I’ve read hundreds of articles about different ways to cut your budget in half, but never tried to re-imagine my budget. The truth is, you get used to certain luxuries – especially when you haven’t had to save for anything. I’ve always made a decent wage, but spent it nearly as fast as it was earned. I always told myself that I’d start saving on the next paycheck.
I never learned my lesson, until I got into a fender bender that destroyed my car. Friendly advice: make sure you opt for the Gap insurance when you take out a loan on a car! I didn’t , and I’m stuck making payments on a vehicle that’s been scrapped for parts. I needed a new car to continue working, so for 2 years now I’ve been making double car payments. That’s enough to force anyone to learn how to budget!
In order to clear enough money for my new car payment, I had to make sacrifices. With any budget, it’s about decision. How did I convince myself that I could survive without cable? Make bargains. No cable, but you can watch just about anything online now, right? Keep internet. Save $40 per month. Upwards of $10 to go out for lunch every day at work? Pack lunch, save $60+ per week ($240 per month). Just like that – two small lifestyle changes and I’ve got an extra $280 each month to put towards my new car.
Anytime you adjust your budget, don’t think of what you’re losing – think of alternatives. This makes it easier to consider the fact that you don’t need to be spending $4 a day on coffee that would cost you $0.10 at home. It’s easier when you consider what you can do with the money you save, and think of opportunities that arise when you eliminate a luxury.Read More