Money: What Is ‘No Spend November’, Will This New Trend Work?
Written by luma on November 25, 2024
The personal finance world is awash with different strategies and challenges aimed at reducing spending, avoiding debt and bulking up savings. This time of year, you might encounter people trying out “No Spend November.” But finance experts warn this challenge is not for everyone, and there are some serious drawbacks to consider before you embark on it. “No Spend November is a challenge to avoid spending on anything outside your essentials like rent or mortgage, groceries, health care, bills and gas,” explained consumer finance and budgeting expert Andrea Woroch. “The idea is that there are many spending temptations this time of year and the holidays often lead to debt.” By committing to the challenge, you’re making a conscious effort to reduce thoughtless spending and build up your savings. “Some people may do this to bolster savings for gifts and other holiday expenses … while others may do it to simply reduce wasteful purchases that inevitably come about this time of year,” Woroch noted.
By pressing pause on nonessentials, you can get comfortable saying no and become more intentional with your financial values. As we enter the holiday season, retailers are also dialing up the pressure to buy, buy, buy. No Spend November helps consumers resist the temptation and avoid impulse purchases. “No Spend November isn’t actually about spending nothing ― it’s about only spending on necessities and avoiding discretionary spending,” said Bobbi Rebell, a certified financial planner and personal finance expert at CardRates.com. “That said, it is up to everyone to set their own rules, and exceptions are often made for things like holiday gifts that are planned. The same goes for planned social activities.” That said, the extreme level of commitment to saving that a true No Spend November requires comes with potential downsides. To read more Click Here.
Source: Huff Post
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