Reason for and against a ‘no spend’ January

If you are new to saving money, have a large debt that you want to reduce, want to save for a holiday, or want to improve your spending habits, then having no spend months is a really good idea. It can act as a reset, or a pause button, and help change your mindset about spending.  It also helps you realise how much money that you might be wasting.

What are the rules of a no spend month.

You set the rules.  They can be what ever you want them to be as long as  money is only spent intentionally, and you are saving money on your normal monthly spend.  For some it is not buying anything extra except for paying the essential bills, a basic food shop, and petrol to get to work. For other people it may be only giving themselves £30 a month spending money to spend on what they want. For me it was  extreme and meant not spending anything except on petrol and milk for the month.  I would usually do no spend months in January (lots of food  and treats left after Christmas and cheap vegetables), July when the garden was producing well, and November when I had lots of food preserved from the garden and from foraging.

Does having a no spend month mean that I buy more in the month before?

The only things that I would buy the month before would be exceptional expenses that I knew I would need to spend during the no spend month. This might be a birthday present for some one close, or pay for a school trip if the money was needed during my no spend month.  Otherwise I would try not to spend any extra the month before.  I might make sure that I had enough fillings frozen for school lunches, or enough ingredients to make bread, but I would try not to spend any extra  money on food.  I used to do an inventory of my cupboards and freezer so that I knew that I had enough food for the month.

What happens if there is an emergency and I need to spend?

I needed to get a car tyre once during my no spend month and that is ok.  I just did the no spend a bit longer into the next month.  Buying something that is essential is different to buying myself some chocolate because I am craving.

Do I need a goal to do a no spend month?

I found that having a goal helped me.  I wanted to leave work and so the quicker I could pay off the mortgage the more of a reality that would become.  Initially when I started it was to take my children on a cheap coach holiday abroad. Later it was to build up an emergency fund so that I didn’t have to use my credit cards and so my debts could shrink.  I think it is easier to stick to if you have a ‘why am I doing this?’

Will it help me save much money?

It depends how far long your frugal journey you are.  I have been frugal for a lot of years now and so have got into good intentional spending habits.  If you are some one who goes to the shopping centre because you are bored, goes shopping as a leisure pursuit, or pops into the supermarket daily for treats, it can save you a lot of money.  One area that you can save money in is with leisure.  Finding free ways to entertain yourself for a month, or not getting take aways, or going out for meals, if these are things that you usually do, can save you hundreds of pounds.  Even though we rarely did these things we often saved enough to have a cheap family holiday.  Now I probably wouldn’t save much at all as all of my budget is spoken for, and I rarely spend unintentionally.

Can I cheat, and if I sell things use that money to spend instead?

That is up to you.  It might not help you change as many habits but might make you learn more.  Maybe a good compromise would be to only use half of any extra money that you earn from selling things or taking gifts back.

The main gains I got from doing a no spend

I used to think that my income was so low that there was no way that I could save money.  I was confronted with the fact that there was actually spare money and this was just an excuse.  My no spend month boosted my confidence.  I saw how just the little things like a chocolate bar, an item from the charity shop that I did not need, a magazine, added up.  I also started being creative about ways that I could stop spending money like walking more, saving on waste with food, local free entertainment, and putting more effort into things done at home eg making a ‘fake away’ meal, or using the best china tea service to make a meal special.  I saw a way forward to get myself out of the debt hole that I was in.

Over the 30 days my mind set changed.  I loved seeing that I still had money in my account that I could save for a holiday, or pay off some more of my mortgage.  The new habits stayed with me and became part of my every day life.  I felt in control of my finances for the first time.  I started recognising my bad habits that were costing me money for the first time eg buying a chocolate bar every time I filled the car up.  It helped me refine my priorities. and what was important to me.  Having to do an hour less over time a month was better than eating those chocolate bars.  It helped stop my emotional spending.  I realised when I was sad and looked for more positive ways of dealing with that like journaling, or a walk in nature.

My no spend months gave me an incentive to look for other ways of providing food and so I started foraging, growing and baking more.  I became more grateful of what I already had, and more aware of it, too.  It gave me time to do my hobbies, watch a film, or look for a local walk.  I did some decorating of the house, or spent more time gardening.

What makes sticking to a no spend easier?

Making it a challenge rather than thinking of it as deprivation.  Getting the family involved helps as well.  Maybe you could remove apps that are usually a temptation, and go out without your credit card.  If you are going out for the day you could take a drink and a picnic, home made treats, or do activities like making a treasure hunt.  Make things special like meals, or make popcorn or hot chocolate if watching a film.  Spending time as a family playing games or doing activities is a reward in it’s self.  Keeping busy and being occupied helps the month go faster.

How will I know what I have saved?

I used to keep a tally of all the times I was tempted, and what I had saved, or if we had not done something that I would have normally spent money on.  I had a lovely little notebook to write this in and I loved filling it in each evening before I went to bed.  When you see what you have saved at the end of the month it will blow your mind and make you want to do another no spend  month.  It really boosted my self esteem.  Try not to go crazy after the month ends and blow all the money saved, though.  Do something positive with it that will benefit you or your family.

What happens if I break my no spend?

Just be compassionate with yourself, revisit why you are doing this, and what your goals are, and start again straight away.

Why I no longer do no spend months

I tend to do as many no spend days as I can each month as I now have the good habits.  I find that there are a lot of bargains in January that I want to buy for the next Christmas, or to save money on food.  My whole annual budget is spoken for and so now that I am retired I am not actually saving anything as all of my purchases are intentional.  I could not have learned to do this without learning through no spends, though.  If I see things reduced that I need now, whatever month it is, I want to be able to take advantage and buy them.  Another reason is that I am feeling motivated to do some DIY on our garden this year, and to paint inside the house.  This will mean buying some bits and pieces, even though we have to paint (I paint everything white and brighten and change the rooms with accessories).

Are you wanting to do a no spend month?

If you want to do a no spend month January is a good month to try it.  Most of us still have treats in the house and it is a time when we are used to setting new goals and resolutions.  Money is often short after Christmas as well and so you will be in the mindset of not spending  much.  There are no special events like Valentine’s Day or Easter in January, either.  If you do want to change your financial position I would recommend doing some no spend months, but we are all different, and finding a time, or a way, that works for you is important.  Make your own rules.  You could make them easy to start with, and then tighten them as you get used to doing no spends. There is no right or wrong way. This is your journey.  Good luck, and happy New Year.