We all like to enjoy the finer things in life every now and then. But are you doing it a little more than just occasionally? Are your credit card bills looking a bit daunting after a month of trying to live that high-class life or keeping up with all your favorite trendsetters? Well, the most thing to remember is you can fix this situation, and you can keep yourself out of it in the future. Read on if you are trying to live that champagne lifestyle on lemonade wages and failing!
It’s a cycle
When you already have debt, sometimes you can get into the mindset of ‘At this point, a bit more won’t make a difference’ but the truth is it does! Try setting a credit limit on your card so you can’t just keep going. You could even try one of the many apps and tools out there that can link together your credit and debit accounts, so your spending comes directly from the money you have. Or a more direct plan could be to just spend actual cash. It makes your spending much more real and can often be an incentive for you to slow down. Whichever method works best for you, implement it to stop the cycle of spending.
It’s not the most exciting thing, but start yourself a savings account and set up automatic transfers from your debit account so you can’t just use that money whenever you want. It’s important to start saving as it can provide you a cushion in case of any future emergencies. Make sure your automatic transfer doesn’t put you in the minus every month, set a limit that works with your life.
Keep it separate
Speaking of your savings account, it can also help just to have that money away in a different account and ensure you don’t constantly check it. Often people are put off touching their savings just by having them kept separate, but it can also be tempting to know how much you have in there. Knowing what’s in your savings can make you think of all the things you could use it on, and that’s not healthy or fun for you.
Freedom, not deprivation
When you’re saving rather than spending, it can feel a bit like you are depriving yourself of fun. But in reality, you’re on your way to freedom. Getting yourself out of debt and giving yourself some decent savings can free up so many options for you and in the long run, you’ll really appreciate what you’ve done for yourself.
Online spending is the worst enemy of savings. Take some time away from the internet when you can because adverts are everywhere, even sometimes just in the form of someone on your Instagram posting their new outfit. So give yourself a bit of detox time, it’ll be good for your mind and your wallet.
Although it can feel daunting at first, cutting down your spending can be achieved if you implement a few new steps in life and start being strict with yourself. You can reach all your goals, but it’s just about taking those first steps and being proactive.