![]() Yes it’s true, studies show that planning in advance actually enhances the experience at the time of the event but also the time leading up to it. It’s that amazing feeling you have when you know something great is coming in the future. This is called the anticipation period and it’s pretty awesome. How excited were you the last time you planned a vacation even if it was 3 to 6 months away? How excited were you the week before you were scheduled to leave? Anticipation of buying something in the future creates excitement They wish they had made different choices in the past. I’ve worked with clients on it, and they often regret the purchases in retrospect. The temporary high of the new flashy object goes away when the bill comes, and you experience the stress of trying to juggle your bills to match when you get paid. This may seem counterintuitive to anyone who believes in retail therapy, but living below your means can actually reduce your stress. When you’re in control of your money and working on it together, you will have a stronger marriage and better relationships with your kids. How would your relationship with your spouse and with your kids change if those financial stressors were removed? Really take a moment and think about that future. ![]() How much stress is there in your marriage because of your financial situation? How much anxiety comes from feeling like you’re financially behind, in debt, and don’t have enough money in your bank account? But there are other benefits in life that come from it too. There’s no question that you will have a brighter financial future when you live below your means. The key question to ask is if spending this money now is more important than achieving the short and long term financial goals I want to reach? Benefits of living below your means Living below your means is saying yes to having money in the future. Once it’s out the door, it’s not there to go towards saving money, investing or paying off debt. Money that is spent can’t go towards building your net worth. One client said it perfectly, “Spending money is like transferring your wealth to someone else.” That’s exactly right. You’re not having to go into more debt to pay for your living expenses. In other words, you have money left over at the end of the month. Living below your means is when you spend less than what you make. Need help to figure out how to live below your means?.Two Simple Ways to Live Below Your Means.Count how many times you spend each day.Use a budgeting app to make it easy to track.Use the 125% rule for your house, home improvement, and vehicle purchases.Anticipation of buying something in the future creates excitement.
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