It’s Okay to Spend Money, Just Remember Your Financial Goals.
Money – it is only an instrument, so you do not need to be upset because , you spent on lattes for $ 3 . On the other hand, it’s easy to use as an excuse to waste money, and it can undermine your goals.
If you want to get rich, you have to keep more money than you spend. Saving money is one way to achieve this, but making more money will yield more tangible results . At the same time, you don’t want to use this advice as a reason to waste.
I recently fell into this trap. My expenses were higher than usual, so I looked at my budget and noticed a bunch of small purchases piling up. It was mostly shit that I didn’t need and didn’t even want to. He remembered thinking about most of those purchases: “I’m tired of worrying about money. It’s a tool and I’m going to spend it. ” I did, and that’s okay, but I could spend that money on things that I care about. In short, I have the freedom to spend, but that doesn’t mean I should be spending. I like the way the Doctor on FIRE talks about it:
Freedom to spend doesn’t mean you have to or will spend all those extra dollars. This means that you have enough money to do it without putting your financial future at risk. If you … strive to achieve a net worth that qualifies you as not only independent but also financially free, you must decide how you will use those extra dollars.
In so many words, they explain that there is a balance between accumulating so much money that prevents you from enjoying financial freedom, and spending so much that you lose financial freedom.
In other words, money is meant to be used, but you also need to make sure you have enough to use it. Therefore, it is important to reevaluate your habits from time to time, especially when your financial philosophy has changed, just to make sure that your habits are still in line with your goals. To learn more on this topic, go to the full post at the link below.
Financial independence versus financial freedom | Doctor on FIRE