How to avoid over expenses and have discipline

[Pilgrimazra]

Thank you for these informations and methodology. It's actually going to change and restructured my expenses. I actually go shopping without a List of what I wanted at the end I ended up complaining and become in need of funds before I get paid. Thank you

[1715378264]

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[1715378264]

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[Mr. Magkaisa]

It’s not easy for most people these days with the cost of living soaring in recent years but to budget your monthly wage and live comfortably it's important to prioritise your expenses and savings.

Start by determining your fixed costs such as rent/mortgage, utilities & transportation. Set aside a portion of your income for essential needs like groceries & healthcare. Allocate funds for debt payments & save a portion for emergencies & future goals.

Consider setting a limit for discretionary spending on non essential items like entertainment. Regularly track your expenses, identify areas where you can cut back & find easy ways to save money like cooking at home or using discounts. Obviously save some for yourself to enjoy life too.

setting limits, allocating is more difficut if your doing it al from one account because those limits are just fictional limits that just involve brain decisions. and most people who have issues budgeting do not make good decisions if all income and all expenditure is done from the same account.. the best way is to actually physically separate the budgets over different accounts. that way people cant be tempted to over spend on wasteful things whilst ignoring the important things..

EG imagine you get min wage ~£$1600 a month knowing (i chose non-particular random numbers)
rent/mortgage is £$900
electric is £$80
gas is $80
water is £$40

put £$1100 into bills account

now you have £$500 to split up for consumables. so set a budget for your groceries, kids school clothing and etc
and put that into another account. and that accounts card is the only card you use when you go to the grocery/clothing store

and then whats left is the waste money to do with as you please.

once you have this set up. then you can find ways to modify your expenditure or income to compensate your needs more wisely

      -     These are good things you said, I like the 500£ you said and the last thing you said too, though, what Op said is also right, maybe the tips he mentioned could be based on his experience and the sources he put are only for those who want to find other tips, but I'm not sure. It's just seem like that anyway😃

That's why sometimes what I earn here in crypto via trading and campaign is also used to cover my other expenses, because it's also a big deal when I do bitcoin or my crypto to be honest.

[CODE200]

This is a great list and helpful as it is. For me, it's actually easy to set a budget, you just need to have a plan that will help you balance your expenses in connection with your income. On the other hand, what's actually hard is achieving discipline. It is not something that you just happen to learn overnight, because having a discipline within ourselves requires a lot of time to develop. Because even though you set a budget but does not have a discipline at all, then you still cannot avoid overspending. So, better to practice it little by little, day by day, and soon it will just become your habit.

[mindrust]

It all boils down to “don’t buy the shit you don’t really need.” Live a modest life. You don’t really need to drive a big SUV. You don’t need to live in a big house. Sell the excessive luxury items you have and use them to make investments that generate income. That way you can increase your monthly income and when you make enough investments you can live on your passive income freely forever. If you are living from pay check to paycheck you don’t deserve to live in luxury.

[Lorence.xD]

Isn't it stressful when we spend more than expected, right? especially if we follow a budget, having a smart spending habit is a good way to avoid such situations or events.

1. Make a realistic budget
2. Find out what triggers the cost
3. Break down luxury expenses
4. Make the 24 hour rule
5. Set a budget

I assume it all depends on the daily or monthly income one gets to manage all the expense and income records.
All of these concepts will not apply well if one's income is unstable. The logic is how he can avoid excessive spending and try to apply discipline to all that is expected.

I don't mean to argue with the concept that you find from the source, but sometimes a tip that is made must do research on all people with their economic level.
For me, these tips apply to people with middle and upper economic class and the authors of these tips rarely see how they apply to people with lower economic class.
Never mind planning to save and avoid big expenses, sometimes they can't afford to eat 2 times a day.

Yes, it's not applicable to everyone's income I mean it's actually good to set plan for your budget but some people their income its not enough to sustain all their needs. But if it happens to that the lower economic class people gets an increased and doesn't know what to do for their extra money. Then these list would be helpful for them. It's like giving them an idea to how they can manage their money. I actually agree that it would be better to put list not only that middle class above could follow but also for the lower economic class as well. Cause I believe having knowledge on financial could help them to get a better living, if you don't know how to manage it for sure in just a short time your money would be gone.

