6 Ways to Change Your Spending Habits

I want to be a millionaire, do you?

So many people have dreams of becoming a millionaire but very few actually get there. You know why? It’s because many people fail to take the steps they need to get there. They are unwilling to make the changes in their daily lives that having financial freedom and becoming a millionaire requires.

Today I wanted to share with you seven small changes you can make in your life that can really add up over time, leaving you one step closer to becoming a millionaire.

Watch less television.

Have you ever noticed how much time you spend sitting in front of the television? Besides not being great for your health, you could be using this time for more useful tasks. Instead of watching TV, why not try learning a new skill that could lead to a raise at work; Or, why not use this time to develop some forms of passive income that can go towards your savings. Hey, you might end up enjoying these other more productive activities so much that you find the desire to cancel your TV service. This will only add extra savings to the mix.

Take advantage of your local library.

If you are an avid reader like me, use your public library whenever possible. There is no need to go to the big box book store to get your hands on your favourite authors. If the library doesn’t have your book in stock yet, have some patience. A free book that you have to wait for is better than one you have to pay for.

Stop smoking.

If you are a smoker, work on reducing the amount of cigarettes you smoke each day. Eventually you will be able to quit. Besides saving money, your health with drastically improve which means you can save a ton on medical bills. If you need a little inspiration, check out my friend Mr. SPF’s article on how he has quit smoking.

Use alternative methods of transportation.

A.k.a. your legs. Instead of using your car and spending money on gas, why not invest in a good bicycle or walking shoes. Not only is the extra exercise good for you but it also reduces your impact on the environment. Plus you will save a ton on gasoline and parking fees.

Cook at home.

Cooking is really not hard, it just takes some organization. Instead of eating out, why not experiment with some recipes at home. Not only will cooking save you money, but it will allow you to practice different cooking techniques.

Brew your own coffee and tea.

I am always amazed at how many people I see lining up in their cars on their way to work to get a cup of coffee or tea at the local drive through. Not only can I not be bothered to get up 30 minutes early to allow for this wait, I also can’t be bothered to spend the money. By making your own coffee at home you can save a ton of money throughout the year. All you need is a thermos and a basic coffee maker or kettle and you are good to go. The cost of these three items will be paid off in no time and will cost you less in the long run compared to what you would spend at the coffee shop each year.

These six small changes are a great start for changing unhealthy spending habits.  However, I encourage you to incorporate other healthy spending habits that contribute to building your retirement fund. By reinvesting the money saved from these tips, you will be that much closer to becoming a millionaire and joining me on the road to financial freedom.

So, what kind of healthy or unhealthy spending habits do you have? Please share.


Comments

6 Ways to Change Your Spending Habits — 10 Comments

  1. Excellent post. I so agree about avoiding TV and magazines. I know since I switched TV off and stopped reading magazines my desire to spend dropped drastically.

    They are mostly ads and the ads make you believe you need those things or your life will somehow be better with them, when this is not the case!

    I wrote a post recently similar to this one. http://www.aspiringmillionaire.com/2011/03/how-to-stop-spending.html

    One thing that amazes me now that I am aware of it is the amount of product placement in movies and TV shows. It’s more subtle, but still advertising!

    • @ Aspiring Millionaire The same thing has happened to me post vacation. I don’t end up watching tv when I am away and it is amazing how quickly you forget about the next latest deal or gadget. I guess this means we all need a bit less tv time; it will be better for our wallets.

    • @ Retire by 40 Good for you. That’s great. You are ahead of many. I too drink green tea. It has so many health benefits. Have you ever tried matcha green tea?

  2. I do all five (I don’t smoke)of your suggestions! For exercise and occasional transportation I ride a bicycle. I am a voracious reader of books and magazines from the library. I do like my blended mocha and oatmeal raisin cookie once a week.

    • @ Krantcents Hey we all need treats once in a while but on a day to day basis it is good to have a good system in place for saving money. Glad to hear you are doing so well. You are ahead of many.

  3. I’ve got three of these down. I just need to work on brewing my coffee more often (which I’m doing a lot more lately) and cooking at home more. This is my challenge – I can’t cook.

    • @ Little House. Have you ever tried a french press for your coffee? They work great and take little space. Plus you save money on not having to buy filters. I am glad to hear you are trying to cook at home. That’s great. Don’t be intimidated by it. Start small with simple dishes. Salads and stews work great.

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