Change Your Environment to Improve Your Finances
A few months ago, my former colleague Alice asked for advice on becoming more disciplined with money. I told her she already had discipline. However, she needed to change her environment to support saving and frugal habits.
I shared an example from my own experience with weight loss. When I wanted to eat healthier, I stopped keeping cookies and chips at home. Instead, I filled my kitchen with healthy food. As a result, making better choices became easier.
Financial Habits Work the Same Way
I view money habits the same way. Many people surround themselves with spending temptations. Later, they feel guilty when they give in. Instead of relying on willpower, it helps to remove those temptations entirely.
When I left the corporate world and big paychecks behind, I made small changes. These steps helped me create a more frugal-friendly environment. I shared the same advice with Alice.
Simple Ways to Build a Frugal Environment
Stop using shopping as entertainment
Instead of shopping for fun, try low-cost activities. For example, go hiking, visit public parks, or attend free community concerts.
Remove spending triggers
Catalogs and ads for clothes, electronics, or furniture can encourage impulse spending. Therefore, unsubscribe or throw them away.
Plan affordable social activities
If you meet friends often, choose lunch or brunch instead of dinner. Even better, host a potluck at home.
Automate savings and debt payments
Set up automatic transfers for savings and retirement. This way, you pay yourself first before spending.
Limit cash if overspending is an issue
Carrying less cash can help control spending. If the money isn’t there, you won’t spend it.
Small Changes, Big Results
Recently, Alice has made great progress. She now spends much less on clothes and gifts. In addition, she set up automatic retirement contributions. She even managed to keep chocolate ice cream out of her freezer.
Go, Alice!
Source: Modern Gal
