Many people feel pressure to keep their social spending in line with that of their friends, even if they know it’s something that’s out of their reach. No one wants to feel like the party pooper, or the boring old hermit that stays home all of the time. I know people that would rather put themselves in debt rather than miss out on something. Finances and budgeting are never the same for any two people, so you’ll need to decide for yourself what your priorities are. It’s important to be debt-free and have a savings cushion, but that doesn’t mean you have to bail out on everything else! The more you fine-tune your budget, the easier it will be to find where you can make room for something fun. Check out some of the tips below to help incorporate social spending into your monthly allowances without derailing your other plans.
Make room in your budget for social outings and celebrations. Special events are bound to pop up here and there – a friend’s birthday, a yearly trip, lunch with your sister, etc. Setting aside funds for these types of things makes it easier for you to participate when the occasion arises. It’ll also help you make the decision to say “no” if need be. You might consider setting aside money in a separate account for just this. That way, you’ll easily be able to see what’s available for you to use. But what happens if you don’t have enough? Use this as an incentive to save even more so you’ll be better prepared for the next time.
Don’t be afraid to say no. You’re the only one that can decide what does and doesn’t work for you financially. Don’t sacrifice your long-term goals (paying off debt and saving) for things that aren’t that important to you. Your friends and family will understand, and chances are, some of them are feeling the same way you are!
Spend time with likeminded friends. Last week, we mentioned that a great strategy for sticking to your budget is to surround yourself with support – people like you who are also trying to be smart about their spending.
Share costs. Tie this one in with the tip above; if you have friends that are thinking along the same lines as you, offer to split costs where you can so you can both save a little extra money. Give a group gift for that wedding you’re all attending, or share an entree at dinner and split the bill.
Working extra spending money into your monthly allowances allows you to spend it guilt-free, and you’ll be less likely to dig yourself into a debt hole, because let’s face it – if you really want to do something, you’re going to spend it anyway. Working from what you allow yourself will force you to further analyze your spending, and prioritize what matters most.
How do you make room for fun in your budget? What do you struggle with the most?
