Needs vs Wants
Hey, hows things?
Over on my side, we are settling into a ‘new normal’, a slower pace of life and busying myself with a spotless home and time with my family.
I won’t lie, it hasn't been easy, despite sharing so much positive stuff, I do break down. I often notice it happens on evenings when my mind goes into overdrive and I'm trying to relax. However, as time goes on, I realise I am coping with things better and it is happening much less frequently.
As previously mentioned, one of the first things I did when I found myself on a low income, was communicate with all my utility bills. It gave me the opportunity to be proactive and arrange some sort of agreement rather than be chased up with red letters and feel stressed.
Another thing I did was a ‘Bill Audit’, I wanted to be sure, I was not wasting money and keeping my cost of living as low as possible especially if it meant I was going to be living off less. Whilst conducting the bill audit, one of the first decisions I made, was deciding if it was a ‘need’ or a ‘want’.
What is a Need?
A Need is a utility you have to pay to help you survive such as Rent, Council Tax and Energy. During uncertain times, I always ensure I prioritise this over debt. It could also be those bills where you have a contract with and you have to make those payments such as a phone contract.
What is a Want?
A Want is a bill you may pay for monthly but not necessarily need. For example, a gym membership, Netflix or Spotify. These are all ‘nice to have items’ but there is no commitment, you can often cancel at any time.
So what did I do?
Once I realised, I would be on a much lower income, using my online banking, I decided to list all my bills down and question if they were items I needed during this time? If the answer was no, I cancelled them.
A few of the items I cancelled were:
Over on my side, we are settling into a ‘new normal’, a slower pace of life and busying myself with a spotless home and time with my family.
I won’t lie, it hasn't been easy, despite sharing so much positive stuff, I do break down. I often notice it happens on evenings when my mind goes into overdrive and I'm trying to relax. However, as time goes on, I realise I am coping with things better and it is happening much less frequently.
As previously mentioned, one of the first things I did when I found myself on a low income, was communicate with all my utility bills. It gave me the opportunity to be proactive and arrange some sort of agreement rather than be chased up with red letters and feel stressed.
Another thing I did was a ‘Bill Audit’, I wanted to be sure, I was not wasting money and keeping my cost of living as low as possible especially if it meant I was going to be living off less. Whilst conducting the bill audit, one of the first decisions I made, was deciding if it was a ‘need’ or a ‘want’.
What is a Need?
A Need is a utility you have to pay to help you survive such as Rent, Council Tax and Energy. During uncertain times, I always ensure I prioritise this over debt. It could also be those bills where you have a contract with and you have to make those payments such as a phone contract.
What is a Want?
A Want is a bill you may pay for monthly but not necessarily need. For example, a gym membership, Netflix or Spotify. These are all ‘nice to have items’ but there is no commitment, you can often cancel at any time.
So what did I do?
Once I realised, I would be on a much lower income, using my online banking, I decided to list all my bills down and question if they were items I needed during this time? If the answer was no, I cancelled them.
A few of the items I cancelled were:
- Spotify
- Audible
- TV Licence
|
What are the benefits?
Keeping the bills low during this uncertain time has given me so much peace of mind, I know there is a lot less money I need to pay the bills and as a result I am much less stressed. It also gives you the opportunity to review and audit your payments. All you need is online banking and then head to your Direct Debits and Standing Orders.
Freebie?
To help you save money, I have created a freebie printable which will allow you to conduct a brief exercise to see whether you class each bill as a need or a want? It will allow you review how much you spend on your wants monthly and if you can afford it. Better still, it will also allow you to question to cost of your wants annually and see if you are happy with the total. PS This can be a real eye opener.,
Keeping the bills low during this uncertain time has given me so much peace of mind, I know there is a lot less money I need to pay the bills and as a result I am much less stressed. It also gives you the opportunity to review and audit your payments. All you need is online banking and then head to your Direct Debits and Standing Orders.
Freebie?
To help you save money, I have created a freebie printable which will allow you to conduct a brief exercise to see whether you class each bill as a need or a want? It will allow you review how much you spend on your wants monthly and if you can afford it. Better still, it will also allow you to question to cost of your wants annually and see if you are happy with the total. PS This can be a real eye opener.,
Latest Youtube Video |
FMF Budget Planner |