How to Manage your coffee habits and your budget

Lifestyle

Apr 19

Coffee is something that many people drink on a daily basis and there are a large variety of different ways (and costs) to drink your coffee. Even if you don’t drink coffee, you may have other similar habits in your life — tea, soda, a daily afternoon snack or regular lunches out.

On the blog today, I’ll be discussing how coffee and overspending relates to your budget. Listen does buying coffee bring you joy? Because that in itself is not necessarily bad — you just want to make sure that your spending habits are matching up with your overall life priorities.

How does buying coffee tie into your spending for joy?

The first thing to ask yourself is how much joy does coffee bring to your life. Then you can give some thought to what it is about coffee that you enjoy. Is it the energy from the caffeine? A specific flavor or experience? The act of being social with others? That will help you decide

If you like to have the caffeine but you don’t need a fancy cup of coffee to bring joy to your day, consider brewing it at home or cutting it out of your life
If it’s medium, maybe you can find ways to balance how you treat yourself vs. how frequently you pick up a latte. You could cut the habit back to twice a week – perhaps reward yourself on Mondays for kicking off the week and on Fridays for closing it!
If coffee brings you a lot of joy, maybe it’s better to cut back on other things. After all, the whole point of a budget is to save money on things you don’t find important so you still have money left to spend on the things that are important to you.

Would you believe me if I told you I have not always been a coffee drinker? I started drinking coffee sometime after delivering Kourtney because of the late nights and early mornings. Do you hear me? LONG!

Coffee and money are synonymous to me. While I enjoy a spectacular brew, I also like to mind my money for the month. All of this has encouraged me to become my very own barista at home. And, my pocketbook and checking & savings accounts are happy about it.

Overspending is easy, especially when you are trying to live somewhere between Desires Circle and Simply Maintaining Drive. Today, I am sharing a few expenses I have cut in hopes of giving you some ideas as to how you can begin to take control of your finances. The last two years have meant lots of canceled coffee dates, but a warm cup of coffee will remain the blessing that draws us together.

Budget to zero every single month.

Telling all your money where to go means you’re in charge of it. Be sure to include sources of any income you rely on for the month. Include fixed expenses, like mortgage or rent, utilities, food, and transportation, as well as entertainment splurges. Entertainment splurges are what I consider to be restaurant dining, entertainment, shopping and scheduled spa dates. Check your past budgets or bank statements to get an idea of what you typically spend. Give every single dollar received for the month an assignment or allocation. If there’s still money left after you’ve entered all those expenses, put it toward your current money goal, like paying off debt.

At the end of each month, you have to get real with yourself. And you do that by reviewing your spending habits. Be honest with yourself about places you overspend. You either need to cut back or think about upping a budget line. But, remember, if you spend more in one spot, you have to spend less in another.

Track every expense.

Seriously. Every. Single. One. The impulse lunch bowl. The drive-thru coffee on the way to work. Those things add up. Always! Tracking every expense is how you know where all your money’s going. Then, eventually, you can start telling your money exactly where you want it to go.

A couple of action steps I've taken, and you can too are the night before a planned outing is to (1) pack your lunch in a container that is easy to grab & go before heading out; and (2) set your alarm and get your coffee maker to begin brewing while you are getting dressed. Another great option is to invest in the necessities to make your favorite coffee creation.

Staycation at home that won't bust the budget.

Do a room refresh by getting your DIY on and tackle that room (or space) you're embarrassed to admit even exists in your home. This is not a full-on reno. This is clearing out, freshening up, and maybe repurposing the space. Goodbye, rarely used extra bedroom, and hello, home office with a fresh coat of paint! Rearrange furniture. Buy some décor at thrift stores, on Facebook Marketplace, or garage sales where cheap finds are king. Have fun with it! Instead of spending money going out, you can spend it on creating a space you will want to stay in forever.

During this time, I have purged, reorganized, and decorated my closet more times than I want to count on one hand. Honestly, I have run out of fingers on said one hand. If you go with the staycation, don't forget to stock up on snacks because if you're anything like me, you're in for some long hours.

Understand the difference between needs and wants.

Speaking of fancy café coffee—we all know that’s a want and not a need, right? Yes. We do! I know the lines can blur. If your only winter coat has holes, you most definitely need a new one. But that Ralph Lauren tan trench coat—that’s a want. We budget for both, but needs get the priority.

I have an Apple watch, and while it is great to have the option to utilize my phone without my phone near, the reality of paying the $10/month for wifi was not worth it. Almost always, when wearing my Apple watch, my phone is near me or in proximity that the Bluetooth capability is functioning at maximum capacity. Therefore, the $10/month, which totals to $120/year (including whatever tax savings or additional fees that results in), can be put towards another mandatory monthly expense. Essentially, it is the little things that add up!

We can all agree this year is like no other. But look at all these examples of small yet awesome ways you can free up funds while still enjoying every day—on a budget! However, let’s get real: One thing I know is this year is teaching me that there is a reward in having patience during the process. And you don’t have to spend a lot to make a lot of or continue creating memories out of the small moments.

Are there any expenses you can cut from your budget? How many can you eliminate to free up your some money for the upcoming summer travel season?