If you’re a follower of a number of personal finance blogs, you would have heard of that ‘spending freeze’.
So, what does this phrase mean?
As it suggests, it’s a temporary phase when you completely stop spending for a period of say: two weeks.
Of course, it’s practically impossible for one to completely stop spending since there are bills to pay and the need for food to eat or even personal hygiene items. However, what this means is that you completely stop spending actively.
But before you get started, here are 3 reasons why you must try a spending freeze:
#1: Your savings gets better
Even if you get to save $50 to $100, this is an excellent method to set long-term financial habits while also saving much-needed cash that you can put away for your financial goals. Why this matters is because most people don’t even know how much money they spend on unnecessary items every week.
#2: Get your budget back on track
Information about your spending, especially on non-essentials, can do a lot for you. This is one really big reason to go on a spending freeze. Once you know where you’ve been spending a bit, you’ll know how to take control of your budget for the future.
#3: Control your impulse spending greatly
The more you exercise your willpower, the better it will be to control your spending. Two weeks of freezing your spending will ensure that you build up enough willpower for it to last for a lifetime.