The habit of saving is itself an education; it fosters every virtue, teaches self-denial, cultivates a sense of order, trains forethought, and so broadens the mind. — T. Munger
I used to be really bad with money. In a nutshell, I was living to check just 4–5 years ago when I decided to take action and control my financial life.
After reading many books and articles and watching YT videos, I immediately acted on the following 7 things.
I did not want to make a significant change at once but little incremental changes to see how can I control and improve my financial situation.
I decided to avoid these 7 money-draining items, and you won’t believe the impact they had on my life, especially my bank account!
Designer clothes shopping spree
I decided to take action and control the materialistic items. I was also living in a one-bedroom apartment, and my wardrobe started to explode.
Therefore, I decided to donate a lot of clothes and practice a minimalist lifestyle.
It was necessary to put a stop to my shopping spree, which would directly affect my wallet.
The best part?
My bank account was way happier with this decision, and I still received compliments on my “new” outfits.
Tip: I am in my early 30s and truly believe that even a $10 t-shirt will look good on you if you have a great body. But if your health is down, designer clothing is a waste of money, and it won’t boost your confidence.
No extended warranties
I am a huge Apple fan guy and love the eco-system, which works smoothly. I know my friends buy extended warranties and truly believe that they are sometimes necessary.
I never bought an extended warranty and won’t buy it in the future. I prefer to take extra care.
It’s a highly debatable topic. Personally, I broke my iPhone on a hike. Instead of buying a warranty when I updated my device, I purchased an Apple watch (cellphone version) and stopped taking mobile to hikes.
Most of the time, many manufacturers do have decent built-in warranties.
All you need is to take extra care.
Holding off on that new car purchase
I did not grow up with a lot of luxuries. However, I always wanted to buy a brand-new car when I moved to North America.
It was just at the back of my mind to buy a new car. Its smell and outlook were just too appealing to me.
I bought a brand-new car in 2017 on lease. Then after reading a couple of books on financial life. I just got rid of the vehicle.
I learned the hard way to find a reliable car is possible if I just wait and pay extra attention.
It’s also a highly debatable topic, but if you love to make your hands dirty in a garage. It’s okay to buy a reliable old car to save those extra dollars.
Swapping pricy gym memberships
I canceled the gym membership not because it was expensive. I canceled it because I was not using it at all.
Reminder: I don’t see gym membership as a waste of money as long as you use it. You should never think twice about investing in your health.
Fitness is super important to me. I am more of an outdoor guy. That was the reason I could not use gym membership.
For the past 6–10 months, I plan to build a home gym. Because I am not going to quit hiking or outdoors, but I still want some kind of strength training.
Any suggestion on how to build a home gym? Please feel free to comment. Thanks
No more bottled water
Sometimes I am just mesmerized by how genius this concept is that you fill a plastic bottle with the essential ingredient (mostly free — water) and sell it in the market.
I am glad to know that many countries are actually working toward banning plastic. For example, France plans to ban all single-use plastic waste by 2040.
I was wasting a lot of money on water bottles in a quest to drink more water. However, last year I did this experiment to drink 3.78 liters of water every day.
I bought this basic water bottle and drank it all day.
It’s just some psychological effect that you feel great by not wasting money and also saving the planet by reducing plastic consumption.
Lottery tickets and gambling
Personally, I don’t buy lottery tickets or gambling things. My friends do it every week.
I feel it’s a bad habit, and the chances are very low. It’s good for fun, maybe once in a while. But do not develop a habit.
Subscriptions and services
I reviewed my subscriptions and services, canceling those I hadn’t used for a long time. For example, I had a Disney+ service but was not using it at all. Not any of my family members ever logged into the Disney+ platform.
I simply canceled it, saving more than $120 per annum.
The bottom line
In a nutshell, I truly believe that making tiny but incremental habits can help to transform your financial life.
These 7 things mentioned are easy to cut off to save considerable money.
- Designer clothes
- No extended warranties
- Holding off on that new car
- Gym membership
- No bottled water
- Lottery tickets
- Subscriptions and services
First, you have to transition mentally; after some time, you will see positive growth in your bank account.
These tiny changes can help you save a lot in the long run.
Take tiny steps toward your financial freedom! One step at a time!
