Spending Less Than You Make

Ever wonder why the people who have the strongest financial position seem to live modestly and certainly spend less than their income? There's multiple great reasons to spend less than you make. Here are four straightforward advantages to living the modest lifestyle: 

Pay off debt faster

Debt ain't cheap. Anyone who's ever had to pay an unexpected bill, or charge a credit card balance knows this to be true. On the occasion this happens, it can sometimes feel like it takes all year to pay it off. If you're living paycheck to paycheck, this can definitely be the case. If you're spending less, this will give you a chance to pay down that debt a little faster than you'd normally be able to. That is always a good thing. 

Save for awesome experiences

We all enjoy buying "stuff," but oftentimes that stuff isn't even around weeks later. Sometimes, we'll remember that stuff we spent our money on years ago, and it seems ridiculous that we thought so highly of it. The things we remember most are people and places, and the experiences that come with it. Next time you're tempted to splurge on an object, put that cash into savings and figure out the best way you can spend it on a memory that can last a lifetime. Perhaps even considering investing that money into your self, like on continuing your education. 

So that children won't treasure material possessions

If you never start your child on a path of needing to have the same things as the kid down the street, not only will they not feel like their self-worth is based on objects, but they might grow up appreciating the little things in life. They also may be a little more frugal when they're spending their own money one day. Kids learn from the actions of their parents.

Simplify Life

Things are nice, but life can be great even when it's simple. Teach your children the value of saving money for the future. Show them there's more to living than a daily trip to Starbucks or the mall. Eat a home more, and avoid using the credit card. Old-fashioned living can be quite satisfying, and requires much less stress. 

Contact CB&T to Help

Feeling stuck in a spending pattern you can't seem to climb out of? Our CB&T bankers are always available to assist you with the creation of your own monthly budget that allows you to achieve these four financial goals. Call 753-1521 to speak to a banker today.