Without getting too cliche, you can live life as you see fit on a budget that works for you, even if you’re not a millionaire or have the kind of lavish spending that others you know do.
Being able to get by on a small budget, meaning that you spend and save like everyone else, but don’t do the former quite the same because your income dictates otherwise.
In most instances, living small doesn’t mean you have to stop spending or all of a sudden implement a spending style that goes against what you truly want.
Shopping and eating out at restaurants is a perfect example of this point. Those who live “small” still spend money on clothes and go out to eat at restaurants, but they do so with extreme patience, virtue and a flair for the finer things.
Now, that might sound as though it makes little sense since the “finer things” and a small budget don’t go hand in hand.
But consider it from a different perspective: if you buy clothes every day or every weekend or with some regularity, then you’re going to not only spend more but you won’t get what you want, instead feeling as though you have to buy cheap and more frequent. Rather than buy a bunch of $5 shirts, why not shop once every six months and buy yourself something a little nicer since you’ve been saving on a whole lot of $50 or $100 trips every weekend.
You can look at food in the same breath.
Spending $10 for lunch and another $20 for dinner three days a week adds up quickly (more than $1800 in six months of food shopping). Imagine if you packed a lunch, cooked dinner at home and went out to a fancy dinner with your significant other once per month for $100 a pop. That’s $600 spent versus $1800 for what only could be described as a lunch time sandwich or salad or a dinner meal at a chain restaurant.
And as long as you’re being smart with food, think about eating out for lunch and skip dinner. Lunch could be a $10 meal and if that same person mentioned earlier cuts out a $20 three days per week, that $1200 in their pocket or more in six months and more than $2,000 saved each year.
Living small doesn’t mean you’re never going to be able to enjoy the good life. That life just gets better when you can splurge and still save at the same time.