Five steps to effectively freeze your spending

If your spending is getting the best of you, try freezing your wants and instead, concentrate on your needs. It is not easy; however, it will help you to balance your budget.

Put away your credit cards

Put your credit cards in a safe place, which is hard to access. The farther you keep your credit cards from you, the better it will be. In addition to that, delete any saved card information online, so that you cannot buy anything without having the card in front of you. To meet all the expenses in such a scenario, use your cash or write a cheque.

Stick to your shopping list

Before you go shopping, it is always recommended to write down your shopping list that includes only your needs. Then buy only the items mentioned on the list. Even if you see something that you believe is your need, put in on your next week’s list. If you follow this step, chances are high that you will not overspend on your groceries and toiletries again.

Resist Temptation

The best way to stay on course during your freeze is to steer clear of opportunities to spend money. This might mean, not even surfing your favourite e-commerce sites and avoiding unnecessary shopping.

Establish your need

Understanding the difference between a need and a want is the starting point of sorting out your finances. It will help you to direct your spending. Needs are the expenses without which, you cannot manage things such as food, shelter and clothing. It also depends upon the situation. Internet or broadband maybe want in certain circumstances, however, when one has to work from home, it becomes a need.

Anything beyond need should be cut out of your spending during the freeze.