How to Live Within Your Means Without Feeling Deprived
How to Live Within Your Means Without Feeling Deprived
Todd Kunsman
As you began reaching adulthood or working on your personal finances, you’ve probably heard (or read) that you need to “live within your means.” It’s a standard process that will help ensure everyone is more financially responsible and will have long-term healthy finances.
However, even though the idea behind this concept is so simple, many times people fall into the trap of spending more than they currently make or have. And yes, even those who have bigger salaries or overall income can fall into the lifestyle inflation trap too.
Below, you’ll learn more about living within your means, why it can be difficult, and tips to stay within your budget without feeling deprived.
What is Living Within Your Means?
To “live within your means” simply means you are ensuring that the amount of money you spend is less than what you bring in every month. This helps prevent you from going into debt, living paycheck to paycheck, and encourages you to save money for your emergency fund.
Typically, the best way to ensure you are living within your means is to budget or at the very list, be incredibly financially aware of your income and expenses. Budgeting is not the most fun part of life, but it can have major positive impacts on the way you spend and save money.
Luckily, you can also use various personal finance software that can make the process less tedious and helps you stay on the right track. A few financial tools you might consider to help include:
Personal Capital (net worth, spending, investment tracker)
Savology (easy financial planning software)
You Need A Budget (powerful budgeting software)
Why Can It Be Difficult to Live Within Your Means?
For some people, living within their means is pretty easy and many have no trouble transitioning. However, it can also be challenging for others to break bad financial habits and get spending under control.
Why can it be so difficult to live within your means?
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