The Zen of Success – Habitual Saving
The Successful credit their financial success to habitually saving (even more than investing) and it goes without saying this isn’t the easiest habit to learn, because it’s in your DNA to value today’s purchases more than those you put off until later, whether tomorrow or next year, and that’s why most saving is accomplished automatically, which means whenever you get paid, make sure money automatically moves into your discretionary savings or retirement accounts.
With the economy continuing to under perform as far as the eye can see, many people are looking for ways to save money and get on more solid financial ground.
If you have not been able to save any substantial amounts, you might have to make some difficult lifestyle changes like many have been able to accomplish the past couple of years, so I’ve put together a list of ways you can make big changes, at least for a little while, and who knows, maybe over the long term if needed.
Of course there will be some objections, especially from people who don’t think they can change their lives this much, or who just flat refuse to, and that’s fine, as these changes will prove too difficult for many to accomplish voluntarily, but know that you can live with less, and with the right mindset, you can find happiness without needing to spend money, as the key is to find your contentment while living with less.
strongMove to a smaller home/strong. For many people, housing is in fact the biggest expense in their annual budget, therefore representing the greatest opportunity for them to save, since living in a smaller, less costly home, you can save a lot of money all at once.
Now it’s obvious this isn’t a quick change, so you need to stay alert for a good opportunity to make the change, and you start by looking for smaller homes closer to the places you need to go including work, grocery store, schools, etc., so in addition, you can save on transportation costs, and this change alone can save thousands each year.
strongSell a car/strong. Many families are starting to adjust to relying on fewer cars, with carefully arranged schedules, be sure and take any cash you get from selling your car and use it to pay off some of the loan for the car you keep if needed, or use it to pay off higher interest debt you might have.
strongGet a smaller, used car/strong. Whether you already have only one car, or you decide you absolutely need two or more vehicles, you can downgrade your car so that it costs less, and again, potential savings of thousands each year.
You must understand that just like any goal, getting your finances stable and becoming financially successful requires the development of the good financial habits the Successful have been able to weave into the tapestry of their state of being, and of course the creation of habits takes time to make the decision, establish and understand achievable goals, and define your course of action to start down the path you visualize for yourself.