While the world, or at least Denmark, is heading towards a "cashless" society, today let's consider a counter-intuitive idea, the all cash diet!
It's definitely a novel idea, the all cash diet although it is likely to make you consider the following things:
- How much you are actually spending?
- Do you really need that extra block of chocolate when you're handing over cash instead of credit?
- You'll start to have more of a connection when you buy an item rather than a buy now and pay later mentality
- You may run out occasionally and need to watch what you're spending
- Splitting bills will be easier :) (a positive upside)
The cash diet is likely to be a mind-trick to help you create a habit to follow. While the act of spending cash only alone will not be what makes you successful, it is likely the habits created, which will help you gain greater control over the way you spend your $$
How does the cash diet actually work?
As the name suggests, an all cash diet means you use only cash, if you haven't got the gist of it yet and think we're stark crazy for putting forth the idea hear us out:
- First of all get clear on a few goals for a budget
- Once you've got the budget you'll know how much you will need in cash
- Decide how long you will go on the cash diet (generally a week is the minimum and 3 months is more than enough time)
- Leave the credit cards at home; ohhh now that hurts right?
- Write down every 3 days how you are feeling on the cash diet
- At the end of each week you'll clearly be able to see how much you've spent
This may sound like a challenge for you and what you are really looking to do is hold yourself accountable for where you're spending money or at the very least how much you are spending. The first step to financial recovery is acknowledgement right?
Okay we'd love to hear if you took up the challenge how you went?
What is the main area you struggle about with your money?
We'd love you to comment, like and share.
Remember to live your Money Glee!