Content

• Steps
• Part 1 of 3: Assess the nature of the costs
• Part 2 of 3: Adjusting the Spending Pattern
• Part 3 of 3: Get Help

Do you spend your salary or pocket money as soon as you get it? Once you start spending, it's hard to stop. But overspending leads to huge debt and zero savings. It is very difficult to stop yourself from spending money, but with the right approach, it is quite possible not to overspend, but even save.

Steps

Part 1 of 3: Assess the nature of the costs

1. 1 Think about all the hobbies, activities, things that you spend money on every month. Maybe you have a soft spot for shoes, or you like to eat in restaurants, or you subscribe to beauty magazines endlessly. If you can afford it, then it is considered normal to enjoy material objects and sensations. List everything you enjoy spending money on every day. Consider them each month as expenses of your own choosing.
   • Ask yourself: Do I spend a lot of money on these expenses? Unlike monthly fixed costs (necessary, such as rent, utility bills, and other payments), which are stable, arbitrary costs are less necessary and easier to cut.
2. 2 Review your spending for the last quarter (three month period). Look at your credit card and bank statements, as well as cash expenses to figure out where the money is going. Write down every little thing, even a cup of coffee, a postage stamp, or when you have a snack on the go.
   • You will be surprised at how much you end up spending in just a week or one month.
   • If possible, look at the data collected over the course of the year. Before making a recommendation, most financial planners consider the costs for the entire year.
   • Ultimately, arbitrary expenses can take up a large percentage of your salary or benefits. Writing them down will show you where you can cut costs.
   • Write down how much you spend on wants versus what you need (for example, drinks at the bar and groceries for the week).
   • Determine what percentage of your spending is fixed versus arbitrary spending. Basic costs are the same monthly, while custom costs can be flexible.
3. 3 Save your receipts. This is a good way to keep track of how much you spend on certain things each day. Instead of throwing away receipts, collect them so you can keep a record of exactly how much you spent on certain things or food. That way, if you end up overspending in a month, you can clarify where you spent your funds.
   • Try to use less cash, instead use your credit or debit card to track your charges. Whenever possible, credit card bills should be paid in full each month.
4. 4 Use the Budget Planner to estimate your expenses. Budget Planner is a program that calculates your expenses and how much income you have earned this year. Based on costs, it will tell you how much you can afford to spend this year.
   • Ask yourself the question, "Am I spending more than I earn?" If you use your savings to pay for your monthly rent and take your credit card for shopping, then you are spending more than you earn. This only leads to more debt and less savings. Therefore, be smart about your monthly spending and make sure you only spend what you earn. This means "keeping track of money for spending and savings."
   • Alternatively, you can use budget apps to keep track of your expenses on a daily basis. Download such an application to your phone and enter your purchases as soon as they are made.

