Talking to @bozz a few minutes ago, he mentioned having "spending freezes" at times, just to get back on budget. He also mentioned that it feels more like a reflection of his ability to manage that budget, rather than something that just happens to be needed occasionally. But, the conversation got me thinking about the freeze part, and perhaps how we should inbuild this into our yearly habits.
For instance, some cultures will have fasting periods where they do not eat during the day, over some period of time. This supposedly helps the body heal, and there is plenty of evidence for intermittent fasting being something many of us would benefit from, in a world of suck much excess. There is also a similar practice in Finland, though it is less formal than the religious ones. It is called "Tipaton Tammikuu" (Dropless January), where many people choose to go alcohol-free for the start of the year, largely because of the excesses of Christmas, and the pressure of newly-minted resolutions.
However, if "going without" for some period of time helps us detox, realign and give a leg-up to starting better practices, shouldn't we do the same thing with our finances? From a habit perspective, I think it would have more impact than trying to get started trying to avoid spending in other areas, as it would mean that there could be a boosted start, which if done for long enough, will provide the evidence required to keep doing it a bit longer.
If the spending freeze was a month of no extras, it will probably take time to return to overspending after, meaning the no spending period will be drawn out more than a month. It also provides evidence of what is actually necessary. Avoiding one takeout meal here and there doesn't provide that evidence consistently, but missing a month's worth likely increases the chances to reduce the frequency for the rest of the year. This means that the "fasting period" will have impacts for longer than the period itself.
A lot of our excess spending is probably habitual, and triggered by some set of circumstances. For example, getting takeaway might be something that is done when tired, when no one can be bothered cooking. If something was pre-prepped in the freezer though, that might be enough to overcome the hurdle. If this is supported by the added pressure of "a month without" it means that the planning will have to be done prior to the trigger event. Planning ahead is great for supporting the changes we want to make, because it invests us into following through.
There is also another side of this that I think is worth exploring, and that is the method of "testing" something to see if we want to improve at it. When starting a new hobby, it is better to do the research and then spend a solid month putting in an hour or two a day to see firstly if we like it, and then if we improve enough and want to continue improving. In a month of solid effort, it is possible to learn a new skill to a relatively good level. This means that even if not continuing, the time investment isn't wasted.
And just to finish up, @bozz mentioned that these freezes felt that it was more about his ability to manage the budget. I think this is something to really note, because if it is the case, spending time one once a year to realign means also being able to adjust the ongoing budget plans on the fly. This doesn't necessarily mean cutting back, as it could result in reallocation to where there is more enjoyable spending. I for example don't really enjoy takeout when it is due to tiredness or laziness, but I do enjoy it when it is coupled with quality time with family or friends. Prepping for the tired times, so I can get additional value in the quality times, makes sense to me.
I don't know if having a month of fasting for spending would lead to actually saving more, but I do think it could lead to an improvement in what we are spending on. Less of it would bleed into the useless, and more into what we actually value, whether it be to save, generate more, or enjoy ourselves in other parts of our life. Maybe some are already doing this, but I haven't heard of anyone willingly taking a month of spending cuts to evaluate and align their finances each year.
How many would?
Taraz
[ Gen1: Hive ]
Posted Using InLeo Alpha