[Kakmakr]

This might sound strange.... but it works.

Pay with cash! .... The Banks found a way for people to spend money without thinking about it..... they introduced Debit and Credit cards that remove people from actually seeing how much they spend.

People that are using cash, experience first hand that they are using less money... because they can see how it is getting less in their physical wallet... so it is an immediate reminder that their money are running out.

Cash is King ..... 

[AGogi2003]

This is a great list and helpful as it is. For me, it's actually easy to set a budget, you just need to have a plan that will help you balance your expenses in connection with your income. On the other hand, what's actually hard is achieving discipline. It is not something that you just happen to learn overnight, because having a discipline within ourselves requires a lot of time to develop. Because even though you set a budget but does not have a discipline at all, then you still cannot avoid overspending. So, better to practice it little by little, day by day, and soon it will just become your habit.

Exactly, is not a matter of setting a budget, you just need to have a source of income to balance your experience, is good to budget before doing something, but how the economy is now in our country, things are getting more expensive, not everything you budget you can offered to buy, he don't mean someone who spends too much has no discipline, i will say that many people who spend money too much know what they are doing. since you will not be saving anytime soon. You must take risks since life is all about taking risks, and you must have enough money to estimate for what you require; people budget if you have enough money to spend.

[michellee]

Usually, I make a list of family needs for the week, complete with estimated expenses, to see how much money I have left. I also make an approximate to-do list for the family for the following weeks so I may have some leftover money that I can use to invest more or save the money for sudden needs.

But sometimes it can't go according to plan because we can have sudden plans that need to use money. But that's okay because I've allocated some money for this sudden need so I can fulfill it immediately.

And I have reduced spending money on things I don't need and only use the money for everyday needs. And to reduce boredom, I feel it's better to entertain myself by doing many activities at home or outside the home than going to a cafe.

The more mature we are, we will think maturely too and lower our ego level, more concerned with ourselves and prioritizing family. And that's what happens to people who are already married.

[Joshapat]

I think the most important thing is the fifth point, which is setting a budget, without a clear budget, no matter how big your income will run out, I've had income that I think is big but because I don't have a clear budget, almost every month I run out of money so it's hard to save.

[Lida93]

Not everyone can have a discipline live!

I'm a discipline person and have a strong memory, so I don't have to write down what I do today and in the next day since I remember what I need to do. It's a boring daily life, but I'm happy because everything works like what I expect. However my friend isn't like that, he's not discipline and want something different everyday, but he have a good career, so it's not about discipline.

To avoid over expenses is only one key: frugal living.

Defining any kind of lifestyle for yourself and keeping to it day in and day out still points to discipline, as a matter of fact, having a frugal living in order to avoid over expenses still boils down or consist in discipline.

For no man can abide by any rule or a pattern of living so long without having self-discipline which drives him to dictate, decide and stand by that which he has chosen to uphold.

 A frugal living is all about cutting cost and by cutting cost you're depriving yourself of certain pleasurable services and products which on a norm you ought to lavishly enjoy but it's in the self-discipline in you that you're able to keep to cutting cost keeping to a frugal lifestyle. In conclusion without discipline frugal living is impossible.

[edy_58]

Isn't it stressful when we spend more than expected, right? especially if we follow a budget, having a smart spending habit is a good way to avoid such situations or events.

1. Make a realistic budget
           In budgeting it is important that we consider everything. It should be realistic and achievable, It cannot be said that the budget is only 20$ for a week for food if you are 8 people who will eat at home. Plan what to eat every day and budget for it. Write down all the ingredients or how much to buy and how much it will cost in pmashae or gasoline if there is a car. Do everything with consideration and do it consistently.
Stop yourself from buying things you don't need, like buying coffee at starbucks when you can just buy 3 in 1 sachet coffee that just tastes like coffee. Because if we cannot prevent such expenses, include them in the budget.

2. Find out what triggers the cost
            It's important that we know this if it's stress, boredom, pressure from friends, need to follow the trend and so on. It is important that we have discipline in these things if you want to avoid overspending. For example, if you're bored, you hang out online shopping at Lazada, Amazon, and others, this habit should be replaced with something more productive, such as cleaning the house and others where you can avoid it and do something good.

