A minimalist lifestyle has many benefits, including those relating to your mental and physical health. It also brings you the most valuable commodity of all, time. But can being a minimalist make you wealthy?
The simple answer is yes!
Living within your means
Money is essential to all of us, and everyone has a different relationship with it. Though it isn’t necessary for our happiness, it makes our life options a lot easier. Minimalism and money don’t mean hoarding cash and living an extreme life of frugality.
Simply spending less than your income per month is a great way to begin your journey into a wealthier life. If you actively struggle with this, budgeting is the essential tool to help bring your finances back into the black.
How do you save money with a minimalist lifestyle?
I think most who decide to live a simpler lifestyle would agree that saving money and minimalism go hand in hand. It is a natural progression and outcome of a minimalist lifestyle and isn’t something you have to work toward.
I don’t want to mislead you here; money won’t just magically appear in your bank account if and when you declare yourself a minimalist. However, once you have committed yourself to live intentionally, it should be easier for your money to follow suit.
When you begin to refine your lifestyle habits, you should also see an increase in your bank account. You are buying less stuff and spending less on unused services, and so you should see an immediate increase in your disposable income.
Perhaps you are in the early stages of your simple living journey and have decluttered some of your physical items.
Here are five simple ways you can turbocharge your decluttering into your finances:
5 spending tips in having a minimalist lifestyle
1.You need a why
Why are you interested in living minimally? Why are you budgeting? You need to set a clear goal for yourself and your family. What is your dream? Where do you see yourself in 1, 3, or 5 years? Write it down and place it somewhere you can see to keep you motivated. It’s important everyone is on board with the same shared goals to ensure everyone sticks to the planned budget.
2. Boost your budget by decluttering your bank account
Go through your recent transactions and identify any areas that need to be addressed.
Look at your direct debits and any non-essential memberships or subscriptions that you could realistically live without. CANCEL THEM. I have had cable TV my whole adult life. I decided to cut it, and it changed my entire life (and saved me £40 per month).
3. Small holes sink big ships
Add up those tiny transactions at Starbucks every other day. A medium-sized latte and muffin could set you back around $4.60 every visit. Going every other day means you’re spending over $850 per year. That blueberry muffin may spark joy, but thinking about what else you could have spent that money on will not.
4. Plan ahead
If you have upcoming birthdays or other events to pay for, plan ahead and budget for them throughout the year.
If you know your car needs to be serviced or an MOT is coming up, account for it in your budget. Then, you’re not left unexpectedly short towards the end of the month.
5. Eliminate debt
Use your new method of number crunching combined with that extra income to crush your debt. List all of your debts, such as credit card balances, car payments, and loans, in the smallest to largest.
Being frugal doesn’t mean going without
Essentially, a minimalist lifestyle teaches us to raise awareness in our lives. We work towards what matters most and are intentional in our decisions to make it happen. This impacts how we spend our money and give us reasons to save more. However, it doesn’t mean simply surviving.
You can thrive and be meaningful and frugal at the same time. It’s about being resourceful with the money you do have. Cooking your family home meals from scratch instead of buying ready meals would save you a ton.
There may be better, alternative options to what you are currently using. *
Shop intentionally to save money
Making intentional purchases requires you to be conscious about your spending habits. If you’re questioning a purchase, put it back on the shelf and think about it. Make a pro’s and con’s list if you need to figure out if the price tag is worth it. Sometimes it is logical to spend more money on an item if it is superior in quality and will last you years instead of months or even weeks.
Capsule wardrobes are quite the minimalist trend right now, but they hold much logic. By selecting and purchasing a small number of various items of clothing that are both stylish and functional, your wardrobe can take you a lot further. This is especially great for busy mamas who just want to throw on a few of the only clean items from their closet; you don’t need to think about creating an outfit because everything works together.
This can also be put in to practice with your grocery shopping. Writing a good meal plan and taking a specific list with you can stop impulse purchases. This can also help eliminate those last-minute emergency dinners / take out options in the evenings.
Aligning your personal values with your spending
I’m reiterating the importance of goals here. Analyse your recent expenditures and consider if your spending habits have reflected your personal values.
What matters most to you in life? Is it ordering take out every weekend? Or is it saving money to have experiences with your family?
Sometimes we have to say “no” to ourselves and think of the bigger picture. It’s about mind over matter, and self-discipline will help you stop those bad spending habits that are taking over.
Money is a form of energy, and channelling that energy correctly is key to attracting a life of abundance. Respect it, and it will respect you.
Minimalism can bring you wealth. But it does require you to evaluate yourself and think about what values you have in life. Are my money habits going to benefit me in a long term way? Do they align with my goals and the direction I’m heading towards right now or in the future?
Once you make these conscious decisions about your money and begin to live outside the norm, you can focus and channel energy into a life that will shower you with abundance and wealth. It is only when you do this that the pieces of the puzzle will start to come together and you can begin truly living.