It's All In the Habits: How I Live Cheap and Create My Own Freedom
I Keep My Living Situation Modest
I rent a one bedroom apartment. Even though I pay extra for an underground heated garage stall and a month-to-month lease, my rent is fixed and capped every month. I know exactly how much it will cost and there are no surprises or extra expenses. I don't pay for heat, water, garbage, real estate taxes, landscaping, lawn mowing, snow plowing or maintenance. It's just $745 per month, flat. And when I decide to move, I'll give 60 days notice and pack my bags.I Drive Carefully and as Little as Possible
I've got a car that's nicer than I need, which I bought when I was young and dumb. This supercharged luxury machine gets me from Point A to Point B in comfort far beyond what I require, but hey, it's paid for. Now that I'm not commuting to work anymore, 3-4 days out of each week go by without me even driving it. When I do drive it on rare occasions, I make sure to drive carefully with it, taking corners slowly, using my brakes sparingly and overall just taking good care of it. Car maintenance is costly and taking care of my car and driving it as little as possible helps me only need maintenance once or twice a year and lower my costs significantly. Things I can do myself, like rotating the tires, I do myself, instead of hiring others to do it for me.I Prepare My Own Meals
I eat better than I ever have these days. I do this by heading over to the grocery store, buying good food, and then preparing it myself. With full control of my time these days, I get to decide to make a good breakfast everyday. With the kitchen only 15 feet from my office, taking a quick break to throw eggs, hash-browns and sausage on the skillet is a piece of cake. My $2 breakfast also comes with optional patio seating and free coffee. Eating this way instead of going out to eat all the time allows me to get by on less than $200 per month for food.I Make My Own Free (or Low Cost) Entertainment
Most afternoons, if the weather is nice, I make a point to spend some time outside. Many days, this takes the form of a bike ride through the neighborhood, while listening to one of my favorite podcasts. For this, I utilize my 15 year old bike that works just fine, a water bottle full of refrigerator cooled tap water and my trusty iPhone and headphones. This free entertainment helps keep me in good physical health while providing a great time. When my girlfriend and I are together, we take walks in beautiful areas, go to the park, play tennis, play cribbage, play golf (taking advantage of as many deals as we can) and watch Netflix. We don't do many extravagant things, but the simple things we do are very enjoyable and leave us not needing to spend gobs of money just to have a good time.I Keep Resourcefulness Top of Mind at all Times
Some would say I'm focused on resourcefulness (or saving money) too much, but I would say it's just built in as a habit now. Instead of drinking pop or something processed and bottled from a factory, I now carry around a water bottle that I fill up with tap water. Instead of buying new clothes, I try to fully utilize the clothes I have. Instead of going shopping, I find free entertainment. Instead of going out to eat or for drinks with friends, I invite them over here. Instead of driving my 3,000 pound car back home for a family reunion, I asked my sister if I could squeeze in between my two nephews in their back seat and ride along with them, in return for my recent labor of helping them move.I Measure My Progress, Tweak and Repeat
I don't ever go through a month without tracking what I earned and what I spent. I'm constantly working on ways to optimize my spending so that I can live on as little as possible. Living on as little as possible enables me to escape money worries and focus my life on things that matter. The need for things dwindles as you start to reap the benefits of living on less. I have all I need today, while spending very little. I have relationships that I actually have time for. I have my health (although I've hurt myself a couple times this summer by thinking I'm still a kid). I have ambitions and projects that I care about to work on. I have all the luxuries I need (a roof over my head, a machine to transport me around, food in my refrigerator, money in my bank account and a sense of purpose in my life). The extra perks that come with spending money (or lack there-of in my opinion), are not appealing to me anymore and because of that, I don't have to play the game where I sell my soul in return for them.Enjoyed this? Get new posts by email.
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43 Comments
- Done by Forty says:September 26, 2013 at 2:02 PM
It sounds like a great life & I'm glad you've built it for yourself. Way to be. Oh, and I think we eat the same breakfast most mornings. :) I like to substitute the hashbrowns with some mushrooms, but the eggs and sausage are a cornerstone of any good breakfast.
