Yahoo Finance recently reported that paying with cash helps you save and gives you more joy. Avni Sha, a professor at the University of Toronto Scarborough, studied the effect of paying with cash and says it does indeed make us more frugal and adds positive emotion to transactions. Further, it potentially promotes repeat business.

Cash forces you to consciously think about what you are buying. Rather than blindly using your credit card and deferring payment, cash forces you to make that decision at checkout. It enables you to say “no” when your children ask or beg for things that they do not need. Each dollar you physically spend leaves fewer in your wallet.
That causes a pain that we need to occasionally experience.
For a minimum of two weeks, monitor what you spend and record all transactions. Does that mean you will be miserable for two weeks? NO! It may be a challenge, but go in with a positive mindset and the desire to reset and track your habits. You may find some holes than need to be plugged.

Pick one day a week where you spend no cash whatsoever. How is that possible? Avoid stores! Pack your lunch. Bring your thermos of coffee. Stay home and avoid being in situations that tempt you to spend.

Host a potluck so you don’t have to provide the entire meal.

It’s a great way to have fellowship for much less than what a meal out might cost.

Have a produce party where everyone brings something to eat that they have grown (or perhaps bought from a local farmer).

If you do eat out, use coupons. Choosing to meet friends for breakfast or lunch is typically less expensive.

See how you do! Let us know how much you saved or some tips you can share with others at crown.org.

We’ve got lots of resources available to help you with your financial challenges. And if you need extra help tackling overwhelming credit card debt, our partners at Christian Credit Counselors are experts at developing debt management plans. Get started today by visiting crown.org.