My 2021 extreme saving efforts made a backlash in early 2022.
This made me realize the importance of FUN MONEY.
Don't get me wrong, that 2021 55% savings rate was a proud moment. Even at that level I was not quite satisfied. I know I can do better. But then news of accounts being freezed, Bitcoin as the future currency or maybe Central Bank Digital Currency and World War made everything I worked for futile.
You might think I should have better spent it all and know that I enjoyed my life. Valid argument as well.
I believe balance is the answer.
I gave in to some retail therapy. I did some shopping for stationery items, replaced my broken printer with a wi-fi one and other things that I have been putting on hold. And I bought a piece of land. For now, I will be planting some crops there. I also bought some Bitcoin. I stock up 3 months worth of emergency items - Food, water, medicines and household supplies. I rented a place in town to get some me time.
And yes I got a huge deficit in my budget as of February 2022. But I am happy now. I am emotionally and mentally nourished again. And I am starting to get interested again about getting my affairs in order.
I had bouts of major depression in 2021, so I gave in to some retail therapy. So yes the mindset as well as emotional state will determine one's success in saving efforts.
Minimalism has paved the way for me to find the things I love - stationery, books, hygge and self care. What I have now are things I love and treasure. Marie Kondo was right you will find happiness if you keep only the things that spark joy. Of course the essentials give security and comfort in life. That is commonsensical. But I keep to the bare minimum. But with those I love, I splurge which enhances my quality of life.
It has also made me become a prepper. I am working on having 3 months worth of food, water and supplies at home. After seeing civilians fleeing from Ukraine, it made me see firsthand how important it is to have your bag out bags ready to leave with in minutes worth of notice because it could mean life and death for a person and his family.
I have also learned the importance of building sinking funds for major expenses like Christmas, Birthday and huge purchases. Setting aside and budgeting a small portion monthly for these huge expenses makes it like a walk in the park and avoid unnecessary stress.
My daughter will be going to college in a few months. I wish we had a college fund for that unfortunately I just started with financial freedom journey lately. So I have to work around with what I have. So I decided to prepare a budget reset for June 2022 which I will upload on youtube. There I will add college sinking fund. This will help a bit to start off my daughter's college education.
Quality of life shouldn't be sacrificed when embarking on frugal living. The goal should be to improve the quality of life. How? First by having appreciation of the things you already have that you may be taking for granted. For examples, take extra time to enjoy your wardrobe, look at the different colors, textures. Look how pretty they are and how well they serve you. If nothing is broken, dont fix it. If your kitchen tools are working just fine, no need to buy the latest fancy-schmanzy equipments or plates. Except of course it is what you intend to focus and splurge like I do with stationery.
The following are some practical changes I made here and there to save a bit of money which can accumulate into a substantial amount in the future.
First, buy cheaper brands. Here are the cheaper brands I buy
1. Pepsodent
2. Champion
3. Watsons Shampoo – I use the shampoo as body wash as well
Stop buying clothes. For some reason, whenever we go out to shop we are drawn into buying clothes until theres no more space in our clostes. When in truth we can live and wont die with just 20pcs. Clothes are replaceable, no big deal. And buy used quality name brands rather than cheap new clothes. You will get more value and will last so much longer. Here are some of the brands in my closet that I bought for $1, some for 20cents and they last a long long time.
1. Guess
2. Banana Republic
3. Uniqlo
4. Giordano
5. Esprit
6. Nike
Make certain tweaks here and there and find that level of spending you find contentment with the quality of your life.
You can also use Pareto Principle in spending where you only eat simply dishes and eat a special meal maybe once a week. Mostly you wear only 20% of your clothing 80% of the time. So no need to buy more, you can even declutter and sell those for some income or donate them.
Photo credits to stevepb on Pixabay
