How to control your spending

One major reason why we're unable to achieve financial freedom is because we spend money like crazy. This article will help you learn to control your spending.

Instructions

Difficulty: Easy

1. Before we discuss how to get a handle on our spending, it's important to understand something called discretionary spending.
   
   It's all the money you spend on things that aren't absolutely necessary and are under your control. In other words, you don't really need it, but decided to buy it anyway.
   
   With discretionary spending, you decide when you'll spend the money, what you'll spend it on, when you'll spend it, and how much of it you'll spend.
   
   Now this is what you need to begin controlling in order to achieve financial freedom!
2. The first thing you need to do is take a look at exactly what you spend your money on. That means writing down everything you spend money on each and every month. And not just the major things like food, rent, and utilities!
   
   I also want you to write down what you spend on things like clothing, entertainment and partying, coffee and danishes, and all the "little things." Here's what tends to really get out of control! And when most people really look at what they're spending here, it's a shocker!
3. **Avoid impulse buying**
   
   Impulse buying is when you spend money on something you didn't originally plan to buy. You only did it because it's inexpensive or you thought you needed it right now.
   
   Impulse items are often located right by the checkout counters. And include items like candies and magazines. And people tend to buy them because they're relatively cheap.
   
   Why do we buy them? Because we don't think about the cost. These items are relatively inexpensive, ranging from a few cents to a couple of bucks. But that $0.59 here and $1.99 there can really add up over time!
   
   So watch for this and avoid it! You'll be amazed at how much you can save by controlling these little things over time.
4. **Impulse buying isn't only the cheap stuff**
   
   But not all of us waste money on cheaper items. Some have the urge to buy more expensive things. Especially when it comes to electronics and computers!
   
   There are people who just have to have the latest in technology. And so they'll spend money on it, even though they really don't need it. Or they'll see something that looks "cool" that they just have to have.
   
   Avoid these urges! And use your savings to build your bank account and invest in your financial future.
5. **Eating or dining out**
   
   There are people who never or very rarely eat at home. Now there's nothing wrong with going out for a meal. But when you really look at how much you're spending, it adds up.
   
   TIP: It's cheaper to cook at home!
   
   You'll actually spend more money to buy food that's prepared in restaurants and fast-food joints. And while it's convenient to have somebody else cook your food, you can very easily over-spend here!
   
   So I suggest making some of your meals at home. Now this doesn't mean you'll have to spend hours cooking huge or elaborate meals. But rather something simple like a sandwich, hamburger, hot dog, or pasta.
   
   If you want to go out once in a while, that's all right. But if you mix this with more of your meals made at home, that will save you money in the long-run!
6. **Snacking**
   
   There are people who snack many times throughout the day. And there's nothing wrong with a snack here and there. But you want to control how many snacks you have and where you get them!
   
   TIP #1: Snacks from vending machines are more expensive!
   
   You can save money if you buy them in grocery stores or in bulk. And then bring them with you to munch on later.
   
   TIP #2: What you snack on is important
   
   Some snacks are more expensive than others. And some are more healthy. But whatever you decide to snack on, I suggest making it something that's relatively inexpensive.
   
   It's not a meal! It's something to tide you over until you have your meal later. So it doesn't have to be something huge and filled with lots of calories.
7. **Lower your partying and drinking**
   
   When you really add up how much you spend on a night out partying, it can shock you! It's not uncommon for people to spend $50 on up in just one night!
   
   TIP #1: Eat before you go out!
   
   Bar and restaurant food is more expensive than food in your home. So it's cheaper to make something at home and then go out. And it doesn't have to be a huge or elaborate dish. It could be something simple to fill your stomach and help absorb any alcohol you consume.
   
   Another area where you can waste money is on coffee, tea, and danishes. Places like Starbucks offer a wide variety of drinks and foods you can consume. And I'm not saying don't do this. But it's important to control how much you spend and how often you spend it!
   
   TIP #2: Don't get too large a drink!
   
   You don't need to spend money on a vente or extra large sized drink. Once in a while may be all right. But if you do this on a regular basis, you're simply wasting money! Instead, I suggest buying a smaller sized drink from time to time or on a regular basis.
   
   TIP #3: Places like 7-11 are cheaper!
   
   You can get coffee at 7-11 for less than Starbucks. Yes, it may not be as fancy, but it may be just as satisfying. If you buy coffee on a daily or regular basis, then maybe try alternating between Starbucks and 7-11. This can save you money!
   
   Or try skipping a day or two here and there. You'll be surprised how easily little things add up over time!

Tips & Warnings

• Write down exactly what you spend money on each month
• Avoid impulse buying
• Little things add up over time
• Financial freedom takes discipline, dedication, and patience