Are you proud of how you have been spending for the last 11 months of 2022, Do you feel like you would have done better?
Have you struggled to save, or just want to turn a blind eye to the consumerism of the holidays and get your financial house in order? If your answer is yes, you should try the spend less December challenge.
THE CHALLENGE
1. Stop spending altogether - This is the most challenging tier and involves going frugal. It could mean cutting out expenses in every possible part of your budget, foregoing all holiday expenses, and saving the maximum money possible.
2. Spending only on the essentials - In this tier, you don't make significant changes to your lifestyle. You cut expenses such as entertainment, eating out, or postponing that weekend getaway you had planned.
3. Stop spending on specific categories - In this tier, you simply stop spending on specific categories that can increase your expenses. You can refrain from spending money on clothes, not paying for monthly subscriptions like streaming or gym, or using public transport only.
BENEFITS
Increasing your monthly savings is just one of the benefits of spend less challenge. Depending on your goals, a no spend December can help you:
1. Break poor spending habits like impulse purchases
2. Put extra money in your pockets so that you can reduce your debt
3. Learn how to leave within your means
4. Learn to differentiate what is worth spending money on and what isn’t
5. Catch up with your financial goals for the year
6. Learn how to track your expenses and stick to a budget
7. Break your consumer mindset that leads to overspending and debt.
FINAL THOUGHTS
The no-spend challenge won't be easy. You need to prepare not just for pitfalls and triggers but setbacks as well. There might be days when you spend more than planned and feel like giving up on the challenge. But don’t. Get up, dust it off, learn from your mistakes, and plan to do better tomorrow.
At the end of the challenge, acknowledge all you have learned and use the lessons to be better at spending money moving forward. If there were things on your budget you are convinced you can live without, don’t include them in your 2023 budget.
Take notice of where you have learned to cut expenses and save more, and accomplish other goals like repaying all your debt. Finally, make spend less challenges part of your life. You can have spend less days, weekends, weeks, months, and even years.