Just because you receive a raise does not necessarily give you cause to immediately celebrate. Many people are still struggling with debts that make an above-average salary. There are a lot of millionaires out there that are hocked to the gills over and above their net worth. It is not so much what you make. It is how you spend it. By practicing frugality most of us could climb out of debt or save for the future. How much could you save for retirement or a down payment for a house if you did not have any credit card debt?
If you want to learn the art of frugality, then you need to understand it cannot be honed without a plan toward saving for a particular goal. Making more money does not end financial stress if you are not interested in saving and cutting unnecessary expenses from your monthly budget.
Therefore, learning to save and cut expenses are essential tools you need if you wish to gain control in your financial life. Unfortunately, society often depicts frugality as something akin to miserliness. Certainly there are those individuals out there who could relax a bit when it comes pinching every penny. Still, frugality should be considered more synonymous with financial practicality. Frugality can be an asset if you make it your aim to save for a specific reason such as buying a house, planning for retirement, or paying for a child’s education.
You will not be sacrificing a great deal of your current happiness by being frugal if you determine how to prioritize with respect to your budget. By doing so you can better determine where to save money and where your money is better spent. For instance, do you really need that extra latte that easily costs $3.00 per day? That may not seem like much. However, if you are in the habit of frittering away that amount each day, it would quickly add up to over $60.00 for the entire month or more than $700 per year! Think about what you could do with that money if you would just brew your own coffee at home and skip the gourmet coffee shop. This is just one example. How much do you spend on energy drinks, cigarettes, etc.?
Just by sacrificing one or more needless item from your monthly budget, you can pay down your debt and open the door to your other savings goals. It pays to understand the art of frugality. Give yourself a raise by learning to be frugal. It will never matter how much you make if you cannot put a rein on spending.
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