Many people in this country are dealing with a staggering amount of debt. The debt starts to accumulate as people enter college and just continues to grow as major purchases are needed, like a new car, a home, furnishings for the home, health care costs along with purchases that are not necessary but are just fun things that people want. When looking at the total amount of what it owed people may start to feel overwhelmed and do not know where to start to shrink that amount. Some people choose to start a spending fast as a way to save up more money to pay off their debts while cutting their costs.
A spending fast is when people cut out all spending that is not related to necessities. A necessity would be mortgage payments, car payments, insurance, food, medicine, utilities, fuel, etc. Anything that is not required to live does not get purchased. This means that things like fast food, fancy beauty supplies, new clothes, trinkets, knick-knacks, the daily coffee fix and any other extra will not be purchased during the time of the fast. It is up to each individual person to set their own guidelines for what is a necessity and will be bought during the fast and what is not a necessity.
It is important to keep in mind the whole purpose is to cut spending and to save money.
When starting a spending fast there are things that need to be considered. The first is how long the fast will take place. Because the point of the fast is to get spending in line it should ideally take place for a few months. Then after it has been determined how long it will last, then plans need to be made on how to handle things that will not be purchased. For example, if haircuts from a salon are out, then will the haircuts be done by the saver or will a family member be chipping in to help for free or a lower cost.
After the spending fast has been started, the person should be aware of what the plan is for the extra money they will have after extra spending has been eliminated. Will the money be saved away for a rainy day or will it be used to pay down debt? If it is going to debt, it is best to decide what it will be used toward. For example, will it go to credit cards or a student loan? If these things are decided before the spending fast begins it is easier to follow through with the plan because a clear goal has been set.
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