I have some friends who do not believe that you can make a budget by carefully planning your expenses and not wasting money. They believe that the only way to improve your situation is to find a higher-paying job. Another group of my friends is the opposite: they know how to budget wisely and know that revising your expenses is the most important part of improving your financial situation. The way they are able to save amazes me!
Of course, not enough money is not enough money, and to what extent you can improve your situation is a relative thing. There are plenty of people around me who just don’t have enough. The question remains whether you are making the most with the money you have.
When I had already purchased my new place and hadn’t sold my old place yet, and also had to invest a lot into fixing my new home, I did exactly what this article suggests: I had a low-spending couple of months. Without drastically reducing my quality of life, I was able to cut my expenses by 40%. So I believe there is a lot of truth in what they are saying here.
Continue reading “TIME: A Low-Spending-Month” →