by The Planner

Created on: August 18, 2009   Last Updated: September 13, 2009

In my personal experience, spending less money makes me happy especially if my bank account grows every month. So how did I manage to do it? Have you heard of the phrase "live below your means" ? I am following that basic principle. It's having a lifestyle not within my budget nor over my budget but below it.

Saving For The Rainy Days. Have you heard the story about the Ant and the Grasshopper? That while the Ant was busy saving food for winter time, the grasshopper just played? Well saving for that day must be done especially when you are still young. I mean saving money for your winter time. That is why I am living below my means. Here's some steps to follow how to achieved it.

Do not be a spendthrift. Are you the type of person who likes to spend money on stuff not needed? Then you need to change. Spend only on necessary things or what you call as "needs" not "wants" . For example, before doing your grocery, list the stuff you really need to buy. So that when you are in the store you will only buy those that are on the list. Do not be tempted to buy things just on impulse. Listing it will help you manage your expenses and will help you stick to your budget. Also it helps to buy in bulk or family packs because it will give you some discounts and savings.

Fond of the nightlife? Going out to watch movies and socializing? Why not do it at home. Have a video marathon with finger foods. That way you can save for unnecessary expenses. Yeah, it's okay to socialize but not all the time. Cut that kind of lifestyle because you will just wonder where all the money you've earned goes at the end of the month. You can do it once a month but not regularly and you can save just by inviting friends over at home for some potluck and card games with food. That'll still be fun.

When not using electrical appliances like Television, unplug them. Even when not in use they still have the current flowing through them. Use bulbs with low wattage also so that you can save on your monthly electrical bill.

Buy clothes and stuff that are on sale especially during Christmas season. If you cannot lay those hands off on designer labels or brands then buy them on stores that sell authentic designer stuff on a discount or lower price. Better yet, set a limit on buying this kind of stuff like maybe this month you will buy one shirt next month one pair of shoes and the next a bag, etc.Never be tempted to buy more than what you just set. Have a diary or checklist of things that you want. This way you will manage your money properly.

If you love to travel on vacation, then plan it ahead of time. Many airlines offer package and discount rates online. But be sure they are legitimate. If you are doing this, then learn also that after spending on credit pay your bills afterwards. Do not become a slave of your credit card. As much as possible always pay your credit and be debt free. Better be safe than sorry.

Lastly, have a bank account, a savings which you should never touch. Like what I've said, you will be happy to see it grows every month.

Learn more about this author, The Planner.
Click here to send this author comments or questions.