So my monthly contribution to the Freedom Fund was $1,500. Then I got a raise, and I thought, well, I can bump up my contribution to $1,700, effectively wiping out all (and then some) of my raise.
Me: 1. Lifestyle inflation: 0.
THEN, in a sudden burst of ambition (or blind optimism), I decided to up my contribution even further to $1,800 a month. This means that I’ll be living on less now than what I’ve lived on before the raise.
The best scenario is if I completely forget about the extra money going towards Freedom, and adjust my lifestyle accordingly to the now lower cash level in my bank account. The worst that can happen is that I find out I can’t swing an extra $100 in savings, at which point I’ll need to re-examine my spending habits OR my savings rate. ‘Cause, personal finance shouldn’t make me miserable.
It’s just, you know, I feel like I should be able to have a full and happy life living on less than I do now (not MUCH less, but a little less). I spend enough money that $100 shouldn’t be the difference between “happy” and “miserable”.
I ran some numbers, and found that I CAN save $1,800 a month. I’ve also found that to align my spending with my values (more experience, less stuff), I need to cut back on buying things and increase spending on traveling. Which I love. Even a short weekend trip makes me so happy. Therefore… it should be easy to resist the impulse to buy the next time I see a cute pair of shoes. Right?
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You have some good thoughts. And I agree about the travel bit… Good luck!
that’s awesome! i wish i was in a position to do the same
being jobless means zero raises lol
I love the idea of buying less stuff, going on more trips. I’m doing the same thing! The only catch is that you need to make sure you don’t plan a trip where you want to buy a new outfit for an event! or a swimsuit (which is the problem I’m having for this weekend).
Go Well Heeled! Way to save!
Great plan. As a part-time grad student and full time worker, I have to cut out a lot of shopping and other treats to be able to do a yearly get away. But you know what? Every time you are tempted to buy some little thing that will amuse you for a few days/hours/minutes (shoes, pizza, etc.) just focus on your TRIP at hand. It’s very compelling. Especially for me when it’s winter, -35 C outside and every minute I’m wishing I was on a tropical beach somewhere… it’s easy to remember the trip!
I also wanted to mention, don’t think of your new goal as just $100/month… think about it as $1,200 at the end of the year. What do you want that costs that much? It might cover a vacation, laptop, or a class you want to take. Then think, what am I spending it on right NOW? I did this with my “eating out” budget. I cut back $100/month because at the end of the year, I would feel ridiculous saying I spent $1,200 of hard-earned, after-tax dollars on take-out PIZZA! I know there is a place for that kind of thing, but I would much rather be on board a plane going somewhere at year end than saying I ate that much take-out, martinis, or whatever the case is…… just a different perspective for you. Good job though all around!!
I just did something similar. Good luck!