3. Break down luxury expenses
             Try to list the things you have spent and separate the luxury and the things you have spent. It is important that you know what is really needed and the word I deserve it.

4. Make the 24 hour rule
             This rule helped me when I was building in this way. Because when I want to buy something, I put it off for 24 hours, and during this time I learn how to assess these things. Usually the excitement we experience disappears immediately after a few hours. You imagine the sacrifices you will make when you accomplish them. Like the small savings you have or sometimes we will even borrow the money we will use here. At least in this way we can avoid impulsive buying or bursts of emotion.

5. Set a budget
            Allocate a limit on expenses, know all areas of expenses from food, rent, electricity, water, shopping and other things related to spending. Once you set all of your spending limits, make sure to follow them and do it because everything will be ignored if you don't do it.

I hope this somehow helped us and the community here on the forum.
Other source:
https://www.incharge.org/financial-literacy/budgeting-saving/how-to-cut-your-expenses/
https://www.mymoneycoach.ca/blog/how-to-stop-spending-money-7-tips.html

Avoiding spending is something that many people really want, but of course this is not an easy thing to do for some people for a variety of reasons, of course, we can't just read it from books, it really takes desire from ourselves and strong determination to be able to do it consistently. I am very interested in how to avoid spending that you have mentioned, this will be very useful for me and I am interested in applying it to myself, of course this will be very useful.

[icalical]

I tried all of those method few years ago, it worked but only for several weeks, after that the urge to spend money on entertainment and not so productive stuff piled up and finally make me surrender. The only solution I have for now is depositing my money on to term deposit so that I can only withdraw it after certain period of time. I don't know if anyone has the same problem like me, but I never learn how to save money until I can earn my own money, and starting to learn how to save money when I already an adult is not so easy for me.

[kryptqnick]

Making a realistic budget is a great tip. It's really important to understand what's possible to achieve, what's going to be a big strain on one's well-being or physical health to achieve, and what's not realistic at all.
Then as for the second one, there are things that a person should fight, but there are also those that might already be replacing worse tendencies, so perhaps allowing some expenses to counteract those other things can be reasonable and should count as medical expenses, pretty much, because you'd probably need those otherwise.
And sometimes a person isn't prone to luxury, and the opposite of only spending money on the things you really need can lead to a boring life.

[Adbitco]

I think the best is to have a better saving plan.. for instance, when you receive some specific amount by end of the month and you have some saving plans and you also distribute the money accordingly it will help you not to randomly spend your money and it reduces you from spending in an unnecessary things just as you had mentioned. When you have a better saving plans and once the money comes you places them at the right place it would help cut down your expenses no matter how hard you have tried to cut down cost you would not still live extravagant life because the money is going where it's properly placed.

I was also facing this heat, when money comes request tends to increase from family members and relatives what to do is place your money where it should be and also do not forget to curved out the charity as that is your spending from anyone that requested out from your monthly plan, you can easily deep hand over there and give to whomever you want in as much as in your charity account.. this charity account may be wallet and bank account but let it be that you don't empty the account or wallet to be able to give to charity. When you put all this plans you would know whether to spend on luxury or not. As a responsible person you don't spend when is not needed because responsibility are tied on you, this is very common with the us in East (Africans).

[Gun Boat]

It is really annoying to fall short of funds when allocating the budget to our needs.  This list are helpful in guiding one on how to keep our expenses on tab and avoid the frustration of falling short of funds even though we always try to look for extra funds to fill our needs.

Setting the budget and knowing the reason why we always have shortage is a good way to troubleshoot our financing activitives.

In other to avoid overspending and maintain discipline,it is necessary for one to create a budget plan and put it on a scale of preference so as to be able to track expenses and prioritize needs over wants.
One can be put to self control of spending unnecessarily with this process... setting financial goals can also enhance better money management.

[stomachgrowls]

I can say that i do really have a problem in this regard;
3. Break down luxury expenses

Currently, i do really have a big problem when it comes to this kind of expenses on which im really that totally regretting as of this moment on which im suffering on paying up on huge interest since
all of my current credit cars with its maximum limits had already been spend out and now im struggling on paying every one of them on monthly basis which im only able to pay up the minimum
amount due on which it do really sucks when it comes to this kind of condition on which it is really that something that i should have avoided earlier. This is the result if ever you arent that mindful
about your spending.

