Challenge yourself with a no-spend Month

If you’re looking to supercharge your savings, a no-spend challenge may be a good way to start. A no-spend challenge is a period of time when you commit to not spending money on non-essentials. Many people do no-spend challenges for one month, but if that sounds intimidating, you could start small with one week, or even one day.

While a no-spend month may sound daunting, the challenge aspect may actually be fun. Learn how to complete a no-spend month to conquer your financial goals.

Evaluate your spending

Before you start your no-spend month, look at where your money is going each month. Review your paychecks, bank statements, and receipts. Next, divide your expenses into necessities and extras—the latter is what you’ll temporarily live without during the challenge. Then make a written budget so you can plan for the no-spend month.

Most necessities will be pretty obvious: your rent or mortgage, minimum monthly debt payments, groceries, medications, and insurance. Likewise, you’ll probably find spending categories you can live without, such as dining at restaurants or ordering takeout, manicures, or late-night online impulse buys. These should be added to your no-spend list.

Some categories may not be so obvious. Filling up your gas tank may be necessary if you drive to and from work. However, if you work from home, you may be able to cut gas from your budget and walk or bike when needed instead. Consider each expense before putting it into one of the two categories.

There may also be some things you could live without if you were forced to, but maybe aren’t worth cutting. For example, spending $8.99 a month on a basic Netflix subscription may be worth it to you because it buys you hours of entertainment and helps you avoid spending money on other things, such as more-expensive tickets to a movie theater.

Why are you not spending? set a goal

Cutting extras out of your budget isn’t going to be easy. You need to have a reason for not spending that money if you want to stay motivated. So before you get started, set a financial goal and write it down.

“Save more money” may not be a good enough goal because it’s very general. Instead, use the SMART goal format: Your goal should be specific, measurable, achievable, realistic, and timebound.

Don’t do it by yourself

A no-spend month doesn’t have to be a no-fun month. Try enlisting others—your partner or spouse, your kids, or your friends—to do a no-spend challenge as well. Not only can you hold one another accountable, but you can come up with ways to not spend money together.

For example, if you and your spouse have date night once a week at a restaurant, you could make a date out of cooking together at home every Friday instead. Rather than meeting up with friends for happy hour at a bar, you could take turns hosting BYOB happy hours at home on Wednesdays.

The Balance