Controlling Your Spending

Just watched an episode of Oprah - ‘What Would You Dare to Live Without? It focused on a wasteful family that was shopping itself into financial oblivion. It begs the question, what could you live without?

This poor family let the cameras in for one week and we got to see the amount of waste in their lives – fast food, trips to the mall shopping, hours watching TV and no time spent together … the end result being that the family was on the verge of being broke. They participated in the show because they were concerned what their lifestyle was doing to their family.

These are just some of the rules the family had to follow for a week:
1.) TV – one hour a day
2.) No computers (?!)
3.) No eating out
4.) No bottled water or paper towels
5.) No trips to the mall

… basically, all the comforts and conveniences that we’ve grown used to in our modern society.

The family went through a challenging transitional period and described it like going through withdrawal. They were so used to having all the trappings of modern life, they didn’t know what to do with themselves once these ‘luxuries’ were taken away.

At the end of it, they became a closer family because they actually had to spend time together. They also saved money because they only bought the things they actually needed.

I wonder how many families are in a similar situation these days – over-shopping, buying the latest gadgets or buying the latest fashions – and drowning in debt just in the name of keeping up with the neighbours. In the process, they’re given up their financial freedom and becoming slaves to their jobs because they can’t control their spending.

It’s really all about control when it comes to being financially independent. It’s important to resist the urge to waste our money just for a quick fix. It’s hard because we are told – through advertising, peer pressure, etc. - that we constantly need to consume to be happy. We’re told that our possessions define who we are.

In some ways, I’m guilty, too – I buy my Starbucks several times a day and I’ve been known to enjoy an occasional buffet.

Is having lots of ‘things’ worth being in debt? Are these ‘things’ we buy really assets?

So, maybe it’s time to take a look at your own life – where do you think you waste or where could you save some money?

What could YOU live without?