Tips for Successful No-Spend Challenge: Rules & How to do it

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Are you feeling your income getting drained too fast lately? Most definitely, you are not the only person feeling this way. You should probably try cutting down expenses for a few weeks or wait until you get the next paycheck. What about following a no-spend challenge for a month?

These solutions mentioned in this article will boost your financial health and indirectly contribute towards debt repayments. Continue reading to know more about the no-spend challenge.

You successfully fulfil a no-spend challenge when you take up the determination not to spend anything for a definite period. It does not mean that you cannot buy anything necessary in conducting daily chores. But you should certainly refrain from purchasing things that you had never considered a part of the budget. 

You may follow this challenge for one month and even for a couple or few weekends. How sincerely you can stick to cutting down spending is more important than time.

1. Stock Up Necessary Commodities

There are certain items like grocery products, first aid kit, car essentials, etc., without which leading a normal life will be impossible. List down these products whichever is applicable in your daily life and consider creating a stock for the upcoming month or week. 

Though this can incur a considerable upfront cost, it will help you stay away from the temptation of spending extra money during the no-spend challenge. Also, many retail stores and online shopping portals offer discounts when you order commodities in bulk. So, you also get these facilities and save more money in the process.

2. Unsubscribe from Commercial Emails and Uninstall Food Ordering or Shopping Apps

3. Plan on Spending More Time with Family at Home

4. Leave Behind Money

5. Concentrate on Making New Plans Now and Then

6. Post Regarding Your No-Spend Challenge Online or Join a Community

Though apparently, the no-spend challenge rules may seem to be easy, it takes prep time when you train your mind not to get swayed by unnecessary stuff. Here is how you can put this system into place and get started right away:

• Select a Favourable Time

It is the first task on your to-do list when you have determined to take up this challenge. Referring to the calendar, is there any major occasion or event that is scheduled to take place in the upcoming month? Then you must consider skipping that month for valid reasons as eventually, you have to spend on those days. 

• Search for Free Activities Nearby

We are tempted to join some fun events or attend a drive where we can meet people and socialise especially on our off days. Often local bodies organise free gatherings to serve a cause. These events can take place in any temple, local park, art gallery, etc. If you come across news of these things, ensure to make yourself available. It will help you pass the time and not indulge in unnecessary expenses.

• Define a Weekly or Monthly Plan

When we are stressing about a plan, it will help the process if you pre-allocate whatever limited expenses cannot be avoided into various segments. It can be food budget costs, electricity bill expenses, etc. that keep on fluctuating from time to time. When you have planned the budget for each of these necessities you can regulate your actions accordingly. It will help you save a sizeable amount of money and help you towards your long-term money-making goal. 

• Get Your Close Ones Involved

It is a wise step to consider because it will help in bridging clear-cut communication. Moreover, they will also not tempt you to join an event or spend extra during that time as they know what you are up to. Family members and friends may even share additional methods on how to cut down expenses based on their experience in practical applications.

• Monitor the Progress

You can measure your performance in a no-spend challenge period by either setting up a calendar format on your mobile device or simply marking the days on a piece of paper. Continue striking off the days that you have successfully passed spending less or as per your plan. Then, the next step will be to determine how much extra you have been able to save in the process. Keep on repeating this process to stay agile.

Here are some of the well-proven benefits of a no-spend challenge:

• It Saves Money

Following a no-spend week allows you to save money for an upcoming event or family occasion. Even if the money is not utilised, you can experience the savings piling up in due course of time. 

• You Gain a Positive Money Mindset

As you start the challenge, you become more concerned about how not to exceed the budgetary constraints. This in turn refreshes your money mindset and you learn how to better control cash flow. 

• This Challenge Develops Self-control 

Without setting hard-to-follow rules we fail to lead a disciplined life most of the time. When you set harsh consequences in mind for cases when you fail to follow the no-spend challenge you automatically trigger situations that help you to cut down expenses arising from impulse buying.

Though the benefits of a successful no-spend month are pronounced per a group of financial advisors, there are some demerits as well:

• Focusing too much on savings can sometimes make you compromise on present needs.
• It can hamper your relationship with family and friends if you have chosen a terrible time for the no-spend challenge. 
• It can limit you from having fun which you could have otherwise experienced by attending once in a lifetime event.

The following motivating factors definitely fortify your willpower regarding why to start the no-spend challenge in the first place:

• To break poor spending habits
• To make the situation easier for debt repayments
• To save money for fulfilling long-term goals
• To stop impulse buying by instilling financial discipline for a set amount of time

The no-spend challenge is essential for individuals who usually live an unplanned life. It frequently becomes impossible for them to manage expenses, especially at the month's end, due to their unregulated lifestyle. This challenge helps you cut expenses arising from eating out, brisk trips, and frequent movie outings. 

Though these disciplinary acts may torment you in the beginning, with time as you enjoy the benefits you will feel more motivated. Gradually you customise the plan as per your needs to make things easy.