Set Budget Boundaries and Save Money
I tried a million times to set a financial budget and stick to it, and I failed a million and one times. It wasn’t until I tried a different approach to money spending and set specific boundaries that I was able to finally live within a budget. Setting boundaries helped me live within a budget, save money and ultimately lead to debt free living.
Set a Pay-In-Full Boundary
By setting this financial boundary, you will not incur any (more) debt, free up money to pay down existing debt and every month get closer to living a debt free lifestyle. This a simple financial boundary that has become a way of life for every purchase I make – If I can’t afford to pay in full for an item, I do not buy it.
Always pay for purchases with cash, which will stop impulse buying and help you stay within the pay-in-full boundary. Cut up all credit cards except one and keep it for emergency use only.
Lay-A-Way Stretches Budget Boundaries
In the beginning of my trek towards a debt free lifestyle, the pay-in-full boundary left no wiggle room for some big ticket necessities, like a new washing machine or vacuum cleaner. That’s where lay-a-way plan stretched my budget boundaries without creating new debt.
Place must-have items on lay-a-way, and pay for items as the store dictates. Lay-a-way delays gratification and causes a re-assessment of just how badly the item(s) is needed.
The 48 Hour Wait
I never buy those new shoes, new jacket or new flat screen TV until I stop and think about it for 48 hours. I ask myself why I need to buy the item and how I will pay for it after it’s purchased. Odds are, after two days of consideration, those shoes that I thought were to die for really are not worth a month of Ramen noodles for lunch.
Family Support
I set a dollar limit in which any purchase over that amount must be discussed with the entire family and must be agreed upon by the entire family before the purchase can be made. I set the dollar boundary at $50, you may want to go higher or lower, for a non-essential item. The family spending accountability gets the whole family on board with budget boundaries.
Pay-in-full, use a store’s lay-a-way plan, think about a purchase for 48 hours and use family accountability as boundaries to help you stay within the perimeters of a financial budget.
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