexpected or discretionary expenses end up consuming the remaining money.

The shift that changes everything

After analysing the situation, Kumar outlined a financial approach that could help in changing the Mumbai couple's situation and build more savings each money.

“Move your savings out the day your salary lands. Not at month end. Day one. You can't spend what you can't see,” he said in the LinkedIn post.

He also advised the couple to build a "home visits" fund , where they should contribute at least ₹4,000 a month so a ₹45,000 trip stops feeling like a crisis.

Kumar also asked people in similar situations to give their fun spending a fixed number and spend it guilt-free. But once it's done, it's done, he advised.

“This couple doesn't have an income problem. They have a structure problem. And structure is fixable,” the expert noted.