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Soaring household debt continues climbing out of control as families overspend incomes through impulsive buying habits and undefined budgeting. Fixed expenditures are a necessity, but shopping has become a national obsession for retail consumers, even while facing a downward trend in the economy.

Marketing consultants and advertisers flood media outlets competing for every retail dollar that the public is willing to spend, and despite the growing economic concerns, their efforts are not in vein. The American mindset is no longer to "keep up with the Jones", it is to make them keep up with us.

Government reports recently indicated a 1.4 percent increase in consumer spending compared to the same time a year ago. Some of that increase is attributed to rising prices throughout most retail industries, but consumers still appear willing to spend more for some retail items.

Sustained spending and detailed accountability are important elements in living within our means. Having the discipline to resist impulsive shopping urges develops into habit if applied over time, but that same discipline must be transferred to every family member in order to see real results. It must be understood that the household budgeting focus is on paying for the essentials, not the extravagant.

Income is only a minor variable to maintaining a budget as long as spending is kept in check and budgeting is a household priority. Setting guidelines on how much may be spent, and on which goods and services, keeps each family member on a financial leash. A reduction in excessive spending today also leaves more to go towards future family savings and planned financial expenses, such as a college education and long term investing.

In 1995, Oseola McCarty, an 87 year old 6th grade drop out , donated $150,000 to The University of Southern Mississippi to establish a scholarship fund. Miss McCarty spent her entire life washing clothes for other people, but made it a point to save a little from each ten dollar bundle that she washed. Despite her lack of formal education, living through the depression, and performing a job that few people would aspire to, she managed to accomplish more than those with significantly greater resources.

Living within our means is a commitment. If we structure our lives in such a way that saving, instead of spending becomes the ultimate objective, then we will eventually put ourselves in position to achieve financial goals. Oseola McCarty saved $150,000 working as a laundry woman. Her commitment to saving proves that no goal is unattainable if we remain dedicated to the process.

Learn more about this author, Terry Marsh.
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