Money Management: Why You Need to Live below Your Means
Thursday, January 31, 2019, 6:00 AM | Leave Comment
There are lots of schools of thought when it comes to the right way to handle your finances.
One of the easiest ways to get your finances in order is to not spend all of your income each month.
Here are some of the benefits that you’ll encounter when you decide to live below your means.
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Ability for Savings
Saving for the future could be for a variety of reasons, such as retirement goals or even saving up for a large expense. By living below your means, this gives you a better chance of realizing your financial goals. You won’t have to worry so much about how much money you can put away each month.
One solution for setting aside some money is to have it setup automatically. This will limit how much thought you need to put into the process and build up your savings quickly.
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Free Banking Options
There are lots of great options that are likely available at your bank that you can take advantage of to help you live below your means. This could include opening up a free checking account so that you can have more money to put towards other things in your life.
There’s no reason that you should pay the bank for the right to use your hard earned money. Having free checking just makes more financial sense.
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Just in Case
You never know when you might lose your job. If you’ve been living below your means the entire time, you’ll have a buffer to fall back on. Another option is that you may be able to live off of one income, such as your spouse’s, for a time until things change in your life.
There will be less worries about how you’re going to pay your bills this month or whether you can afford to eat.
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Less Financial Worries
You have more freedom when it comes to living below your means in terms of your financial picture. Being able to afford that unexpected expense or taking an impromptu vacation would be within your means.
You don’t have to skip out on the luxuries of life, you just need to be smarter about where you decide to spend your money. Household expenses should always come first and then savings so that you can achieve financial stability.
You can live below you means and not sacrifice on some of your luxuries. Consider these reasons that living below your means is the right decision.
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Rachelle Wilber is a freelance writer living in the San Diego, California area. She graduated from San Diego State University with her Bachelor’s Degree in Journalism and Media Studies. She tries to find an interest in all topics and themes, which prompts her writing. When she isn’t on her porch writing in the sun, you can find her shopping, at the beach, or at the gym. Follow her on twitter and Facebook.
