I know it is easy to spend money. We are bombarded daily from television and radio ad. Sometimes it seems that every place we go there is someone who want us to give them our hard earn money. This makes it a real effort just to live within our means.

To many of us the temptation is to live above our means. In the past few years we, as a nation have learned we cannot live on credit. We cannot live above our means, it will eventually catch up with us.

I have notice those people who have not been greatly affected the current recession have been living below there means. They had a good cash reserver. They have been saving money.

If you needs some reasons to live below your means, well I have given you 10 of them.

1. Medical Bills - Medical insurance companies are cutting back on their coverage. This means we are going to have to pay more money out of pocket.
2. Car Repair – Just this week a friends car broke down. It was $2,000 plus and one week before she was on the road again.
3. Vacation - Most families like to get away from home, work and the route of live in the summer months. If there is no money set aside for this, then just getting away is so much harder.
4. Birthday and Anniversaries- Depending upon the number of friends and family that you buy birthday and anniversary presents for each year, could be in thousands of dollars.
5. Helping Others In Need – Earthquake in Haiti, or homeless person on the street is a time we see or hear about people less fortunate than ourselves. It is for these people we want to give a little more to the Red Cross, or other local charities to help them in their time of need.
6. Funeral Are Expensive - Having money when relative dies makes one less worry. There is always the big funeral expense, along with getting family together.
7. Bigger Down Payment – The more money you put down on a house the lower you month payments, and lower you the interest rate. Then there is always moving in expenses. I also want to mention general up maintenance and repairs.
8. Bargaining Tool - Cash is greatest bargaining tool when you go to buy a big ticket item like cars, furniture, houses, or that yard sale must have.
9. Unemployment - Many of people have experienced getting being unemployed for several months if not a year or two. Unemployment benefit does not give enough.
10. Emotional Security – Having money in the bank is always a form of security. It will reduce stress. The “What if this” or “What if that bad thing will happen”. Money in the bank gives you emotional security from those fears.

Tell me how you live below your means. What is you biggest motivation?

Tags: Anniversaries, Birthday, Car Repair, charities, Funeral, Medical Bills, Red Cross, Unemployment, Vacation