Today, almost everyone on any social media, be it Pinterest or Instagram, has glorified a rich life, with the best of the luxuries, lifestyle, and clothing. So you may have never actually learned the benefits of living below your means.
In fact, many of us still believe that money is for spending. However, many of us often forget that with this mindset, we might end up having no money to spend!
Due to this reason, it becomes important that you consider putting a stop to a wasteful lifestyle and try to learn how to live below the means.
Now, what does it mean to live below your means?
Living below your means is all about spending less than what you actually earn.
For instance, if you earn $1000 per month and your total expenses are about $500, you’re living below your means. So, as you can see you may end up saving $500 for future use or emergency too!
This post is all about benefits of living below your means.
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Benefits of Living Below Your Means
1. Say Adios to Debts!
One of the best benefits of living below your means is that after some time, you won’t have to worry about any debts.
When you start spending less than you earn, by the end of the month, you are automatically saving up some money. This money can help in paying off any debts that you’ve taken, be it an education loan or anything!
Moreover, living below your means isn’t always about spending less money than your earnings. It is also about spending on only those things that you can afford rather than buying stuff on your credit card. Trust me, once you don’t have the hammer of paying credit card bills over your head, you’ll feel extremely relieved.
So, start spending frugally to save yourself from getting broke!
2. Financial Stress? No Chance
Do you ever find yourself stressing about where your money vanishes? Well, trust me, I have been through that!
So, the best way to tackle this huge elephant in the room is to start living below your means.
Do you know why? Well, when you start living below your means, you automatically start losing interest in buying things you don’t require because honestly, one less top in your wardrobe won’t make any difference!
Read More: How to Create a Budget (Even When You Are A Complete Beginner)
Additionally, as you start spending less, you’ll find your bank account getting richer and richer. (unless you don’t spend it all away on a whim).
So, automatically you’ll be ready to tackle any emergency, or rent bills by the month’s end and give yourself a stress-free time!
3. Satisfaction Has Entered The Chat!
No human is ever satisfied with the amount of money they have, I mean that’s no rocket science!
Yet, once you start living below your means, you’ll only spend money on things that you genuinely like. There won’t be anything like a ‘buyer’s remorse’ after every dress you don’t truly like. So, you’ll automatically start feeling satisfied after every purchase.
Also, a fuller bank account by the end of the month is bound to make you feel satisfied too!
So yes, let’s debunk this theory like right now that says living below your means is never satisfactory because seeing those bucks in your bank account is one of the best feelings ever!
4. Live the Life You Want, Not What The Internet Shows
You may already know how Internet algorithms work. You think about one thing and the Internet will try its best to make you buy it. But, if you know what you want and you only go for things you can truly afford, you’ll be living the life that you want, not what the algorithm wants!
Additionally, if you’re tired of dealing with your exhausting work and want to chase your passion, a bank account having money, can definitely offer you the security you need. So, no more hesitating to leave that toxic work environment.
Also, if traveling is on the top of your bucket list, you can try to live below your means, gather some money, and set off on a journey to explore the earth.
5. Healthy Lifestyle For the Win
Let’s not deny that many of us spend tons of money eating out and ordering things we know we won’t be able to finish! Plus, let’s not forget the unhealthy amount of calories that go into our body and later causes us to pay for a gym membership too.
However, when you’re trying to spend less, you will notice a big change in yourself. You will often find yourself cooking healthy meals at home rather than spending bucks at a lavish restaurant. Or, you’ll find yourself ordering only the amount of food you know you require rather than ordering everything on the menu!
This way you’ll be cutting down on the excess of junk you’ve been eating and engage in a healthier lifestyle.
So, no more doing burpees and squats for losing weight when you can simply do it by spending less!
6. No More Keeping Up With The Influencers!
Do you often find yourself getting easily influenced by social influencers and spending all your money on things that you know won’t even be using?
If you do, then living below your means can definitely help you in getting rid of this habit.
It is because when you start spending your money thoughtfully to live below your means, you won’t find yourself comparing your lifestyle with others and end up losing all your savings in the process. Instead, you will only buy things that seem useful to you.
You’ll soon realize that quality and satisfaction are way above materialistic possessions. This way you’ll no longer have to keep up with the trends. You’ll just have to keep up with what you genuinely want and saving the rest of the money!
7. Save Your Savings From Drowning
You may have had a lot of money saved but now, it keeps on decreasing rather than increasing. In this situation, you may want to consider living below the means as it is probably the only way to save them from getting over.
When you start living frugally, you’ll notice that by the end of the month, you still have a lot of money.
Moreover, by the end of just a few months, you’ll have quite a lot of bucks sitting in your savings amount. Sounds like a distant dream, right? Well, it won’t be once you cut down on your expenses, buy only those things you really like a lot, and stop spending money wherever you go!
8. Taking a Step Towards Investing
Saving and investing are two different ends connected by a single thread! So, if you have got plenty of savings in your bank account, you can consider investing them somewhere.
Now, I’m not talking about large investments that require millions of dollars but rather small investments that can double your money. For instance, you can start your own side business, or you can start investing in shares, too!
Keep in mind that many billionaires today started young and broke but they got rich by investing their money tactfully.
So, if you want the same miracles to happen, consider saving money, collecting them, and investing a share of them after proper research. Make sure you don’t go for risky or sketchy investments!
9. 911 – Build Your Emergency Fund!
As much as we all hate it, life and fate have a weird way of messing with our big future plans!
Sometimes, you’ll find your savings getting crashed due to some unforeseen circumstance. This is bound to make you feel worse and sometimes, even ruin your entire future roadmap.
However, once you start living below your means, and start saving, you will find yourself having some extra money. Then, you can deposit some in your savings, and some in your emergency fund account. This way it will keep growing and once you require it, you can break it any time without worrying about crashing your savings!
So, why let life play you when some smart money-saving techniques can make you the real winner?
10. Becoming Independent
Are you dreaming of having your own apartment or house? Do you not want to ask for even a single penny from your family or friends?
Well, the best part about living below your means is that you’ll become extremely independent. You will find yourself having enough money, or at least some of it required to become independent.
Moreover, you’ll be your own person who wouldn’t depend on anyone else for any type of finances, loans, or debts. In fact, once you have financial security, you’ll become more confident in yourself. You’ll not have to worry or stress about anything, be it your monthly bills or any loan amount.
Thus, having a stress-free and totally independent life as you dreamt of!
Final Thoughts
Living below your means may sound like a daunting task. Yet, trust me, all you have to do is start and keep motivating yourself. There are many books you can read and podcasts you can listen to know how you can live that way and save money.
Once you start living below your means, you’ll find yourself getting comfortable, more thoughtful, and definitely happier, and stress-free.