The Rachel Cruze Show - 5 Easy Habits to Build Wealth Faster

Starting point is 00:00:05 Hey, you guys. So the state of the economy is constantly changing, but the temptation to overspend is always a constant factor no matter what the headlines are saying, which is why I want to share today five easy habits that you can start implementing today to keep you on track with your money goals. So make sure to hit that subscribe button and we will get started. All right, first and foremost, make things visual. Meaning, when you actually see what you're spending, you're going to feel it a little differently versus if it's just up in the cloud. Meaning, back in the day, when you would use actual cash and you visually saw how much money you were spending, you know, on groceries or at the mall or whatever, wherever it was, you actually saw real money leave your hands. And stats always

Starting point is 00:00:51 showed that you spent less when you spent with actual cash. And I really believe there was a power in visually seeing your money leave. Now, we are living in our world today where it's becoming more and more harder to use cash so people are not using it as much. So I want to be able to encourage you to find another way to make things visual when you're spending your money. So that could be keeping receipts. That could be tracking transactions in the every dollar app. Whatever it is, looking at your bank statements, I mean, I want you to visually see where your money is going. Because, again, when you're just swiping a card, even a debit card, but you're just swiping, thinking, okay, yep, I mean, I think I have enough in my account and you just move along your day,

Starting point is 00:01:33 it's really, really hard to emotionally realize, gosh, I really am spending money. But when you are tracking that transaction in the every dollar app, you know that's how much I spent at Costco, which I did today. You know, this is what I spent here or there. And you actually are seeing money being moved around in the budget, knowing that that is actual dollars and cents. And so I think that emotional part is really, really important. And so if you're working towards a specific financial goal, keep a chart on the refrigerator even for your milestones and say, yeah, you know, here visually, here's where we're at. A lot of people do this when they're paying off debt.

Starting point is 00:02:10 You know, they'll create like a line and they'll color in the line until they get to the end. Or people will do rings and they'll rip off a ring every thousand dollars they pay off. Or maybe you're saving towards something. And so you color in a graph. I mean, that happens all the time because people are doing it because it's so helpful and it's motivating when you actually see. your money visual in this world that is so digital. The second is to wait. And I always talk about this because so much of overspending can come just from the adrenaline of shopping, right? When you are shopping, stuff is happening even chemically in your body.

Starting point is 00:02:44 We get excited. It's so fun. It's like our brain kind of shuts off and we're just spending money and shopping. And you end up overspending when your emotions take over. But when you wait, even just go to bed. and then the next day, re-look at your purchases. It is amazing when those emotions die down to realize,

Starting point is 00:03:02 okay, I may not really need this. Or what I even do is just add things to cart, and then I'll come back a day or two later, and half the stuff, I swear, in the cart. I'm like, yeah, I don't really want that. I don't really need that. But when you're in the moment, it's so instant, and again, you're going to tend to overspend.

Starting point is 00:03:17 So when you wait and actually say, okay, you know, do I want this or do I not? I think it's really key. I just did this recently with Target. And sadly, I did not follow my own advice, vice recently because I saw these pair of Target boots. I was like, oh, those are cute. So I added them to my cart. And then I saw another pair that was rounded toe not pointed. And I was like, oh, and those might work too. And then I saw some brown ones. And then I saw ones with a different heel.

Starting point is 00:03:40 And I was like, oh, like, I literally bought four pairs of boots. Had them delivered. Got them. And I was like, well, I don't need these. I did keep two of them because I actually did want the brown and the black. But I sent the other two back. But if I had waited overnight, honestly, I don't think I would I had to go in exchange or return things because I probably wouldn't have bought them in the first place. So I have to say this to myself. Just wait. Don't be spontaneous when it comes to your spending.

Starting point is 00:04:06 All right. Number three is to say no to add-ons. This is really going to help you not overspend. So this could be things like, oh, you can get the shipping in 24 hours versus five to seven business days. You're going to spend more there. Or if you're buying and like, well, you get free shipping. If you spend, you know, $18 more, and then you go to buy.

Starting point is 00:04:25 something and everything is $25 plus, you end up spending more just to get one item to get the free shipping. Even extended warranties, you guys, listen, I mean, a lot of those, they will add on money and it sounds good in the moment, but you end up not usually using them and you end up again adding on some extra dollars and cents. And also travel insurance. So this is something that people really debate on. But depending on the situation, you know, there may be a chance that you're like, yeah, I'm not going to do travel insurance because maybe the trip is closer in time. Maybe it's something that you can cover or the hotel, you know, gives you like a 24-hour cancellation policy.

Starting point is 00:05:03 Like whatever it is in your situation with your travel, you may not need travel insurance and that will save you money as well. All right. Number four is to take inventory of what you already have. So go look in your pantry before you go grocery shopping. Go look in your closet or even your friend's closet. If you're needing like a cute dress for a party, don't. feel like you have to go and buy something. Maybe you have something that is in your closet now,

Starting point is 00:05:26 or again, ask a friend to borrow something. And this also helps when debating a bigger purchase, like a nice kitchen appliance that maybe you're thinking, okay, maybe I'll save up and pay for it. Try it out first and challenge yourself, hey, do I actually use what I have already? I mean, even think about like a blender. Like, you know, they have like Vitamix, like the really nice blender. But if you don't use your regular blender now, are you going to use a blender, right? Or an air fry or like all this stuff, especially in the kitchen, all these gadgets. If you're not using it now anyways, if you have like a similar version, then don't upgrade to a nice one if you're not going to use it. And this is so key because when you don't overspend, you actually have margin in your budget.

Starting point is 00:06:05 And this is why I love my 24-hour money finder. So make sure to check it out. I'll put a link down below. But this is going to help you go through your money situation and in 24 hours, find you some extra money. All right, last but not least, write it down. to not overspend, write it down, and have a plan on what you're doing. So the grocery store is a great example of this. Have a list. Know exactly what you need for what you're making that week or in those couple of days and just say, this is all I'm buying.

Starting point is 00:06:34 Or even if you go to Target, you're like, okay, you're buying, you know, a birthday gift, diapers, bananas and shampoo. Like, whatever the thing is. You're like, this is what we're buying and nothing else. I'm not going to go get a new throw blanket or a candle. No, we are sticking to the plan. And again, it's kind of back to that, making it visual idea that when you actually know this is the plan and I'm sticking to this versus having everything in your head, it is really, really helpful.

Starting point is 00:07:03 And sometimes it helps to give yourself a time limit as well, so you're not just aimlessly wandering through aisles if you're shopping in person. All right, speaking of targets, you have to watch my episode all about the seven target hacks you're missing out on coming up next. share this episode with a friend who loves a good frugal tip. And remember to take control of your money and create a life you love.

The Rachel Cruze Show - 5 Easy Habits to Build Wealth Faster

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