FINANCIAL RESET - SETTING NEW FINANCIAL GOALS
What is a financial reset? How do I begin to evaluate and reset my finances?
This month my husband and I are once again embarking on a no spend month challenge. This no spend month challenge will be similar to the last one I participated in with Sarah from LemonBlessings.com. The rules will remain basically the same as our last no spend challenge. We will pay our bills, buy the essential groceries and pay for gas. Anything within our normal monthly budget but nothing more. This time our no spend month challenge is more of a reset for the new year. The purpose of this personal financial reset as I will call it is to get our financial life on track.
What is a personal financial reset?
A personal financial reset is a re-evaluation of our financial lives and our overall spending. Wondering how this personal financial reset works? Basically my husband and I will be spending more time during our no spend month analyzing our financial futures. We will begin considering ways that we can cut spending overall and also begin to restructure our lives overall. We had a brand new baby last year in June and she is now 8 months old. As with all new babies our life has dramatically changed. Throughout this change we have made a lot of changes that are not necessarily helping us reach our goals financially. We have also had some set backs taking care of ourselves physically due to stress and changes in our routines. We realize that we also need to make a change in that area as well. We are going to kick our unhealthy eating habits this month and begin exercising more. What better time to focus on this than during a no spend month challenge.
Why would you need a financial reset?
The purpose of a financial reset for us is to get our financial life back in order and set better financial goals. Just like a no spend month this financial reset helps limit spending and analyze ways to improve. The one difference is a no spend month ends and a financial reset ads a different level of accountability for our financial future that doesn’t end with the no spend month. This is far more beneficial when you not only limit additional spending for a month but also discover new ways to save money overall and challenge yourself to continue moving forward. I have heard many people say a no spend month challenge doesn’t work because they just spend more later. This is what I believe can help to make a no spend month successful. We need to set some goals during that month that we carry forward. We need to make sure that when the no spend month ends we do not fall into bad habits as a result of the spending freeze. Don’t consider a no spend month your excuse for over spending either before or after that month. If you do you basically make the no spend month concept useless.
What are the goals we have set for our personal financial reset?
Spend no additional money outside of our normal budget
Develop a consistent sustainable workout routine
Eat healthier and cheaper at home
Plan more easy healthy meals that stretch our budget
Spring clean our home and get organized
Donate or sell unnecessary items
Spend more quality time with our daughter
Get more rest (haha, definitely a tough one with a new baby)
A personal goal of mine will be to work more on SavingJoyfully.com and to bring you more helpful money saving content.
Call on our car and renters insurance and verify that we still currently have the best rates available. This saved us so much money in the past and can save a whole lot throughout the year if we have the best possible rates.
How do we plan to accomplish these goals?
No spend month will eliminate spending and eating out therefore saving us more time and money on weekends
Set workout goals and a consistent schedule moving forward. We have done this in the past and have been successful.
Create a shopping list and stick to it. The shopping list will also be combined with a menu for the week helping us stay on budget yet plan easy healthy meals.
Set an consistent scheduled time we go to bed each night. Whether the baby likes it or not. Lol!
How will accomplishing these goals enhance our lives?
Financially we will save more overall monthly
Physically we will be in better shape which will most likely cost us less overall on healthcare related expenses
Planning for healthy eating will eliminate unnecessary spending on unhealthy food and beverages on the go and at work
We will develop a sustainable and less stressful schedule by planning and working together to reach our goals
These goals and choices will benefit the entire family’s health and well-being
Are you looking to do a financial reset or no spend month?
These are my suggestions before you get started.Make sure to develop a plan. Set goals and rules that are manageable and sustainable. I believe eliminating unnecessary spending is very similar to a diet and if you do not have a healthy plan you will most likely fail. Rules are great and saying no is going to a huge part of a no spend challenge. Remember that understanding your budget and absolute necessities in advance very important to staying on plan. The most important part is not spending nothing, it is decreasing spending overall. Remember that one slip up during the month is not a failure and it can still produce great results overall. Just keep trying and you will still be successful at eliminating unnecessary spending.
Things that worked for us during our last no spend month
Having friends and family over instead of going out. You do not have to be completely anti- social during this month and you might actually enjoying hosting someone for a change. Try having a friend over for dinner instead of going out for dinner. This also might make it easier to do something similar in the future therefore cutting spending further this year.
Looking for fun new recipes to try in place of eating out. We even tried making the meals together instead of just one person cooking which can also help make the experience more enjoyable.
utilize your local library more to rent movies and books for entertainment
Make a mental note or list of frequency cards or free beverages you might have that can help you redeem fun freebies during your no spend month. I have a few favorites like the speedway speedy rewards program, Tim Hortons, Panera rewards and Starbucks rewards. These programs offer frequent food or beverage rewards that you can save up to use during this time. These can really help just in case you get a craving or need a quick beverage while out.
If you have done a no spend month or decide to do a no spend month / personal financial reset I would love to hear from you. What worked for you and what did not work? What made your no spend month more successful or what made your no spend month more pleasant? I would love to hear from you. Feel free to leave me a comment below.