- Kraig @ Young Cheap Living says:September 26, 2013 at 2:04 PM
DBF, Definitely, I love the eggs. Sausage is the great too in my opinion. It's cheap and easy to make. Take care my friend,
- Andy @ theFIREstarter UK says:September 30, 2013 at 5:57 AM
$2 for breakfast!? Pah, how decadent you are Sir! A good bowl of porridge and a banana sets me up for the day for around 50c :) Loving the golf pics by the way. What courses do you usually play if you don't mind me asking, and what sort of green fee's do you pay? It's normally between $20-$40 per round for a half decent course over here in the UK. I'd love to play some golf in the US next time I'm over there (probably won't be for a while with all this saving/investing malarkey going on right now!)
- edward says:September 26, 2013 at 2:24 PM
Hi kraig, Enjoying your blog! Is it your only source of income now or do you have other projects? Keep up the good work
- Kraig @ Young Cheap Living says:September 26, 2013 at 3:43 PM
Edward, Thanks, my friend. I'm glad you get value from the blog. I do have other projects. This blog is quite a bit further along than my other projects though. I earn some income from this blog and also from my investments. At the time, they don't fully support me so I'm draining my savings a bit, but I'm in this for the long term and believe that the income part of it will come up to match my expenses within the year or so. Take care,
- FI Pilgrim says:September 26, 2013 at 2:28 PM
Kraig, I wish more young people (especially a few I know) could understand how enjoyable your lifestyle is BEFORE they get themselves into massive debt, as they chase after the wind and over-consume. Great post, and good for you keeping it simple!
- Kraig @ Young Cheap Living says:September 26, 2013 at 3:39 PM
FI Pilgrim, Of course, I wish the same. I think the most important thing though is that WE understand this first and foremost, before we go worrying about everyone else. This post is for people who like me, are looking to convince ourselves and change ourselves first. Thanks for stopping by and for connecting!
- DebtFreeGuys says:September 26, 2013 at 3:14 PM
Hi, We love your blog. It's inline with the way we live and motivate our followers to manage their finances. Nice work and congrats on a great life!
- Kraig @ Young Cheap Living says:September 26, 2013 at 3:41 PM
DFG, Thanks so much. I really appreciate you taking the time to stop by and share your thoughts. I apologize is this post came off as bragging, because that's not that I was trying to do. What I was trying to do is show how living below your means can be beneficial and create freedom. Take care,
- Radha says:September 26, 2016 at 12:14 AM
Love your blog. I'm a senior citizen on a small fixed income. When I worked, I never made above minimum wage. I have a 1 room apartment in a large city. I keep my basic expenses low,--rent, electric, phone. No cable or internet. I go to the library friend's home, coffee shop for wifi. No car, my city has free bus service. I eat cheap, no package, processed foods. Oatmeal and fruit for breakfast, sandwich, raw veggies, pretzels for lunch. for dinner, 3 vegetarian meals a week. I make soups. Meat meals can be chili, spaghetti, Casseroles. When I go out I pack lunch. Shop thrift and dollar stores. Stores where you bag your own groceries. My hobbies--reading,( I use the library), knit and crochet, adult coloring books, listening to music, visiting friends. I'm very happy. Have no debts.
- Michelle says:September 26, 2013 at 3:53 PM
Love this post! We are both about to leave our jobs and have FREEDOM. We couldn't have done this without saving a ton though. We are so excited!
- Kraig @ Young Cheap Living says:September 26, 2013 at 3:54 PM
Michelle, That's awesome that you're finally doing it! I know you've been kicking it hard for a long time. Now, it's time for some of that to pay off! You going to FinCon? If so, I'll see you there!
- September 26, 2013 at 7:28 PM
Fincon! Woohoo! I'm looking forward to meeting you Kraig!
- Kraig @ Young Cheap Living says:September 26, 2013 at 7:31 PM
Hi Lance, YEAH! I'm excited too. I'm looking forward to meeting you as well! I see you're doing the bootcamp, which means we'll have an extra day or two to hang out. See you soon,
- September 30, 2013 at 9:29 PM
I actually had to back out of the bootcamp because of flights and work. Something you don't have to deal with anymore :)
- Kraig @ Young Cheap Living says:September 30, 2013 at 9:41 PM
No way! That's a bummer. Either way, I'll see you at the start of the actual conference. Looking forward to it!
- $25000 Dividends says:September 26, 2013 at 4:09 PM
Hi Kraig, I am thinking about doing what you are - Taking some time off. Sounds great. I'm about 32, got a portfolio that churns out about $700 per month and enough funds to live off for up to a year very easily. Thinking about leaving my current job by the end of the year and taking some time off in January. I might take the first month off completely and then try to do some freelancing from home and take on some clients (i'm a lawyer). I want independence and I want it now.
