Saving money doesn’t mean you have to stop living your life. Sometimes, it means finding a more creative way to do things.
My colleague, Kelly Ernst, just finished a one-month no-buy challenge, where she narrowed her spending to necessities while cutting out things like takeout and entertainment. The brief experiment improved her budgeting skills and allowed her to reset her money habits. As a bonus, she saved $100.
During that time, she didn’t deprive herself or go into isolation. Instead, she found ways to accomplish her goals and hang with friends by spending little to no money.
If you want to reevaluate your spending and save more, a month of no spending can help. Just like Ernst, you can tailor the challenge to fit your needs and interests. I’m even considering doing it myself.
Cut back no spending, not fun
First, set a savings goal, like building your emergency fund in six months or saving for a new car. Then think about what you might cut out of your budget or routine that would hinder your success.
Jen Smith, co-author of Buy What You Love Without Going Broke, says no-spend challenges can be a great starting point for reevaluating your spending habits.
When you’re giving yourself parameters for just one month — like no discretionary spending on clothing or food outside of your grocery list — you’ll have a clearer picture of where you need to cut, according to Smith.
But you shouldn’t get rid of what satisfies you. Instead, focus on creating habits you can live with in the future.
For example, if you love spending time with friends, a more limited budget shouldn’t stop you. During her no-buy month, Ernst planned board game nights and dinner parties. Instead of buying new margarita glasses for a taco night at home, she found some from a Buy Nothing group.
“Dining out had become our default but there were so many other things we could do that we were overlooking,” said Ernst. “I’d forgotten how fun game nights are.” Ernst was pleasantly surprised to learn her friends didn’t enjoy shelling out money for overpriced drinks at a noisy restaurant either.
Read more: Is Your Grocery Bill Keeping You From Saving? These Tips Can Help You Eat What You Love and Cut Down Your Costs
New money habits for the win
Once you reevaluate your spending, you can align your savings goals with your new habits. If you cut $25 per month on entertainment costs, transfer that amount directly to a high-yield savings account, where you can earn more interest on your balance.
Even if you’re not saving thousands of dollars each month, you’re forming new money habits that can help you shift your budget and mindset over the long term.
Ernst says the no-buy challenge made her realize how much she spends simply for convenience. Now, she always calculates how many meals she can make from $30 spent on groceries instead of takeout.
“It was nice to see how much extra I had left over at the end of the month, so it’s definitely inspired me to see how much more I can stash away in coming months,” Ernst said.
Dashia is the consumer insights editor for CNET. She specializes in data-driven analysis and news that intersects personal finance, tech and consumer sentiment. Dashia investigates economic shifts and everyday challenges to help readers make well-informed decisions. She covers a range of topics, including technology, security, energy and money. Dashia graduated from the University of South Carolina with a bachelor’s degree in journalism. She loves teaching spinning, baking and spending time with her family.