There is no special trick in knowing how to stop spending money. However, there are lots of tips you can follow which will help you in your cause.
A good place to start is with an article entitled curiously enough “How to stop spending money,” which you can find on the Wonga.co.za website.
But following tips alone will not work. First, you must make your mind up without any shadow of doubt that what you are really determined to do come hell or high water, is to stop spending your hard-earned money. And, if you have got into any bad, expensive habits, like gambling, for instance, you need to deal with these first.
Ditch that gambling habit
Gambling is a mug’s game. Even if your personal finances are not stretched, you are still throwing money away each time you place a bet. If your money situation is tight, stopping gambling is not only one of the most sensible ways of how to stop spending money, it’s also essential to your well-being.
Gambling can easily become addictive, and that is when the real trouble starts. Because there are no substances involved, like drugs or alcohol, gambling is regarded as a non-substance-related addictive disorder. However, in terms of danger, it comes with striking similarities to substance addictive habits.
The SARGF (South African Responsible Gambling Foundation) defines habitual gambling as follows. A habit that a person continues to practice regardless of any negative implications it may have on that person’s life.
If you have limited financial resources, and you continue to squander your money on betting, the first step in how to stop spending money is dealing with any gambling addiction.
People get sucked into gambling without even realising they have become addicted. The idea of winning a lot of money for a relatively small wager is attractive. Of course, the more people lose, the more they are tempted to bet, and therein lies the problem.
Check out your habitual spending
But whereas gambling is potentially dangerous, there are other forms of “habitual” behaviour that must be considered when looking at how to stop spending money. Take gym memberships, for example.
South African gyms earn approximately R12.5 billion per annum. According to the Economist, this is the highest total annual gym revenue in the world. Virgin Active gyms, with its half a million members, claims 60% of the South African market.
A lot of South Africans join a gym as one of their new year resolutions. The object is obviously to get fit, but for many people, once the initial appeal has worn off, they hardly ever use their gym memberships again. Many never even bother to cancel their subscriptions.
But as a way of how to stop spending money, cancelling unused memberships of gyms or any other types of unused subscriptions for that matter, is a no-brainer. However, when cancelling any membership – especially a gym membership – you need to do it in the right way. If you don’t, you could be sorry.
The sooner, the better
Lowering the amount of money that you spend is the best way of gaining enough money to be able to save on a regular basis. The sooner you start, the less money you will be frittering away, so the earlier you begin, the better.