Saving Money

My husband has a saying: “Poor people have poor ways.” 

Now, granted, there are times when a family is met with unforseeable circumstances. But it is possible to become financially independent and reach our goals in life, whatever they may be!

The average American family lives from pay check to pay check. Worse than that, the average American household has $8,000.00 in credit card debt. Bankruptcy has been on the rise for years now. Many families feel they must have two incomes inorder to “make ends meet.” But is this really necessary?

If you found out you could save money and work less would you do it? For many people, changing their spending habits is a very hard thing to do.

My husband has another saying: “Every time you spend money you are mortgaging your future.”

And he is right! There are two categories for spending: NEEDS and WANTS. What is the difference? A bag of fresh carrots is a need. A bag of potato chips is a want. A bottle of juice is a need. A package of individual juice packs is a want. A meal of beans and rice is a need. Steak is a want. Does this mean you shouldn’t enjoy life if you are going to be frugal? Of course not! There are lots of ways to purchase frugally and still enjoy good wholesome meals and fun times with your family. You simply change the way you think, number one. And number two, you change the way you spend.

Frivolous spending and instant gratification will keep most people from ever becoming financially free. Some might think that limiting what you spend money on as limiting yourself. BUT debt keeps you in bondage. You always owe someone else. You have to constantly work to pay off that credit card. If your spouse was to loose his job and you owed a dozen different creditors, how would you survive? If you owe no one, it is a lot easier. Mykal and I pay for everything with cash. If we can’t afford to pay in cash, we don’t need it that bad. You should always have enough money in your savings account for true emergencies. If you do have to take some, repay your savings before spending on other items.

Let’s say you want to purchase the home of your dreams, but in order to do so you will need to save $25,000.00 for a down payment. You would like to purchase the house in 5 years. That means you must save $5,000.00 each year. But you are living pay check to pay check and each time you have money left over you “celebrate” with take out or a new gift for yourself. Are you willing to make the changes in your lifestyle necessary to make it happen? If not, face the fact that you don’t want to reach your goal bad enough. Maybe you have a smaller goal or maybe you want to have enough money to retire early. Whatever you goal or dream, how bad you want it will determine how willing you are to save now. List your priorities and decide what you need to do to make it happen. Then follow through!

There are thousands of ways to save money. Here on these pages I hope you will find some that work for you. Frugal living is not a boring lifestyle! In fact we consider it an adventure. You can have fun and be frugal too. Make your dreams come true!