The coronavirus has left many scrambling to rein in their expenses. Cutting back isn’t always easy, but in this climate, it can be helpful. Here’s how to reduce your spending without feeling like you’re being deprived.
Focus on the Positives
Instead of dwelling on the lack of fun spending, focus on the added benefits of cutting back. Sure, you’re not going on that beach vacation this year. You are, however, padding your emergency fund. Another benefit of reducing your spending? It makes your choice clear. Perhaps, before the pandemic, you wanted to cut back and save more, but just couldn’t do it. Now you are all in. The changes in the world have made your choice clear. There can be calm in clarity.
Enjoy The Change
Reducing your spending can have a mind-altering impact. It can be freeing to cut back. You’re no longer buying impulsively and then feeling ashamed of the purchase. Your spending will shift from wants to needs. As Marketwatch notes, reducing your spending essentially gives you your power back. It’s like pressing a reset button on your finances. From this point forward, you have a new focus.
Know the Limits
If reducing your spending is difficult, consider the old adage: This too shall pass. It’s hard to keep the big picture in mind, especially now. However, remember that nothing lasts forever. The pandemic will end. Life will (mostly) go back to how it was before. Keep in mind that cutting your expenses doesn’t have to last either. Reduce your spending for now, then reevaluate your plan in a few months. Nothing has been set in stone.