Reclaim Your Paycheck

Posted on | March 7, 2011 | 3 Comments

As a nation we stalk rock stars, super stars, divas, and obsess over their clothing, their cars, their homes, their lives because we want to touch a piece of that magic life. That magic life can be summed up in one word: independence. Isn’t that what everyone strives for? To be able to do what they want, when they want to, and for however long they want to—period.

All people—myself included—want this freedom. We fantasize about it, we play games like “if I won a million dollars, I would fill in the blank. It’s a lot like fantasizing about marrying rich so that all of your worries will go away. It could happen…but not likely, and wouldn’t you rather be in love? Here’s the thing: you don’t need to earn a huge salary or to win the lottery to reach this independence. Going back to our rudimentary principle, you simply need to spend less than you earn or earn more than you spend. Once you achieve this, you bank the extra and watch your lump of independence grow.

Are you looking at me like I have two heads? Perhaps throughout this series you have been thinking how on earth am I supposed to do that? For those of you barely making ends meet for whichever reason, you need to use the Jaws of Life to pry open some breathing space in that paycheck of yours. This breathing space is the beginning of you reclaiming your paycheck. Truly though, it’s the beginning of you reclaiming your life.

There are two different people who live paycheck to paycheck: those who spend too much money or those who don’t make enough money. While I have a few upcoming articles for those who need an income boost, I’m here to tell you that the majority of people who live this stressful lifestyle are spending too much money. This is what I will be tackling in the next part of this series.

Here’s the thing: you work hard for your money. We all do. I am not here to tell you how to spend your money, or that you should put it all in the bank and not spend a single dime on yourself—you can spend your money on whatever you would like to. But if you do not have a savings account with an emergency fund in it, and you are not saving for your future retirement, then you are spending beyond your means.

Has your paycheck been mortgaged away before you even receive it? Is it just a piece of paper or a lump sum of money that promises to hold the creditors at bay, keep the lights on, and keep you driving to and from work for a month longer? Don’t you want more for yourself and for your future?

In the next several articles of this series we will be tackling how to increase the gap between your expenses and your paycheck in order to grow your saving account.

Save Beyond Your Means Series:

Save Beyond Your Means Series Introduction
From a Pile of Debt to Net Worth Part I
From a Pile of Debt to Net Worth Part II
From a Pile of Debt to Net Worth Part III
Give Your Money a Purpose
A Sobering Reality: Where Did All of My Money Go?
The 7 Habits of Highly Effective Savers
Different Paths Leading to the Same Place: Your Saving Account

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Comments

3 Responses to “Reclaim Your Paycheck”

  1. Eliza from Happy Simple Living
    March 7th, 2011 @ 1:18 pm

    Thanks for a thought-provoking post and I’m looking forward to reading more about financial independence in your upcoming articles. We could all use advice about creating more disposable income to sock away in savings!
    Eliza from Happy Simple Living recently posted..5 Reasons Why Simple Living Will Make Your Life Happier

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  2. krantcents
    March 7th, 2011 @ 3:45 pm

    Regarding people who do not make enough, they need to scale back. It certainly is easier before you accumulate the expenses though. It may mean sharing your apartment, house or moving back home.
    krantcents recently posted..If Not Now- Then When

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  3. Jeff @ Sustainable Life Blog
    March 8th, 2011 @ 5:53 am

    Amanda
    totally agree with this – deleveraging my paychek has done a lot of good things for me. I dont want as much anymore, so I can save most of the money that was going towards minimum payments and trying to keep up-to-date with my bills. I’d never go back now, and I really realize how important it is to keep as much of your income for yourself instead of using it to keep up with bills.

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