- Kraig @ Young Cheap Living says:September 26, 2013 at 4:12 PM
$25000 Dividends, HECK YEAH. I'd do it if I were you. You'll definitely be glad you did. Stay in touch because I'd love to follow your journey. We need good community, us who think alike. Talk to you soon, my friend.
- Roger says:October 2, 2013 at 5:11 AM
Stick it out a t the job for a while more and keep saving. Your older self will be much happier. Take a vacation to cure the burnout
- Kraig @ Young Cheap Living says:October 2, 2013 at 7:57 AM
Roger, Thanks for stopping by and offering your thoughts. I can see your viewpoint as I'm thankful I saved in the past to get where I am now. This period of nonsaving is hopefully going to be only temporary. This way I can be much happier both throughout my life and when I'm older. Take care,
- Cash Rebel says:September 26, 2013 at 4:50 PM
We'll I'm certainly jealous that you get to make hash browns 15 feet from your office. It sounds like you're taking the time to enjoy the little things.
- Kraig @ Young Cheap Living says:September 26, 2013 at 5:22 PM
CR, I am certainly trying. If I didn't, then what would the point of this whole shenanigan be, right? I hope things are good with you as well. Take care,
- Brenden says:September 26, 2013 at 6:35 PM
I couldn't agree more with the eating healthier. I have days when I get home and I am just so tired that I don't care what I eat. Whatever is quick and easy or ordered will do. But in the long run that isn't healthy or cheap (especially delivery food!). It sounds like you are enjoying your time. Keep up the good writing.
- Kraig @ Young Cheap Living says:September 26, 2013 at 8:50 PM
Hi Brenden, I know exactly what you mean. I used to be so exhausted from my job that I wouldn't be able to stay awake after I got home from work and wanted to do other things. That really made me angry and I wasn't sure what was causing it. I know know that the job was causing it because I don't have it anymore. Thanks so much for stopping by and for supporting this site. Talk to you soon!
- chris says:September 26, 2013 at 6:59 PM
Nice overview of the benefits of simple living and focused goals! Very inspiring!
- Kraig @ Young Cheap Living says:September 26, 2013 at 7:01 PM
Hi Chris, Thanks for stopping by and for the kind words. Glad to hear you found some value from my story. Talk to you soon,
- krantcents says:September 26, 2013 at 7:21 PM
I love to work, although I am working less hours. My current career (teaching) will provide a pension when I am done. I enjoy teaching, but the reward is worth working!
- Kraig @ Young Cheap Living says:September 26, 2013 at 7:33 PM
KC, You know what? I love working as well, even though it doesn't sound like it around here. I just like working on things that matter to me. And when I want to take the day off to go golfing on a beautiful September day, I want to be able to do that. Life's too short to be spending beautiful September days under florescent lights. Now, on those cloud days, I'm all about getting some real work done. Take care,
- Dividend Mantra says:September 26, 2013 at 7:33 PM
Kraig, Great post. Loved the pictures! Brings it all to life. :) I hope this freedom is never ending for you. You're making the most of your time, and that's really what it's all about. Living life on your terms and pursuing your passions while working on projects that make you happy is definitely worth any of the sacrifices it took to get you there. Keep it up! Best wishes.
- Kraig @ Young Cheap Living says:September 26, 2013 at 7:37 PM
Jason, Thanks, man. I'm going to bring this blog to life going forward with real pictures. They are worth 1,000 words, right? I hope this freedom is also never ending. It's a real blast and like you said, is DEFINITELY worth all the sacrifice it took to get here. Like me, I know you understand how great it is living on less and doing things that are normally thought of as inconvenient to buy yourself more freedom. Thanks for stopping by and I hope all is well down in Florida!
- Stumptownbound says:September 26, 2013 at 8:27 PM
Great story. It must feel so great to set your own schedule. I hope to be there one day. :)
- Kraig @ Young Cheap Living says:September 26, 2013 at 8:31 PM
Stumptownbound, Thanks so much for commenting. It does feel great. Good luck in getting there. It's definitely worth it. :) Take care!