I do accept out that i did make myself really that impulsive when it comes to this on which buying this and buying that without even minding about on paying it later or not really that
responsible enough on how to control yourself on using up those cards and now im really that struggling. Come up with some plans on trying out to clear my debt now and
i did really make out that lesson over spending and discipline towards using it or even budgeting my income which it might sound simple but its something crucial i would say.

[franky1]

     -     These are good things you said, I like the 500£ you said and the last thing you said too, though, what Op said is also right, maybe the tips he mentioned could be based on his experience and the sources he put are only for those who want to find other tips, but I'm not sure. It's just seem like that anyway😃

not saying he is wrong. more like making a stronger point about the definition of "set aside"
many people make a spread sheet and "tell" themselves to set something aside. but its just a mental note. which does require extensive discipline to stick to your idea's.
however setting up actual structures like separate accounts. means if you leave your bills card at home.. you cant spend it at the grocery store. thus protecting the money allocated for bills..
and if you only take the grocery account card with you. you are limited to your grocery budget.
then the third card which is the left overs. you only use that as the last resort which is like a visual thing in your wallet where taking it out causes you to re-think your choices for a second 'do i really want/need this'

as oppose to having all money physically on one account and having to remember idea's and having to make decisions of should you break your budget because you feel sad and need a pick-me-up luxury because you know there is £$1600 in that one account and you can make a sacrifice another day

having funds separated makes it harder to just say, "well theres my whole months salary to spend so why not spend a lil more" because having it separated in actual multiple accounts means you only have £$XX or $£XXX in a certain card instead of £$XXXX. so you think more about if you need the certain things

..
point being even if you tell yourself XXX is for bills. if all income remains in one account people will always find an excuse to validate over spending. by saying "its ok ill just pay extra on bills next month"

however by splitting it up on pay day. means you have that extra barrier to fight yourself against. which helps more if you dont put your bills card in your wallet when you go grocery shopping but leave your bills card at home to just pay the bills

That's why sometimes what I earn here in crypto via trading and campaign is also used to cover my other expenses, because it's also a big deal when I do bitcoin or my crypto to be honest.

best discipline. anything you consider a toilet flush(waste) the next day. EG fast food that just turns into tomorrows bowel movement. is not a good investment. so go without junk food and invest it.
then dont sell all investments to go on a junk food binge when you profit. just sell the profits and use just profits for junk food
whilst still investing the base capital and any new income on the next correction after the ATH corrects back down

[Casdinyard]

budgeting wouldn't cut it anymore in this economy. I kid you not years ago my current budgeting system would've worked wonders, but now that things are in the shitter and it's way harder to manage expenses it's become so hard to budget without sacrificing stuff I was able to enjoy in the past, just so I don't starve before next paycheck. The only realistic way for you to still survive the current financial crisis and still have money to save is getting another job. A job for your expenses, and a job for your savings, plus don't be in rush when it comes to marrying and having kids. You can't raise children when the price of formula is increasing exponentially every year lol. Although if it can't really be helped then by all means.

[Viscore]

Unfortunately, a lot of us fall shortly when it comes to managing our own finances as most of us end up overspending, more than the amount of our budget or more than the amount of our means. While tracking your spending will be a great help so you will know where your money is going, and where you want it to go, but still for most of us, even setting a budget and sticking to it is still hard and impossible to do. However, if you seriously manage your spending and stick to your budget that you have set, then I don’t think one will end up overspending. Discipline might be hard but if you are making it a habit, then you’ll find it easy managing your finances.

[Unbunplease]

Unfortunately, a lot of us fall shortly when it comes to managing our own finances as most of us end up overspending, more than the amount of our budget or more than the amount of our means. While tracking your spending will be a great help so you will know where your money is going, and where you want it to go, but still for most of us, even setting a budget and sticking to it is still hard and impossible to do. However, if you seriously manage your spending and stick to your budget that you have set, then I don’t think one will end up overspending. Discipline might be hard but if you are making it a habit, then you’ll find it easy managing your finances.

If you have to be disciplined all the time and spend your finances according to a plan, that's how uninteresting life will be. How are you different from a robot? And would you say no to a child who sometimes asks for a new toy just because it's a little over budget?