Majority Agrees: Focus on Spending Less Than You Earn is Key

The end of November marked the end of Financial Literacy month and with it our poll that asked: Putting focus on spending less than you earn is more important than earning more than you spend. Do you agree?

Of the 162 KBR voters, an outstanding 91% said “yes”.

Lynn comments: “Absolutely! In today’s world it is so easy to purchase now and pay for it later…If more emphasis was placed on what you need to live on rather than what you want, people would be living more within their means. Purchases should be based on the fact: do I have the cash right now to buy this without jeopardizing my money for the basic needs of life?”

Daniel writes: “Generally, it is easier to reduce the amount we spend than to increase the amount we earn. To do so requires contentment and self-discipline.”

Mihaela opines: “Deciding not to spend is not the response to your problems. What if you DO HAVE to spend more than you earn?  Illness may be one of the reasons. You can increase your earnings if you do it smart. With the right company, the right help, the right learning, you can do it. You just need the willingness to do it.”

Finally, Diane makes the connection to quality of life: “Most people do not have the ambition, drive or willpower to earn more money than they spend. Learning to live within your means from the get go will provide more satisfaction and less stress in life and when the opportunity arises to make more money, the satisfaction of knowing this money is yours, not someone else’s (financial institution, money lenders, etc.), makes life more satisfying.”

Thank you to all who voted and commented in November’s poll. Our December poll question is: "In order to keep up with the social expectations of the holiday season, is it reasonable to rely on credit cards or other loan services to defer the financial stress to the new year? Why or why not?"