Consider Being a “Do Withouter”
There are expensive temptations everywhere. Shiny cars with that irresistible new smell…clothing stores hawking the latest trend…a smart TV that seems to do everything (except, perhaps, your laundry). And with your first job out of college finally putting some money in the bank, these are also quite possibly within your reach.
So, you’re excited! That’s understandable. But before you tap into your inner car enthusiast/fashion icon/gadget guru, remember the basic fundamentals of life, and money management – the long haul is about what’s sturdy, reliable and economical.
Keep this in mind:
- New car smell is temporary…but the payments continue for up to 5 years.
- Whether the shirt cost $300 or $30, as long as it is clean, business appropriate and worn with confidence, it will have the same effect.
- When you’re already smart, why does your TV need a higher IQ?
You might think it’s boring to live below your means and maybe there’s some validity to that. But what’s fun about digging a debt hole so deep you won’t see your way out for years? Take our advice: consider these tangible tools to avoid the intangible – and detrimental – black hole:
- The library is free. If reading isn’t your thing, most libraries also have books on tape and DVDs to borrow. Perhaps you like people watching. Parks are usually free too. Or volunteering at a pet shelter. Or spending time with your family. They key is finding enjoyment in activities that don’t cost money.
- Learn how to cook. Everyone has to eat so that’s an unavoidable expense. But if you figure the mark up on restaurant food is at least 50%, sticking to a grocery budget of $300 and eating at home can save you at least $150 a month.
- Embrace Goodwill. Especially for furniture. There’s no shame in this. You can find some cool retro things at great prices. Saving money is saving money. Every little bit counts.
- Shiny and new is deceiving…and expensive. Most things we buy depreciate the minute we buy them. Sure a tablet is cool but does anyone really need a new one that’s slightly thinner when they just bought one six months earlier? Getting sucked into this “grass is greener” way of thinking is a quick way to debt.
- A car is not a status symbol. That’s a risky way to look at 4 wheels, a roof and an engine. Shop for a car at auction and pay cash. An older set of wheels will still get you around.
You spent years in college working towards this moment. You’re making your own money and, yes, you’ve earned the right to spend it. We’re not saying you shouldn’t enjoy it. We’re just suggesting you enjoy some – and save even more.