Money troubles are common, but I believe they are avoidable. I love the feeling of knowing I have money in the bank for when I really need some extra cash. I also believe that your relationship with money is influenced by your upbringing.
I first came across this with Jamie, and her way of thinking when it came to money. Jamie also believes her thoughts about money originated from her childhood. She was surrounded by people that spent everything they earned each week on one hand, and on the other, people that had more money than they knew what to do with.
All of my life, I have been surrounded by people that are very smart with their money. Always thinking about how they are spending, if they should spend, and where they shouldn’t spend. And this has definatly rubbed off on me, and although I spend money, my first thought is always to save. I like the sense of security it provides.
Jamie and I have spent many times speaking about money troubles, and what I always think is that nothing is stuck, it is usually fixable.
Being optimistic about money is the first step to being a better saver. Although this sounds ridiculous, but your mind set will get you a long way. Thinking and telling yourself that you can save more, you will find you will save more.
Having a budget, and sticking to it, is the next step. I know, I know you’ve heard this all before, but be realistic with your budget! If your food shop usually costs 100, but then some weeks the food shopping costs 120, budget 130! You will reward yourself each week with an additional 40 that is “left over” and on those expensive weeks you won’t notice a chunk of your budget missing.
Use Online Banking to your advantage! Banks have a lot of cool (and usually free) automatic payment options, so use them! I will talk about my automatic payments / bank set up later in the post.
Think before you spend mindlessly. When you’re out at the shops, it is so easy to just let the money disappear from your credit card. If you find yourself checking your credit card balance when you get home, and you find yourself feeling angry or disappointed with yourself, keep that feeling in the back of your mind next time you go shopping. Eat before you leave home, bring a water bottle, only buy things that you NEED, get cheap movie tickets. All of these things really add up, $12 for lunch, $4 for a bottle of water, $25 for that top you didn’t need, $20 for the movie ticket. Oh and how can you forget the $10 popcorn! Before you know if you’ve spent $71 and you’ve only got one top to show for it.
And no, I’m not saying you need to sit at home every single day, but by reducing your spending on the unnecessary things can really help you along the way.
A good example of this is, you can buy a movie on iTunes for $19.99 and watch it in the comfort of your home over and over again. All of that for the same price as one movie ticket, and lets be honest – those seats are not comfortable!!
Soon, you will find yourself being proud of your bank account and not your posessions.
The problem is, no-one sees your savings, but they do see your possessions. When it comes to clothes, I am a firm believer there are only 3 items of clothing worth investing decent money in. Jeans, shoes and jackets. all of the other items of your clothing can be Kmart $3 t-shirts that you wear, drop something on, shrink in the wash, replace. Jeans, shoes and jackets you just cannot skimp on the quality. Otherwise you will be forking out $50 at a time. Buy a decent jacket that goes with everything, wear known brand shoes that LAST, wear jeans that are actually jeans and not jeggings.
Avoid fast fashion shops like H&M, Glassons, Dotti. Those clothes, and I’m speaking from experience here, DO NOT LAST. Yes, some of there items are top notch, but you’re really paying for the trend. Buy timeless quality pieces and you will always be looking fresh and put together.
I could go on and on about this for ages… but thats enough for now 🙂