by Jane Sanders
Do you find yourself running into financial problems and falling into debt? Do you wish you could save more money but find that you have nothing left of your paycheck to save? Overspending can cause a lot of financial problems including consumer debt and a lack of retirement funds. If you can learn how to change your mindset from spending to savoring what you have, you can improve your finances as a result.
How Overspending Leads to Debt
When you spend more money than you take in, you go into debt. The most common form of debt is credit card debt. It’s easy to apply and qualify for a credit card. It’s even easier to charge everything to your card, even things you really can’t afford. Top it off with a high interest rate, and the debt will grow exponentially over time until it becomes too overwhelming.
You must get your spending under control if you want to stay out of debt. Following a budget that forces you to save each month is necessary to get enough cash to pay off the existing debt you have. Controlling your spending will keep you from accumulating more debt in the future.
Enjoy What You Have and Break the Need to Spend
Many individuals who overspend do so because they have a need to spend. They think that spending will make them happy, and they believe the things they buy are necessary. In actuality, most of what you really need is fairly inexpensive, and a lot of things you think you need are just extras. You don’t need new clothes if the ones you have are appropriate and in good shape. You don’t need a new computer just because the one you have is a couple years old.
Enjoying what you have and understanding the value in your belongings will help you appreciate what you have and break the habit of needing more.
You Don’t Need the Biggest and the Best
Just because a brand new cell phone comes out every month doesn’t mean you need to buy it. If impressing other people is so important that you need to throw thousands of dollars away every month to get the latest and greatest, then you need to take serious inventory of what you value from relationships with other people. Learn to love what you have and not what you don’t have.
Staying Out of Debt is Good, Saving for Your Future is Better
When you change how you think from constant shopping to enjoying what you do have, both physical objects and relationships with other people, you will start to reap the benefits.
Getting control of your spending will help you pay off your debt, but even better, you will also be able to save money for retirement and other more important things in life.