You Are Money's Master - Financial Fasting and How To Control Your Spending Using the Principle of Kaizen: One Small Step At A Time

One financially-related activity that I like to perform as often as possible - especially when I've gone through a bout of either over-spending or a period of reduced cash flow - is to force myself to not spend at all for at least one day a week, if not the entire week. It's an activity that's similar to fasting, and like that activity, can help you purge pysche of spending guilt, and maybe even help you on the road to financial recovery.

I got the idea from a yearly event where, on a specific day of the year, you are encouraged not to buy anything. Obviously, there are many people who are not going to promote such a day, so you may not have heard of it. In fact, I'll be honest and say that I can't remember what day of the year this unofficial event is on. But that doesn't mean you can't follow its principles on any other day. In addition to this "spending fast", I also apply the Japanese principle of Kaizen (originally part of the Chinese principles of the Tao te Ching). Kaizen is the practice of improvement through slow degrees, or one small step at a time.

Try it yourself. It's not an easy task, and you may only be able to accomplish it for one day a week. Or you may manage to go through it for a few days, but then go through spending withdrawal and end up spending more after this "fasting" period. If so, fight that withdrawal by spending very small amounts. Spending addiction almost always exists due to depression or feelings of low self-esteem. To fight such addiction is not easy without solving the real problem, but I find that my "spending fast" helps me. Applied regularly over a long term, it has helped me not only reduce my "urge" spending but also to live on a smaller budget.

Here's the easiest way to start: pick a day of the week when you typically don't spend very much. For many people who work a regular 9-5 job, this day is Sunday. People tend to stay at home, do laundry, or visit family members. Remember, the idea is to not spend a single cent, including debit cards, credit cards, etc. If this impossible because you need gasoline or a bus ticket, or some other "necessity", then give yourself a very low limit of, say, $3-5. Then next time, try reducing this limit or buy gas or transit tickets on a different day. Or consider a monthly pass.

Curtail all your spending for a single day each week. This means no going out to dinner, nor even buying a packet of chewing gum. The goal is no spending in any form. You can, however, use any coupon that does not require you to spend any extra money, including taxes.

As I said, you'll probably go into withdrwawal at first. So spend only on items that are an absolute necessity. If you are aware of your daily habits - such as coffee or chewing gum or croissant, etc. - then try to abstain one item at a time. Even if it takes you weeks to accomplish a wholly spend-free day, that's better than never getting there if you give up. Go slow.

Perform these "financial fasting" periods properly and without anxiety, and you'll experience a catharsis that actually boosts your feelings of self-worth. This creates a positive feedback loop, which allows you to continue this activity. Similar to the way that food fasting clears your body of toxins, financial fasting helps you slowly clear your mind of negative perceptions about money and yourself. Just make sure, however, that you have some long-term positive purpose selected for the money you save: it'll help you to continue these exercises.

(c) Copyright 2005-present, Raj Kumar Dash, http://smackeroonies.blogspot.com

Technorati : debt control, debts, financial fasting, kaizen, one step at a time, saving money, spending addiction, spending guilt