- Buttercup says:September 26, 2013 at 10:51 PM
Love this post! It is so inspirational to see so many people building the life they want and not having to work a 9-5 to do it. Makes me excited to one day join you all.
- Kraig @ Young Cheap Living says:September 26, 2013 at 10:52 PM
Buttercup, I am excited for the day you do get to join us! Take care, my friend and thanks for stopping by, reading and commenting.
- Investing Pursuits says:September 27, 2013 at 9:37 PM
Some work places can "SUCK THE LIFE" right of you. 3 ways are working some where you don't like the work, the bad attitudes of people at work, and the way people treat you at work such as managers.
- Kraig @ Young Cheap Living says:September 27, 2013 at 9:38 PM
Amen to that.
- Ashley says:September 28, 2013 at 8:56 PM
This is so true- it IS all in your habits! I think saving money is totally a snowball effect. This list of habits might be overwhelming to some people- they'd say that is too many changes to make at once. But if you start one at a time-- start fixing your car until it becomes habit... then move on to making your own meals... then move on to cheaper entertainment forms-- pretty soon your saving-money-habits will be on autopilot!
- Kraig @ Young Cheap Living says:September 29, 2013 at 9:56 AM
Ashley, Yes, you are right. That's exactly what I did. I first stopped shopping. Then, I started eating out and making my own food. It wasn't until recently that I started driving less and doing things on my car on my own to keep costs down there. It all takes time to get in the habit of but after some time, it becomes habit and easy to do. Like you said, it becomes the norm and on autopilot, which basically automates a cheap lifestyle. I hope you are having a great weekend!
- Maggie@SquarePennies says:September 29, 2013 at 8:17 PM
Bravo! You are well on your way to achieving your goals. We raised a family of 4 kids this way. It was terrific! When you keep expenses down you can put your time, money, and energy towards what matters to you. I also hate anxiety. But in today's world, let's face it, anxiety is a normal response! Whatever you can do to reduce it is so worth it!
- Kraig @ Young Cheap Living says:September 29, 2013 at 8:21 PM
Hi Maggie, Glad to hear the reassurance that this is the right approach to take. Putting my time, money and energy towards things that matter is my top priority. Yeah, anxiety sucks. It's so great that handling money well helps reduce it. Take care,
- Rodrigo Pissarra says:October 9, 2013 at 6:54 PM
Dear Kraig, Thank you for the advice on cheap living, which have reinforced some things believe but I forgot for some reason. There is only thing I really don't mind, that is having a car, since this helps me to focus on my neighborhood. I walk to office, health professionals, grocery store, etc but also makes possible the use of trains and tubes (which is also a kind of train), that I love. Anyway, expect me to follow createmyindependence.com! Yours Sincerely, Rodrigo Pissarra
- Kraig @ Young Cheap Living says:October 9, 2013 at 7:52 PM
Rodrigo, Thanks so much for stopping by and for reading the blog. Glad you enjoyed it. It sounds like you're doing awesome things while keeping your lifestyle costs down, which is my preferred strategy. Keep up the good work and I hope you'll stick around. Talk to you soon,
- Iz says:September 29, 2014 at 2:07 AM
I love your good sense and approach to life. Banks, debt and home loans have always scared me witless. I never got a home loan or felt pressured to get on the 'property ladder' and be a part of property-owning capitalism as it just didn't add up. Instead, I paid up-front for my university courses (up to post-grad. level) and got discounts on the fees, and then worked in film and TV (got very very poor!) and so worked around the world as a teacher instead. Over the last 12 years I paid rent, lived relatively modestly, had overseas trips (staying at cheaper hotels and booking Early Bird fares) in beautiful parts of the world, learnt to play the electric guitar (a dream from age 15), enjoy buying independent music CDS and indie films on DVDs, and eat well by cooking my own vegetarian meals, exercise at gyms by paying for cheaper 2-year memberships, etc etc. In a few years, I expect to have saved a million dollars. So, by NOT having a house and car, and filling it with furniture and white goods and ornaments, and other crap, and entertaining, etc etc, I got rich. I'm 50 now and so may buckle and buy a cheap house in cash, but I still am annoyed about stamp duty, real estate agents' fees, house and contents insurance, rates, etc etc. Owning homes really are big rip-off myths to make banks and insurance companies rich. All that cheap furniture people buy at Ikea etc are destroying forests around the world. Thanks for sharing your great values with us.
