How Minimalism Helps Your Finances
Tight budgets happen for a myriad of reasons. You never know what’s going on with someone that causes them to manage their finances a certain way. Whatever your situation may be, frugality isn’t always easy. Does that sound familiar to you?
We’d like to introduce you to minimalistic spending habits.
No, it doesn’t mean decorating your walls blandly. It doesn’t mean changing up your diet. And it certainly doesn’t mean sacrificing everything in your life. Minimalism extends into many facets of life, so if you’d like to simplify your spending habits, minimalism may be able to help you out. Incorporating minimalism into your finances gives you a new perspective on spending, saving, and even selling. We’re all over it, so we’d like to queue you in on why we love applying minimalism to financial habits.
Less spending
Call us Captain Obvious here, but if you’re a financial minimalist, you’re spending less overall. It’s the art of living a simpler life -- capitalizing on the things you need and minimizing the unnecessary “wants.” Minimalism slows down those spending habits and reminds you of what you are aside from your material possessions.
When you pull out a credit card every time you get an inkling that you’d like to buy something, you convince yourself that your needs are greater than they really are. According to a Gallup World Poll, the average person only needs between $60,000 and $75,000 to tap into their emotional well-being. There’s some wiggle room in there, but the basic gist is that you need less than you think you need. That pertains to spending, saving, and earning. Keep that in mind when you work toward decreasing the amount you spend, because it will give you that motivation you need to push through and resist the card swipes!
Selling things
Hello, garage sale! There are tons of ways to repurpose your old items and sell them to make a little extra cash out of your newly adopted minimalist habits. There’s no need to throw them away. As you begin to go through your things, make a running list of which items you’d like to sell—perhaps targeting the items that carry the most value or that you’d like to share with the community.
You can opt for an “old school” approach, like a garage sale or estate sale, or you can use an app to find people who are buying specific items. Pro tip: Furniture is always a great way to make cash quickly.
More time to focus on what’s really important
When you’re more money conscious, you separate the “extras” in life and hone in on what is important to you. You may realize that instead of buying designer handbags, you’d like to save up for a fun vacation. Maybe you decide you’d like to set aside more money toward retirement. The options are endless, and it truly is what you make of it. Focusing on the important aspects of life starts with you.
The mindset
Regardless of the approach you choose, it comes down to the mindset. In a way, you’re training your brain to think a certain way. You make the decision to simplify your life, so you are in control of how you go forth with an approach. Whether you decide to sell your things or stop buying new things, the bottom line is simple: You are working toward a goal of finding meaning in your life. You’re deciding to rid your physical, mental, and emotional spaces of anything excessive, which benefits you in the long run. Is it a long journey? Maybe. Is it difficult? Sometimes. But it’s entirely up to you how you approach it, and you’ll be happy you did when you can sit back and relax with a more clear headspace.
What’s next?
Before we get too ahead of ourselves, the first step toward better financial habits is to congratulate yourself. Yep, that’s right. Congratulations to you! It’s a big step when you decide to make such a huge life change, and sometimes, taking that step is half the battle.
So give yourself a pat on the back, and get ready to start working toward something great. You’ll thank yourself later—and so will your wallet!