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      I ignored my variable pay until I realised it could 10x my savings

      Bonuses aren’t treats, they’re tools. Here’s how I turned mine into serious savings.

      December 04, 2025 4 min read

      Key insights

      Variable pay is a shortcut to long-term financial goals.

      A simple 50-30-20 rule made variable pay, more powerful and sustainable.

      Pairing variable pay and savings creates financial confidence and relieves mid-month stress.

      You don’t need to sacrifice fun; you just need a little intention behind the money.

      I have a confession. I once found ₹25,000 in my bank account, which I didn't expect.
      My first thought? “Scam.”

      Second thought? “Free money?”

      A third, more reasonable thought: “Where did it come from?”

      A few moments later, I received an email confirmation: “Bonus Credited”

      Ah. This is part of the variable pay benefits everyone’s been talking about. Now that I think about it, HR did mention something about variable pay during onboarding. But I was too busy gloating that I got the job.

      Now, back to the ₹25k. I did what any of us would do:
      Ordered in. Bought the shoes I’ve been eyeing for months. Booked an impromptu spa. It was fun, reckless, and very short-lived.

      By Day 5, I was back to living my sub-par life.

      I treated variable pay like a gift

      Variable pay benefits - that first bonus felt like a reward for all my late nights at the office.
      And rewards are meant to be enjoyed, right?

      At the time, if only someone had told me that variable pay benefits are a game-changer when it comes to saving for the future. That the ₹25k is more than just free money - it’s a serious tool for financial growth.

      And the fact that variable pay and savings could work together was something I found out the hard way.

      So, like any other 20-year-old, I made the same mistakes:

      • Treated my variable pay like lottery wins
      • Spent it all, questioned my decisions later
      • Had no plan or purpose

      The result? A pattern that looked like this: Money in → Impulse spending → Mid-month regret.

      The wake-up call

      It wasn’t a dramatic life-changing event. No medical emergency or job loss.

      Rather, it was something I read on social media: “I use my variable pay to 10x my savings every year!”

      Now that is a line which lived rent-free in my brain. What if I did the same thing?

      What if I treated my variable pay benefits like a power-up, not a payout?

      So, I did it.

      Variable pay benefits: My new superpower

      You’ve heard the saying, ‘Better late than never'. Following that, I used the simple 50-30-20 budgeting rule but tweaked it.

      Following that, I used the simple 50-30-20 budgeting rule but tweaked it.

      • 50% straight into my savings: I made a separate account. Out of sight, for my future. 
      • 30% for my financial goals: Started an emergency fund. This is where variable pay and savings work. I could make significant money moves without touching my salary!
      • 20% money for me: Yes, I still treated myself. But I knew exactly how much I could spend without creating chaos.

      Honestly, it wasn’t easy the first few months. I was used to the extra money. But seeing my bank balance by the 15th and not crying - absolute peace.

      The underrated power of variable pay benefits

      Once I stopped treating variable pay as “extra cash” and started seeing it as an opportunity to build long-term wealth, everything shifted.

      Here’s why variable pay benefits are so underrated:

      1. It boosts your savings

      Fixed salary = basic survival.
      Variable pay and savings = wealth creation.

      Use the money to fast-track your goals. Build a travel fund, invest in SIPs, Health Insurance, or grow an emergency fund for your ageing parents in months, not years!

      2. Put your monthly budget on DND

      Knowing that you’ve stashed money away without touching your regular income is a feeling beyond comparison. It’s financial peace in disguise.

      3. Healthy money habits

      Who said you had to cut down on fun to save more? You just become smarter about it.
      And that’s the most underrated of all variable pay benefits.

      4. Future-proofs your life

      Bonuses are unpredictable. But if you consistently save an amount like ₹25k, you create a safety net. And if that’s not the smartest adulting move, I don’t know what is!

      Variable pay and savings: The power duo

      I admit, I made a few financial blunders. Who doesn’t? But here’s what I know about variable pay benefits now: That surprise ₹25k was more than just bonus money. It was a missed opportunity to turn my life around sooner.

      When I started pairing variable pay and savings, my entire money mindset shifted. I stopped fearing money. I started using it. With intention. So, if you’re lucky enough to get bonuses, don’t waste them.

      Plan. Build your savings. Splurge, but wisely.

      And the next time that surprise money hits your account, don’t just think, "What can I buy?"

      Think: "What can I build?"

      Disclaimer: This article is intended solely for informational purposes. The views expressed in this article are personal. Axis Bank and/or the author shall not be liable for any direct or indirect loss or liability incurred by the reader arising from reliance on the content herein. Readers are advised to consult a qualified financial advisor before making any financial decisions. Axis Bank does not endorse or guarantee the accuracy of any third-party content or links included in this article.


      By Axis Bank Learning Hub Team

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