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The Secrets to a Successful Spending Freeze
Everyone starts No Spending Month with good intentions, and then sometime within the first 10 or so days, a spending hiccup occurs and money is spent, and that's the end of their spending freeze.
So how do you avoid those hiccups and finish No Spending month triumphant, with more money in your bank account?
There are three things you can do to ensure your spending freeze success:
1. Clean out your pantry.
The grocery bill is the one bill you have complete and utter control over. You control how much you spend on groceries, so for No Spending Month, tackle the grocery bill first. You can do this by cleaning out the pantry (and fridge and freezer and stockpile if you have one). During No Spending Month aim to use up all the groceries you have in the house. You'll need to do a couple of inventories, and make a meal plan. And you'll probably end up with some odd meals, but it's only for 28 days, not forever. Once you've done the meal plan you can make up your very small shopping list of things you need to fill in the gaps - then stick to it! It defeats the purpose if you ignore your hard work and shop the way you would normally.
2. Don't be shy, tell everyone you know that you're participating in No Spending Month.
Talk about it to your family (doh!), your colleagues, school mums, neighbours, post it on your Facebook page, blog about it. Spread the word that you're on a spending freeze for the month and you are going to save $1,000 (or more!).
Let everyone know that you're not available for drinks on Friday, but you're happy to host them at your home - BYO of course - and that you're going to be banking the $30 you would have spent instead of spending it. And then remember (and share) that $30 a week is $1,560 a year - enough for a week's holiday at a resort (you can let them know this too - and the name of the resort you're going to enjoy).
We all work hard for our money, and $30 once doesn't seem like a lot of money. But when you think of it in the long-term, it becomes significant. Still not convinced? Look at it like this: how many hours would you need to work to earn that $1,560?
3. Have a plan for the money you don't spend.
Remember, it's not saved until it's safely in the bank. Until then, it's just not spent. So list all the things you'd like to buy with the money you save during No Spending Month. It may be a pair of shoes, it could be something for the house or car, it may be a treat for the family. You'll find this works like the $100/24 Hour Rule - by the end of the spending free you won't want whatever it is or you'll have changed your mind or found something you already have that fits the bill. And then you can keep that money in your savings account!
So sticking to these plans, how much can you expect to save in a month? Even on the strictest of budgets you can easily save $500 - $1,000 just by thinking about spending and choosing what to spend your money on, it's entirely up to you.
But really, if you skim through No Spending Month and end up $200 better off at the end of the month, that's better than a kick in the pants isn't it!
So how do you avoid those hiccups and finish No Spending month triumphant, with more money in your bank account?
There are three things you can do to ensure your spending freeze success:
1. Clean out your pantry.
The grocery bill is the one bill you have complete and utter control over. You control how much you spend on groceries, so for No Spending Month, tackle the grocery bill first. You can do this by cleaning out the pantry (and fridge and freezer and stockpile if you have one). During No Spending Month aim to use up all the groceries you have in the house. You'll need to do a couple of inventories, and make a meal plan. And you'll probably end up with some odd meals, but it's only for 28 days, not forever. Once you've done the meal plan you can make up your very small shopping list of things you need to fill in the gaps - then stick to it! It defeats the purpose if you ignore your hard work and shop the way you would normally.
2. Don't be shy, tell everyone you know that you're participating in No Spending Month.
Talk about it to your family (doh!), your colleagues, school mums, neighbours, post it on your Facebook page, blog about it. Spread the word that you're on a spending freeze for the month and you are going to save $1,000 (or more!).
Let everyone know that you're not available for drinks on Friday, but you're happy to host them at your home - BYO of course - and that you're going to be banking the $30 you would have spent instead of spending it. And then remember (and share) that $30 a week is $1,560 a year - enough for a week's holiday at a resort (you can let them know this too - and the name of the resort you're going to enjoy).
We all work hard for our money, and $30 once doesn't seem like a lot of money. But when you think of it in the long-term, it becomes significant. Still not convinced? Look at it like this: how many hours would you need to work to earn that $1,560?
3. Have a plan for the money you don't spend.
Remember, it's not saved until it's safely in the bank. Until then, it's just not spent. So list all the things you'd like to buy with the money you save during No Spending Month. It may be a pair of shoes, it could be something for the house or car, it may be a treat for the family. You'll find this works like the $100/24 Hour Rule - by the end of the spending free you won't want whatever it is or you'll have changed your mind or found something you already have that fits the bill. And then you can keep that money in your savings account!
So sticking to these plans, how much can you expect to save in a month? Even on the strictest of budgets you can easily save $500 - $1,000 just by thinking about spending and choosing what to spend your money on, it's entirely up to you.
But really, if you skim through No Spending Month and end up $200 better off at the end of the month, that's better than a kick in the pants isn't it!