What is a No Spend Challenge and how do you do it?
People dedicate a month (e.g FebFast or Nospendver) to doing a No Spend Challenge.
I’ve done a few when I feel my spending has started to get out of control.
It really helps you evaluate what you are spending your money on and change those habits.
For the rest of this year, unless it is a pre-planned purchase, it’s not happening.
My goal is to clear my personal loan and I won’t do that unless I reign in spending and maximise income
What is a No Spend Challenge?
How do you do it when you have regular expenses that cannot stop such as rent, groceries etc?
I’ve done a few No Spend Challenges and they can really make a difference.
Here is how I do them, my tips and the difference it makes for us.
Plus I will share the one we are doing this time with stricter rules.
Disclosure – this post may contain affiliate links.
What is a No Spend Challenge?
A No Spend Challenge is a challenge where you don’t spend money on anything other than essentials.
For example, all bills get paid but you can’t go on a spending spree for clothing.
Groceries are still purchased but don’t get all the junk and treats or impulse buys.
It helps you see where you a blowing your budget and can often help break bad habits.
With the rising cost of living, this is becoming daily life for more and more people.
A No Spend Challenge might not be for everyone but it is worth a try as you never know where you might be accidentally blowing some money.
No Spend Challenge Rules
It is your choice how you do this part.
Personally, I am fairly strict but how you choose to do it is up to you.
Here are some common rules:
Only spend on essentials including rent/mortgage, internet, electricity, phones and similar bills.
No extra treats in groceries or takeaway food.
Learn how to reduce waste/reuse leftovers.
All extra family activities and hobbies must be free this month e.g. 37 frugal activities for families (enrolled sports etc remain).
No alcohol or sweet drinks in general. Quit those energy drinks and drink only water.
If anything breaks, try to fix it first or go without.
Budget for the replacement but don’t replace it yet if it can be avoided.
My Specific No Spend Challenge Rules
Since I am doing this until the end of the year, I need to take into consideration a few things such as Christmas.
Stick to the Christmas budget.
Repair everything in my pile to repair
Sell off anything we don’t need and think about how much money I blew!
Use the library instead of buying books
Check out the share economy options for renting/borrowing before buying anything
Compare the time vs money cost of everything I do during this time too. Analyse if it is worth my time and energy or if there are better options.
Ways to Reduce or Eliminate Expenses in No Spend Months
Some expenses creep up on us so it can be useful to cut right back, evaluate everything we are doing and adjust accordingly.
Here are some extra tips to consider during this time.
DIY Beauty
Many beauty services such as manicures, facials, colouring your hair etc can be done yourself with a tutorial.
Check out 7 tips for beauty on a budget.
Eco Friendly Swaps
Look at things you currently spend money on and how you can change to a more eco-friendly/sustainable and usually budget friendly option. We have some suggestions in this article.
For example, a menstrual cup or disc or period underwear instead of pads and tampons.
Cleaning clothes instead of paper towel.
Metal straws and drink bottles.
Water filter instead of buying bottled water.
Car Service
Get a professional to do the big things but consider looking at the smaller stuff to do yourself. Use these 10 tips from a female mechanic to help you.
Please make sure you continue to service and insure your car. A no spend challenge should not eliminate these things.
Health
Do not put off dental or medical appointments because you are doing a no spend challege.
Delaying these things can cost you significantly more in the long run.
A dental clean and check every 6 months now can save you from root canal in the future.
Read how to save money on medical even if you are on a low income.
Delayed Gratification
Anything we want goes on a list and needs to wait.
If things break, fix it or wait to replace it and shop around unless it cannot wait.
This is something we do in general anyway and my kids can use the phone to take photos of things they might want in the future.
It reduces impulse buys easily without tantrums.
How to Stop Spending
This is the hardest part for many. I wrote 10 tips to help you stop spending.
A few things that helped me were starting a delayed gratification list, avoiding the shops and unsubscribing to all emails.
The delayed gratification list is where I write all the things I want then leave it for 30 days.
At the end of 30 days I can review the list and if I still want those things, I will budget it in.
How to Avoid Temptation
Temptation can be everywhere.
So whatever you decide to give up, avoid it or work out a compromise if you need to for parties or social events but for the most part, try to change your habits this month.
If drinking is a big thing in your social circles, consider trying 0% beers and other drink options.
The taste is the same, the look is the same so you will fit in but it is typically cheaper plus no alcohol so you will feel better.
Read 5 tips to deal with temptation for more help.
Be Accountable
Join us on Instagram and in the Facebook group to share your No Spend Challenge, any tips you might have, the rules you set for yourself then your progress.
I love hearing how others are doing it.
Transfer the Temptation
An extra thing I do is transfer the amount when I am tempted.
For example, if I was going to spend $30 on something but put it back, I transfer that $30 to debt, savings or investing because I would have spent it anyway.
You see, not spending is one thing, actually saving what you aren’t spending is another.
It is interesting to see the difference at the end of a month.
If you want to hear how it goes, be sure to follow on social media below and sign up for the newsletter.
Come join me on Instagram, The Thrifty Issue Facebook Group and The Thrifty Issue Facebook page to see more about what I do.
