Who isn’t interested in some helpful habits towards saving money? Instant gratification has become awfully prevalent in today’s society. It has become “the norm” to get what we want, when we want it. We have access to everything at our fingertips and can acquire it with the click of a button.
Contrary to popular opinion, I think it is important to experience delayed gratification, too. Delayed gratification is when you wait to get what you want. It is resisting the temptation for an immediate satisfaction and waiting for one that is going to be more valuable in the long term. This idea can be used in various contexts, but for this post we are talking money.
My husband and I have our sights set on financial independence. Delayed gratification is necessary to exercise when it comes to being smart with money. We have tried a few different methods for budgeting but in the end it all comes down to forming good habits that you can stick to, consistently.
1. Have A Weekly Budget Meeting With Your Family Unit
First of all, you need to create a budget. What are your fixed monthly expenses? What variable expenses might you have? What is your income? The first rule of thumb in saving money is that you must make more than you spend. If this is not the case, go back to your budget and re-work some things.
Now that you have your budget, it’s important to go back on a regular basis and check in on how well you’re sticking to it. It is a good idea to have this meeting with other family members who play a part in the expenses and incomes of the budget – that way the household is all on the same page.
Put your budget meeting on the calendar so it doesn’t get pushed out.
2. Use The Cash Envelope System
This has definitely been a favorite of mine, especially when grocery shopping. When money is in its physical form of cash, there is an obvious cap to what you are able to spend. So it’s like forcing yourself not to go over budget. If you have $100 left in your envelope, you’ve got to pay more attention to your cart this time and add items up as you go. This system decreases your impulse purchases (which can be healthy for your body too – less snacky treats).
You can use the envelope system in other areas of your budget too. My husband and I will take a date night every week and we like to keep a dollar limit on it. Interestingly, we’ve found that if we don’t use cash, we’ll most likely go over our dollar limit.
3. Make A Shopping List And Stick To It
Am I the only one who has gone into Target for 3 things and then come home with 10 things? It is very possible to avoid this bad habit. And that is replacing it with a better habit. Enter: make a shopping list. It doesn’t matter where you’re going either; Home Depot… make a list. Grocery store… make a list. TJ Maxx… make a list. Make a list of what it is that prompts you to go shopping in the first place, and only shop for that.
Before you get out of your car, promise yourself to stick to your shopping list and not veer from it. You will end up spending less money.
4. If You Want Something Now, Wait A Week To See If You Still Want It
Delayed gratification, am I right?! This is the ultimate test, honestly! If you find yourself wanting something you saw online or in a store, instead of buying it right away, just wait a week. If it’s still on your mind, then it probably means something to you and would be worth getting. If it’s forgotten about, then chances are you don’t need it.
These habits become easier when you find the motivation behind your desire to save money. Why do you want to save money? Are you wanting to go on a vacation or buy a car? Or, are you striving for financial independence or to build up your child’s college fund? Whatever the reason is, it gives purpose to why you do what you do.