Saving money is a pipe dream for many people.
With plenty of Americans living paycheck to paycheck, it may seem borderline impossible to put aside money every week. It’s especially hard when all you want to do is spend money.
As a result, many find it hard to avoid spending money in the face of endless advertisements and targeted marketing.
Fortunately, many frugal people have revealed their favorite tips that keep them locked in and money-conscious.
These tips will help you keep a frugal mindset; trust us. It’s not as impossible as it seems!
Turn Being Frugal Into a Game
Making your whole way of thinking into something you can win. Making the frugal mindset into a grame is a great way to become frugal and have fun at the same time.
For example, if you’re competitive, saving money could be easy if you regard it as a game.
Some apps help. Or set challenges for yourself. Maybe eat out only once a month, cook all those bags of dried beans and rice in your pantry before buying more. Tracking your progress can motivate you to “win” at being frugal.
Do a Quick Retirement Calculation
Sometimes, putting numbers on paper and doing some quick math is all it takes to make you realize how frugal you must be. One person suggests busting out the calculator. First, determine how much you will have in retirement as you currently save. Then, calculate what it would be if you were relatively frugal.
If you’re 30, you have roughly 35 years until retirement. Assuming historical returns, saving $1 now will give you around $32 at retirement. A single $4 drink deprives the future you of $128. One workweek of drinks is $640. One month of drinks is around $2500.
Skipping a $50 dinner gives you $1600 in retirement. Thinking about this can help curb that urge.
Keep Everything in Perspective
Asking yourself, “What is my goal?” goes a long way in realizing your own frugality.
Keeping everything in perspective while critically examining your financial situation is essential.
Also, remember to live frugally, not miserably.
After all, there’s a thin line between saving money using frugal methods and driving yourself crazy.
Create Budgets
It doesn’t matter if you want to live a more frugal life or have excess wealth, most people believe in setting budgets for your spending.
Make a budget for every type of spending you can think of and challenge yourself to get the most out of that budget as possible.
Use Your Childhood as Motivation
Don’t be ashamed if you grew up in a household that penny-pinched as much as possible.
Instead, use that as motivation to be more frugal with your everyday spending.
Growing up poor teaches you to be frugal. At some point, you’re no longer poor, but it’s a habit and the motivation behind the life your leading.
Read Books
Self-help books come in all shapes and sizes.
From thinking critically to saving money, there are books to help improve any area of your life. One book, in particular, has helped many people and is worth checking out: The Art of Frugal Hedonism. You can buy it, or better yet, find it at your local library and enjoy!
Make Short-Term Goals
Much like setting budgets, making easily obtainable short-term goals is a simple and practical way to increase your frugality. Have a goal you are working toward, like an emergency fund.
Being frugal can help you save for a trip or pay off student loans. Before you know it, you’ll live a more frugal life and won’t be as susceptible to spending money on things you don’t need.
Create Spreadsheets To Assess Your Financial Situation
Don’t confuse spreadsheets with budgets. Sometimes, simply tracking your spending on a spreadsheet can help you see the “big picture” of your financial situation.
Track your spending on a spreadsheet, with each line breaking into a separate category. You will see some patterns develop and wonder if it’s worth it at the end of each month, when all your money is gone. It can be eye-opening.
Set Up Automatic Transfers
Trust me: it’s easier to be frugal when a computer automatically does it. Setting up automatic transfers to your savings account with every paycheck can (literally) pay dividends! Other frugal savers agree with us. Set up automatic deposits for the day after your paycheck hits your bank account.
The money can go to your IRA, some to your high-yield savings emergency fund, some to your investment account, and some to your household account for your bills and necessary expenses. Only leave a few hundred dollars of “spendable” money for discretionary purposes in your checking account.
Use TV Shows as Inspiration
You can find plenty of inspiration to be more frugal, but you must know where to look. Many TV shows actually encourage overspending. But if you watch frugal shows on YouTube like Til Debt Do Us Part or I Will Teach You To Be Rich it can be really motivating.
Who knew you could become more frugal by sitting on your couch and watching TV?
