A few months ago, I decided to stop procrastinating and get my personal finances in order.
But after a few months, I hit a roadblock.
Enter a no-spend challenge.
Want to experience the financial benefits of a no-spend challenge for yourself? Start with our comprehensive guide to setting up your ownno-spend challenge.
I set aside a no-spend month to see if I could break bad spending habits.
But does a spending freeze actually help your financial goals?
Heres what I discovered from my own no-spend challenge.
you could make your own rules, but many no-spend challenges span a month.
Thats the window of time I committed to: 30 days, no discretionary spending.
Do you have to completely stop spending money during a no-spend challenge?
No Interest Til Almost 2027?
Balance Transfer = Credit Card Cheat Code
Did My No-Spend Challenge Save Money?
I was skeptical, but the no-spend challenge did cut costs from my bottom line.
More than that, it offered me a reality check on how much I was actually spending.
Thats a lot of money being diverted from your bank account or hitting your credit card every month.
In reality, its not possible to spend absolutely nothing for an entire month.
You still have the mortgage and utilities to pay and food to keep on the table.
However, I did hit a snag.
We have a family tradition of doing secret valentines in the weeks between New Years and Valentines Day.
I opted for a combination of both.
I started getting email notifications as app subscriptions auto-renewed in the Apple app store.
The frustrating part is none of the subscriptions were even mine.
It was a good reminder that smaller expenses can really stack up.
Does my 11-year-old need an $8 app that tracks her water consumption?
It dawned on me that this approach was probably costing more money than it was saving.
Pros and Cons of My No-Spend Challenge
Lets be clear.
Not spending money for a month was no picnic.
The real advantage when I stopped spending money?
That extra $1,500 in my bank account is hard to beat.
4 Things I Learned From My No-Spend Challenge
Ready for some real talk?
Im happy to report I was 110% wrong.
Here are the four big takeaways from my no-spend month.
I Was Spending More Money Than I Thought I Was
Im not an impulsive shopper.
I rarely dine out and I buy secondhand clothes.
How much extra money could I really be spending?
Well, turns out several hundred dollars more than I anticipated.
And I dont pay attention to the card balance until it comes time to pay it off.
Its a recipe for less than thoughtful discretionary spending.
Not just app subscriptions but other bills, like my cell phone service and even pet supplies.
Thats usually a financially savvy move to ensure you dont miss a payment, but it doesnt supportthoughtful budgeting.
I Wasnt Saving Money by Delaying Some Expenses
This was a big lesson learned the hard way.
I also was putting off buying some expensive personal care products until they dwindled down to nothing.
Should You Do Your Own No-Spend Challenge?
Trying to curb a dining out habit or a ballooning clothing budget?
A no-spend challenge can be a great re-start to break bad spending habits and get back on track.
Was it worth the sacrifice?
Youll have to be the judge of that.
Kaz Weida is a senior staff writer at The Penny Hoarder covering saving money and budgeting.
