When to save money?

Saving money is pretty tough, there’s no bones about it. As you pay off your debts you’ll begin to think about saving money. For me, it was tougher to save money than to pay off the creditors.

I got so use to spending all my money minus my reserve fund that it was weird to have a little extra money and I did without for so long my mind was confused.

There are three mindsets you go through when you finally decide to get out of the hole your in and get out of debt.

The first mindset is the “get out of debt mindset”. The second mindset is “debt free” living. During my debt free mindset a host of unexpected bills came up. The good news is I was able to pay those bills (staggered most of them) and didn’t start saving for awhile.

The third mindset is the most difficult to accomplish. The mindset of “Saving”. I don’t have the answer, yet, to motivating you to save.

I can tell you that once you hit a few set-points it will motivate you to go further. Your set-point may be $5,000 thousand dollars in the bank. As soon as you hit that number it will spur something deep inside and launch you into the third mindset of saving.

The question is when should you start saving?

You should start saving the day you’ve paid off all your bills. The reason is simple. You’ll be in the habit of cutting checks to creditors. Now you can cut checks to yourself. I’ve heard of some folks using my $15 dollar a day strategy to save money.

I say whatever you do to save, keep doing it. But, don’t start saving until you’ve paid off your debts.

David…