People tend to nickel and dime themselves to death each month. Then, at the end of the month, they wonder why they never have money left. What we are going to highlight here is a phenomenon that we’re going to call “Nickel and Diming Yourself to Savings.” Our challenge to you is to eliminate some of your daily spending habits for a year, and try to save $5.00 a day! Yes, it will be hard, but you need to make a change! If you can even scrape $5.00 a day you’ll have about $1,000.00 at the end of the year! A lot of people get a $5.00 cup of coffee each morning, and if you can manage to cut that habit out then you’ll see what we mean.
If you want to see the results of your new found plan we suggest you take a $5.00 bill each day and put it into a canister. Yes, we know that it won’t accrue interest in there, but right now we’re more concerned with stopping the hemorrhage more than building the muscle. You can’t build muscles on a junk food diet, and you can’t build wealth while on a never-ending spending binge.
You can’t build muscles on a junk food diet,
and you can’t build
wealth while on a n-e-v-e-r-e-n-d-i-n-g
This can drastically change your life. What could you do with an additional $1,000.00 a year? Hopefully you would invest towards your future, but that’s for a different post. If you could make this a habit, then in ten years you could have money that resembles this below chart:
At the end of 10 years earning 3% interest you could have $13,974.14! Now, if you just toss the money into a coffee can you would have only $12,000.00. We’re sure you would be devastated. There are people in this world that will work until the day they die, and there are people that won’t. Which group do you want to belong to? That sounds like a silly question, but everyday you keep up your spending binge is just one more vote for working until the day you die.
You can save, you can retire, and you can live a life of peace rather than a life of constant stress, but YOU and ONLY YOU can make that happen. It doesn’t matter how much the government gives you, and how many rebates you receive, if you don’t kick the habits then you will always find a way to squander the money and spend it. Accountability is not a popular idea these days, but the only answers to your problems are God, and you. Follow God’s financial advice, and you will succeed. Be frugal, kick the habits and addictions, and save. It really is that easy, although others dispute this.
People will always tell you what you want to hear. They will tell you that everything is out of your control and that you have a bad luck cloud hanging over your head and in the short term this is comforting to hear, but when people do this, they are disarming you of your accountability. Accountability is one of the strongest tools you have in controlling your finances, and don’t throw it away so you can feel better for a moment. The problems will still remain.