December 2020

Note: this article was originally posted on a different site and written prior to the Coronavirus global pandemic that caused the vast majority of people to significantly reduce their entertainment expenses. But I think it’s still valuable content, especially for when we get back to “normal times” (whatever those will look like). Also note that some of the comments below are from that original post (thus the older comment dates).

When you’re getting started down the more frugal path, it can be challenging to figure out where to start when it comes to cutting your expenses. Some folks will argue you should start with the biggest expenses, just like mathematically it makes sense to pay off your highest-interest debt first (versus loans with smaller balances as part of the standard “snowball” approach). For example, work on moving to a more affordable area or house first.

While I am a proponent of paying off your highest-interest debt first (regardless of the balance), when it comes to expenses I definitely encourage folks to start with the easiest effort items and work your way up as your frugality muscles gain strength. Cutting expenses is more challenging (in general) than just picking which card to pay off next. And hopefully credit card debt won’t be a problem for you for very long if you work hard on reducing your expenses!

Continue Reading »