Why You Should Massively Live Below Your Means In 2022.

Well, you really shouldn't live below your means in just 2022 but this year is pretty different economically for quite alot of people in the world. We got the crypto bear market, crazy global inflation and recession in almost every country, so year, 2022 isn't one of the best years for global finance, but that doesn't mean it should make our lives and finances worse. With the current situation of things, living below our means is unarguably one of the key ways to survive these harsh times and I'm particular about this because of what it could help us achieve in the long run.

Living below your means simply means spending less than you earn and no, this doesn't mean spending $49.8 if you earn $50 a month. It really just means that you have quite alot of money left from your earnings every month after all your expenses. With the current inflation in most countries, it's almost difficult to live below your means in most countries and this has resulted in people living from pay checks to pay checks, owing huge debts and some even taking their own lives as a result of the financial troubles.

Living below your means isn't quite easy especially for people who earn so little and this is why we gotta keep finding ways to increase our earnings so we can have a better life.

One of the major reasons why we should live below our means is that it saves us from debts. Debt is currently a pandemic today and it's even worse if it has interest on it. People go into debts when they have exhausted all their means and have no other way of catering for their needs. This debt could be in form of loans or just borrowed money, they may help save us from some situations at that moment but it's really not a good thing piking up debts especially those with interests. It crumbles our finances and keeps us going in the circle of paying off the debts with our paychecks and takings more debts. Debts can be avoided by making a budget for our expenses, spend on our needs and not wants and finally to not depend entirely on one source income for living.

Another reason why living below our means is so important is that it gives us the ability to have something left to invest. Investing is really the only way to become financially free. Spending all our earnings makes us financially handicapped and not investing definitely births a dark future for our finances. In one of my previous post, I talked about how you really don't have to wait till you earn millions of dollars before you invest. Investing starts as soon as you start earning and it is simple the best way to secure our future.

I understand living below our means can be really hard especially for some of us in countries with crumbling economy and massive inflation, but we should have it in mind that not doing so is dangerous to our finances and to ourselves in the long run.