I like spending money on shiny gadgets. I don’t live like a hermit. But intentionality in spending is what brings me closer to financial independence. I don’t like throwing money away.
Not Spending Money is not an Option
Lots of people seem to think that reaching financial independence is about never doing anything fun. About living in a dump, only eating shitty foods, and never going on holiday.
To me, this couldn’t be farther from the truth. Becoming financially free to me is living life and spending intentionally. I don’t want to throw money away, but I also like to live the good life.
And living a good life means that sometimes you have to pay a bit more to do something awesome. Yes, that’s true, sometimes you have to spend a little bit more.
Intentionality is Key
This word is what separates wasting money from using money. Intentional spending is so much more than not spending anything. It makes you think about what adds value to your life, and then spend money to gain that value.
One example is the new laptop I bought October last year. It’s a shiny, expensive Apple product that is probably a bit overpriced for what you get. Yes, it costs a shit ton of money, but I get a lot of value out of it.
One of the things is that I use my computer a lot. Not only to write my blog but also to record and edit my podcast.
Besides using it a lot I like working with good equipment and this laptop certainly feels that way. The battery life is great, and the life expectancy is several years more than most cheaper laptops. So yes, I pay a bit more up-front, but I expect to be able to use it for much longer. The “monthly” costs are maybe a little bit higher, but not double. Plus, I saved for it and didn’t use my investment money to buy it.
Spending Money is Fine
You have to get into the mindset where spending money is fine. If all you do is restrict yourself, you won’t live a happy life.
Going out for drinks with friends is fine. Even better is inviting them over for drinks at your place, but going to a bar isn’t necessarily bad.
The same goes for booking nice holidays. Whether they’re short trips to explore a beautiful new city or a longer trip to someplace far away, the experiences are worth the money. At least to me it is.
The key part in spending money still is intentionality. If you are intentional about what you spend, you give it meaning. Prevent spending without thinking. This is one of the top tips I would share with people that are looking to get started with financial independence.
This intentionality led me to spend my airline miles instead of money on our holiday flight.
How do you apply intentionality into your life?