Before I graduated from university money was tight. My adult life, until shortly before I got married, was spent not spending money. No, really. Money was so tight that a $5 banking error could have meant complete destruction. I relied on the good will (and good cooking) of family and friends to pad out my grocery budget (I rarely turned down a free meal!). On more than one occasion, I had to call the power company to get my electricity turned back on. I had to cancel my phone. I didn’t have cable TV. I didn’t own a car for a while.
Or, to put it another way, I lived on such a meagre income that there wasn’t even enough money to make a budget, let alone live by one!
But the lessons I learned about pinching pennies and denying myself luxuries like haircuts, clothes, and shoes meant that when I finally had a healthy income, I had more money than I knew what to do with. And that meant that my savings account grew, and that my spending increased. Oh yes, I had disposable income. And I used it!
And when I decided to quit my job and return to Scotland for graduate school, I used those early penny pinching skills to pad out my savings account. Of course, now I’m back in scarily familiar territory again: I’m poor! I have no income and I have a limited budget. So, once again, I have to pinch pennies and deny myself luxuries.
Thankfully, I’m prepared. For nearly two years I’ve prepared myself emotionally and financially for this adventure. But I fear that no amount of preparation will stave off the fears I have about things not working out the way I want them to.
I am constantly fearful that I’ve done the maths wrong or that I’m kidding myself about how much things will cost. I am also aware that, with no income, the money I spend will not be replenished and I fear that watching my bank balance decrease over the next several months will cause me to be a little over cautious with my money. Yes, I fear that I will start denying myself too many things, in an effort to hold on to as much of my money as I can!
All of that said, I am not broke. I can afford this adventure. And if everything does go wrong, I have the option of moving back to my parents with my tail between my legs.
And so, I’ve managed to work out a new budget for the next year. And I’ve done it in part by looking at emotional triggers. Like I knew that living in a squalid rat trap would make me sad, so I’ve put a bit more money towards my housing budget than I originally planned. And I know that I like some of the finer foods, so I’ve increased my food budget so that I can have fresh salmon and quality steaks for dinner from time-to-time.
But those higher budgets mean that I have to sacrifice a bit elsewhere. I will have to scrimp on things like weekend city breaks. My clothing budget has been slashed (not that it was ever that high in the first place). My booze budget is almost gone—no more fine wines, premium beers, expensive Scotch (sorry, whisky), or fine Cognacs.
It’s not really a complaint. I mean, I’m the one who chose this path. I’m the one who made the decision to give up her middle class lifestyle. I’m the one who decided to take this adventure out of the dreaming stage and into reality. And I’m mostly excited about it. I just need to re-learn what it’s like to be on a strict budget. And I need to try not to let it make me sad!
As I said, I’m not really broke nor will I be forced to eat rotting food ‘salvaged’ from back-alley Dumpsters. It’s just that I can’t decide—on a whim—to buy the latest-and-greatest gadget or that really pretty green dress that’s not even on the sale rack. And I will be looking for occasional work to help my budget—and to allow me splurges from time-to-time. [I’ll put in a quick plug for my freelance gig. You know, just in case you have someone to recommend me to!]
So, now that I’m just over a week away from moving into my new flat, I need to really remember to stick to that new budget! And that’s where you come in! I’d love to hear any great ideas for living on a budget—including ideas for entertainment and home decorating. And great ideas for recipes for cheap food that looks and tastes expensive!
Yeah, I’m looking forward to having a proper income again so that I can splurge on things like name brand shampoo!