By Divine Grace Segunla
Do you overspend? I have too many times that I stopped counting. Whenever I plan a trip to the mall or groceries, I always end up spending more than what I intend. It has been this way for years that leaves me frustrated and in a financial turmoil. I got myself into debt several times and it’s not something I’m proud of. Debt is a vicious cycle that will keep you in bondage and far from financial freedom.
With the rising cost of food, rent, gas, and our everyday necessities, we need to make a decision before it’s too late. There is no better time than now to get our finances under control. One way of doing it is to curb our overspending.
Over the past months, I’ve been reading and researching about money matters. I have discovered a few simple money matter habits that we need to incorporate in our spending in order to get it under control.
1. Decide
To acknowledge that we are overspending and to decide to put a stop to it is the first step to our freedom. No one can do this for us. If you really want to control your money and not the other way around, decide now and resolve to do it no matter what.
2. Make a Budget
The next most important thing to do is to write down your expenses starting from your basic necessities (bills, food, transportation, clothes, rent, etc.) to your miscellaneous expenses (books, watching movies, etc.). It doesn’t stop in making your budget. You got to stick to it. For instance, if you’re planning to do your groceries, never leave the house with a list of what you need to buy and follow it.
3. Keep Track
This can be a little troublesome at first but when you get it into your system, it will dramatically help you in your endeavor. Get a notebook, write down every single expense you acquire everyday and keep it handy. In this way, you will be able to assess in which areas you tend to overspend the most.
4. Cut Down
Cut down on some unnecessary expenses. This is when your handy notebook is useful. Where do you tend to overspend? If you watch movies five times in a month, you might want to cut it down to twice a month. There will always be an area to cut down an expense from. You just need to find it out.
5. Live Within Your Means
If you have written your budget then you know where your money should go. If you can’t afford to eat out every week then by all means, stop doing it. You have to make an effort to stay within your limit. Do not spend more than what you are earning - as simple as that.
6. Postpone Buying
If you spotted a gorgeous blouse or a latest book from your favorite author, don’t buy it yet. Postpone buying for another 48 hours and do some thinking. Will it be a worthy purchase if you buy it now? Are you still within your means if you spend a few extra dollars for that book? Do you really need it? If you have assessed the situation thoroughly then you can make a reasonable buying decision.
7. Bring Only Enough
This is one of the most effective means of curbing impulse buying. If you are going shopping, have a list with you and bring only enough for your list. This is the best way of turning your back from temptations.
8. Quit Using CCs
As much as I can, I stay out of debt. Credit card means getting yourself in debt and I don’t use them unless for emergency purposes. If you use your credit card for shopping a new wardrobe, I don’t think that’s an intelligent way of using it.
9. Just Say No
IF temptations bug you, just say an emphatic NO! The urge will go away in no time.
