Saving Advice - Minimalism is defined in different ways and contexts. No matter which one you follow, it comes down to simplifying your life and learning to live with less. The purpose of a minimalist lifestyle is to help you get rid of the things you don’t need so you can focus on the things that bring your true enjoyment and happiness.
When we look at it in relation to your finances, the same method can help you simplify your life and prioritize your goals. By having fewer things, you clarify your core values and identify which goals are most important. Not only does this eliminate all the unnecessary things from your budget, but it also forces you to become more intentional with your finances. But before you fully immerse yourself in the minimalist lifestyle, you first need to determine your reasons for wanting the change. Then, you can make a plan that will work best for you.
5 Tips to Destress and Live with Less
Learning to live with less can drastically change your life and offer a new perspective on your priorities. In addition to helping you detach from material possessions, it can also reduce your stress and simplify your finances. So if you want to become more minimalistic, here are a few tips to help you streamline your budget.
1. Start with a plan. Once you know your motivations, you can start taking action toward creating the life you want. After you determine this, it’s time to outline the steps you need to get there.
When I began this journey with both my home and my finances, I started by going through everything and deciding what to keep and eliminate. Although it seemed like a daunting task, it became easier as we went through it. Since I knew what the overarching goal was, it made it easier to align our financial goals with aspects of the new lifestyle we wanted. However, it will require constant effort and self-discipline. If you want it to be successful, then you must be determined and put the work in to maintain it.
2. Reduce unnecessary spending. The next step is to start finding ways to reduce the unnecessary things in your life, including expenses. If the ultimate goal is to have less, not more, then you need to scale back your spending. This means you will have to stop accumulating things or buying items you don’t need. It was hard to switch mental gears, but after we did, our priorities became clear.
The first noticeable changes in our finances occurred when we stopped viewing shopping as a pastime. Instead, it is now a necessary task when we have a real need. Not only has this saved us a ton of money, but it also helped curb impulse shopping. When you have to stop and think about why you are purchasing something, you often realize it isn’t necessary and doesn’t assist you with your long-term goals.
However, one of the most significant ways it has saved us money is through entertainment. We have become much more active and look for hobbies or outdoor events that don’t cost money. In addition to finding new ways to spend time together, it has also made more room in the budget for the things that really matter.
3. Find a new appreciation for the things you already have. Another tip that has made it easier to live with less is finding a new appreciation for the things you already have. If you have pieces that you love or hold sentimental value, then put them on display so you can enjoy them every day.
However, if you frequently like to change your space, move things around to create a new look or feel in your home. It doesn’t cost you anything and allows you to enjoy your possessions in a new way.
And when things have outlived their use, you can always try upcycling them. You can easily repurpose old furniture, clothing, and decor into something new and functional that you will use for years to come.
4. Reassess your transportation. If you own a vehicle, then you already know that car expenses consume a large portion of your budget. Unfortunately, they are a necessity for many Americans. But, they have also become luxury items that serve more as status symbols than functional assets.
So, evaluate your situation through the new lens of minimalism.
-
- Do you own more cars than you need?
- Did you choose your car for emotional reasons instead of practical ones?
- Could you have spent less?
- Can you live without one?
Those who answered yes to any of these questions should reassess their transportation situation if they want to streamline their finances. This may include downgrading to something that suits your lifestyle but offers lower monthly payments, has better fuel efficiency, or doesn’t come with expensive replacement parts and repair costs.
When you adopt a more extreme version of minimalism, you may even consider getting rid of your car altogether. If you live in an urban area, you could walk, bike, or use public transportation. These options would save you thousands each year in monthly payments, maintenance, repairs, insurance, and gas. Although it may be inconvenient at first, it’s one less mental burden and financial obligation.
5. Don’t compare your life to others. The last and most important thing to remember is not to compare your life to others. Minimalism is a choice that will often put you at odds with societal goals. So, it’s easy to slip into old habits if you are competing with everyone else.
There will always be people who make more money and want nice things. But, part of the minimalist lifestyle is finding happiness by owning fewer things, not more. You have to change your mindset and how you measure success.
And, remember that things aren’t always what they seem. Others’ obsession with keeping up appearances could be setting them back financially. Meanwhile, a minimalist approach can help you save more for the future. Learning to let go of what doesn’t matter will help you focus more time, money, and attention on what does.