There are all kinds of ways you can save money.
The simple and probably the most obvious is to write a budget and set a certain amount toward your savings.
Then, there is the more extreme way to save with a spending freeze like a “No Buy Challenge” or “Buy Nothing” challenge.
If you’re a spender, these challenges can help you reset and fix your finances (Yes, you can do this) by making you think about your financial habits and reasons for shopping.
What is a No Buy Challenge?
A No Buy or Buy Nothing challenge is exactly what it sounds like.
It’s a challenge that you set yourself to not buy anything on an off-limit list.
The basic goal of this challenge is to help people save money for a certain goal or to reset and fix their spending habits.
What are the rules of a No Buy challenge?
Every person will have their own rules for their No Buy challenge.
First off, you need to set rules on what you consider to be permitted purchases versus off-limit purchases.
Most people allow their basic needs to be allowed during this challenge.
For example, these are okay to spend money on (Because you have to!):
- rent
- gas
- groceries (within a list)
- emergencies
However, anything that is not a basic need in your life (aka a want) is off-limits.
This can include:
- clothes
- decorations
- takeout
- restaurants
- movies
- entertainment events
Why do people do the No Buy Challenge?
Everyone’s motivations for doing a No Buy month are unique. But most people do this challenge to save money or reset their money mindset.
Some people will do this to save for a specific goal, like a new laptop.
They may calculate and see if they cut out all unnecessary spending and can save up enough money in one or two months.
For others, this challenge can help them financially and mentally.
You may not realize how much you spend on unnecessary things, but this challenge can give you surprising insight into this.
For example, you may realize that when you’re bored, you want to go shopping to fill the time. You could also realize that when you’re very happy or sad, you shop to match your emotions.
This challenge can also help you financially challenge yourself where you live as frugally as possible.
You may even realize that you’re actually happier when you spend less because you’re able to save more, which can provide a great sense of security.
What do you do if you buy something on your Off Limit list?
Things happen, and the point of this challenge is to see your spending habits and how you react to not buying anything.
For example, you may have forgotten about a birthday party you were invited to, and you may need to buy a bottle of wine as a gift. This is okay to do. Make a note of any day you buy something, and keep going on with the challenge.
When you are starting with your first No Buy challenge, you may not hit your goal of no spending during that time period.
But the more you do this, the easier it will be!
How do you start a No Buy one month challenge?
You can get started on a one month No Buy challenge as soon as today or tomorrow.
To have the most success during this challenge, it’s important to write your goals and rules and how to keep track of them.
Figure out why you want to do a No Buy month.
- Do you have something you’re saving for?
- Do you want to reset your money mindset?
Write down your goal and if there’s a certain amount you want to save, write that down too.
Write down your rules for the month-long challenge.
- What is on your allowed-to-buy list?
- Is it only true necessities, or do you allow any wants?
- What is on your prohibited-to-buy list?
- Do you limit all unnecessary spending?
- How do you handle an emergency cost during this month, and what is considered an emergency?
There may be rules that you didn’t account for that will come up as you do your challenge. When these come up, try to decide how it fits into your rules.
Once you’ve figured out what you can and can’t buy during this month, find the best way to track your No Buy month.
This will be important for you to see how many days of the month you didn’t spend and what days you did. It will also give you an insight into your habits.
For example, you may notice that you spend on rainy days or that on the weekend, you go out for dinner or order in a lot. You can then figure out what you want to do about it in your ongoing financial plans.
- Do you spend when you are bored?
- Do you get pressured by friends to go outside of your spending limit?
Are You Ready to Try a No Buy Challenge?
If you have a financial goal or want to reset your finances, why not try out a No Buy challenge?
It will help you to flex your financial mindset and cause you to be more creative during your free time and meals.
If you’re always going over your budget, this could be a good time to reset and find ways to reduce your overall spending. Good luck, and let us know how it went!
Editor’s note: This article was originally published Jun 11, 2024 and has been updated to improve reader experience.
Photo by Towfiqu barbhuiya on Unsplash