Part 2 of 3: Adjusting the Spending Pattern

1. 1 Make a budget and try to stick to it. Determine what your main expenses are in each month to make sure you are not wasting funds that you do not have. These most likely include:
   • Housing rent and utility costs. Depending on your housing situation, you can share these expenses with your roommate or partner. Your landlord can pay for heating, or you can pay your monthly electricity bill.
   • Movement. Do you walk to work? Riding a bike? Taking a bus? Give each other a ride with your buddies?
   • Food. Consider the average amount per week for food during the month.
   • Medical services. In the event of an accident or accident, it is important to have health insurance, as paying out of pocket is likely to be more expensive than covering the costs with insurance. Search the internet for the best insurance rates.
   • Other expenses. If you have a pet, then you can include a certain amount for the food of the animal per month. If you and your partner are in the habit of having a romantic date every month, consider this as an expense. Count every waste that comes to your mind so you don't spend money without knowing what it is going on.
   • If you continue to pay off any debts, add them to the compulsory budget line item.
2. 2 Go shopping on purpose. The goal could be: new socks to replace a pair of holes. Or, replacing a broken phone. Having a goal when you go to the store, especially for non-essential goods, will stop you from spontaneous purchases. By focusing on the essentials while shopping, you will also establish a clear budget for your shopping trip.
   • When shopping for food, look at recipes in advance and make a grocery list. That way, when you are in the store, you can stick to the list and know exactly how you are going to use each ingredient you buy.
   • If you find it difficult to stick to a grocery list, try buying groceries from an online store. This will allow you to see the subtotal of your purchases and know exactly how much you are spending.
3. 3 Don't get carried away with sales. Ah, this irresistible temptation of discounts! Retailers rely on the shelves of the discounted product to completely absorb the buyers. It is important to resist the temptation to justify the purchase only by the fact that the product is being discounted. Even big discounts mean big expenses. Instead, your only two buying factors should be: Do I need this item? And does this purchase fit into my budget?
   • If the answer to all of these questions is no, then it may be better to leave the item in the store and save your money on the item you want instead of the item you want, even if it's on sale.
4. 4 Leave credit cards at home. Take only the cash you need based on your budget to make it through the week. Thus, if you have already spent all your cash, you will have to avoid unnecessary purchases.
   • If you end up taking your credit card with you, treat it like a debit card. Thus, every penny you spend on a credit card feels like money that needs to be returned every month. By treating your credit card like a debit card, you won't be so recklessly reaching for it with every purchase.
5. 5 Eat at home and bring your own lunch. Eating on the street is very expensive, especially if you spend 500-750 rubles a day 3-4 times a week. Reduce your dinners at the restaurant to once a week, and then gradually to one a month. You will definitely notice how much money is saved when you buy groceries and cook for yourself. In addition, you will appreciate a pleasant dinner at a restaurant in honor of an event much more.
   • Bring lunch with you to work every day, instead of spending money at the cafe. Take 10 minutes in the evening before bed or in the morning before work for making a sandwich and snack. You will find yourself saving a small amount each week by bringing your lunch with you.
6. 6 Refrain from spending 1 month. Check the nature of your expenses by purchasing only the essentials for 30 days. See how little you can spend in a month, focusing on buying what you need, not what you want.
   • This will help you determine what you consider necessary and what is nice to have. Beyond the obvious necessities like paying rent and meals, you might reason that a gym membership is a must because going to the gym keeps you fit and feeling good. Or a weekly massage to help your aching back. Since these needs fit into your budget and you can afford them, you can spend money on them.
7. 7 Do it yourself. DIY is a great way to learn new skills and save money. There are many craft blogs and books out there that will guide you on how to recreate expensive items on a tight budget. Instead of spending money on an expensive piece of art or decorative item, make it yourself. This will allow you to customize your item and stay within your budget.
   • On websites like Pinterest, ispydiy, and Beautiful Mess, you can find a lot of cool DIY ideas for DIY household items. You can also learn to recycle the materials you already have and make something new with them instead of spending money on new things.
   • Try to do chores yourself. Sweep your alley yourself instead of paying someone else to do it. Let all family members participate in household chores, such as mowing the lawn or cleaning the pool.
   • Prepare your own household chemicals and cosmetics. Most of these products are made with simple ingredients that you can buy at your local grocery or health food store. Laundry detergent, detergent, and even soap can all be done by hand and is cheaper than in stores.
8. 8 Set aside money for some purpose in life. Work towards a goal, such as traveling to South America or buying a home, by putting aside a certain amount of money in your savings account each month. Remind yourself that the money you save by not buying clothes or taking weekly walks will go towards a bigger goal.

Part 3 of 3: Get Help

1. 1 Consider the signs of an irresistible urge to buy. Passionate shoppers, or shopaholics, are often unable to control their spending habits and become emotional spenders. They “go shopping until they drop,” and then continue. But shopping and wastefulness tend to make a person feel worse, not better.
   • Shopaholism tends to affect women more often than men. Women with an irresistible urge to shop usually have closets full of clothes with tags still intact at home. They go to the mall with the intention of buying just one item and come home with bags of clothes.
   • The passion for shopping can be a seasonal consolation for depression, anxiety, and loneliness during the vacation season. It occurs when a person is feeling depressed, lonely, or angry.
2. 2 Recognize the signs of a passion for shopping. Do you go shopping weekly? Are you constantly spending more than you can afford?
   • Do you experience a certain emotional uplift when you go shopping and buy unnecessary things? You may be experiencing some kind of "high" when you buy a lot of things every week.
   • Note if you have large amounts of debt on a credit card or multiple credit cards.
   • You may be hiding your purchases from interested family members or partners. Or, in order to have extra income, you try to cover your expenses by taking on a part-time job.
   • People who have a shopping urge problem are more likely to shy away from financial obligations and refuse to admit they have one.
3. 3 Talk to your doctor. The passion for shopping is considered an addiction. Therefore, talking to a qualified therapist or attending a shopaholic support group are important ways to fix the problem and work towards fixing it.
   • During treatment, you can identify the underlying problems behind the urge to purchase and recognize the danger of overspending. Also, therapy can offer healthy alternative ways to deal with emotional problems.