3 Steps I Took To Stop Wasting Money
I’ve always been on the frugal side of the financial scale but even on the frugal side you can still end up wasting money.
You see, just because something is on clearance doesn’t mean you are not wasting money on it. Once I got married and we had to sit down together and look at our finances I realized there were a lot of spots where money was being wasted when it could be saved or put to something better!
So today I want to give you the steps that I did in order to stop wasting my money and start putting it to good use instead. Let’s do it!
3 Steps I Took To Stop Wasting Money
1. I Took inventory of my past spending and what I owned
When you take inventory of what your past spending has been you become highly aware of where your money has gone in the past and where it is going right now. If you never do this you may never realize why you have $100 less in the bank account each week.
Not only does taking inventory of your spending make you aware of your financials but taking inventory of what you have helps you realize what purchases were worth the money in the past and what ones were not.
If you look around your house and see multiple purchases made recently that are not really that important to you or items that you don’t really care about anymore you are more likely to stop and think twice before making a similar thoughtless purchase again.
Next time you go through your stuff and make a giveaway bag try and tally up how much money you spent in the past on the items you are now giving away.
So many times we buy useless and pointless purchases that just end up in a Goodwill box the next year or even month. But when you make yourself aware of this fact by taking inventory of your spending and your previously bought items it starts to shift how you look at spending money on things. I've done this and trust me, I spend my money differently because of it. I no longer waste my money on purchases that I'll get rid of in a year.
2. I Created An Intentional Budget
I know this is like Money 101 but it has to go on this list because this is the number one thing you need to do in order to stop wasting your money. After taking inventory of your spending you need to create a plan for how you will start spending your money in the future so that you won't continue on the way you have.
Create amounts you are willing to spend on each category of spending. I have a post that can help you with that here: How to Set Your Budget Amounts. Factor in all your bills and other expenses too.
However you create the budget, on paper, using an app, etc. make sure you have it somewhere you will look often. Put it on the fridge if it’s paper. Have the app on your home screen if it’s electronic. Put it where you will see it often and be reminded what your spending amounts are so that you won’t go over!
3. I Made it a non-negotiable
The only way all of this will work and you’ll stop wasting money is if you make it a non-negotiable. If you commit to changing the way you spend your money so that you are not wasting a dime of it, then you won’t waste a dime of it.
But if you create a budget but don’t really stick to it, or don’t really look back on your spending habits or take inventory of what you buy, I can guarantee you, you will not succeed in this.
You need to set this up as serious in your mind and make it a non-negotiable in your heart. Make it a promise to yourself that you will stop wasting your hard earned money and you will.
We have completely turned our spending around and nothing we ever do with our money is not thought through or done without a purpose. I’m done wasting any money that I worked hard to earn and you should be too!