The Financial Celebration of Lent

For those of you who don’t know I am a Church going kind of guy, and the Christian season of Lent, means different things to a lot of different parts of Christianity (i.e. many different views of how it should be observed). The one I like is that Lent is a time for reflection and improvement of yourself, and with that in mind, given Lent starts today, here is (yet another) chance for you to start trying to make your financial life better.

Remember that Lent is celebrated over 40 days starting today (Ash Wednesday) ending on Good Friday (the Friday before Easter). For those with an arithmetic bend on things, you will notice that is more than 40 days, but that is because you treat Sundays as a “day off”, but let us not get hung up on that one.

Lent

Lent

You have a chance to start for a short period to change your financial life (for the better, please). What kind of things?

  • Decide to pay off a number of debts, or maybe just one, but by the end of the period, it will be paid off, and it will be done. Make easy goals to begin with, you can challenge yourself as you get better at things (i.e. don’t attempt to run a marathon first thing, maybe start with trying to go 1K?)
  • Live on ca$h only for those days, no credit cards, and try not to use debit either. See if this is something you can do, or whether it is just too much for you to deal with.
  • Rebalance and research all your investment vehicles. Is it time to start becoming a Couch Potato investor? Good time to start.
  • Maybe add a fitness aspect to this, so that you are ready for your retirement. Maybe it’s time to review whether you should be using an RRSP for this, or maybe your TFSA?
  • Are you being charitable enough? Lent would be a great time to start giving of yourself more, and it does not need to be monetary, you may have talents that community groups need.

Lent is here, let us all give a cheer?!?

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Fiscal Fasting

Now we have reached the Christian tradition of Lent, and for those who are religious, or just gluttons for punishment,  are looking for things to take up (or give up) for this time of the year.

Allow me to suggest “Fiscal Fasting” , which is a delightfully obtuse switcheroo on the Lenten tradition of Fasting. Good Christians (in the day) might take up fasting to emulate Christ’s 40 days in the desert by giving up Meat or the like, I am not suggesting that (although I could do with giving up say Snacks and specifically potato chips for Lent) with this concept.

Fiscal Fasting would be simply denying discretionary spending for a week (to start). Can you live the same $20 you had in your pocket Monday all the way until next Sunday?

No, I am not suggesting that you do not pay bills that MUST be paid in that time frame (e.g. Mortgage Payment, Rent, Electrical Bill, etc.,), I am suggesting cutting out spending on things like eating out, buying clothes, etc., . No this does not mean that you should have an orgy of spending the day before and “coast” for a week either. If you wish to cheat that kind of defeats the purpose of this idea.

Maybe the best thing to do is:

  • Automate your bill payments so they don’t end up in arrears (be like that woman they found who kept paying her bills 6 years after her death).
  • Plan how you aren’t going to spend money, or how you will avoid buying crap you don’t need (or worse can’t afford)
  • Take $20 out of the bank

Start on Sunday, if by Saturday you still have that $20 bill you win, and should try again for another week. How long can you keep that bill intact ?

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Personal Finance: Lent Begins Today

As part of Lent, I am reflecting on my previous writings a little more, and this little chestnut was from 5 years ago, however, I have done some judicious editing  as well.

Mardi Gras was on Tuesday, so that means that Lent begins today and this is a perfect opportunity for folks to start something new with their Personal Finances (and their spiritual life, if they wish as well). Easter is a time for new beginnings or restarting something you need to resume, however, most people view Lent as a time to “find something to give up”. That is one way of viewing your Lenten journey, but another way is to look for something to Enrich your life for the 40 days of Lent (leading up to Good Friday and Easter).

Financial Lenten Journey

What areas of your personal finances could use either Enrichment or Better still a sacrifice that might help your financial well being? There are some very simple ones that I think about every year (and have done a few of them):

  • The Latte withdrawal penance. Cut out buying coffee for the 40 days of Lent and put that money aside, to either save, give to charity or pay down your debt. Keep track of this and see how much money you might be saving here, it’s worthwhile finding out where this discretionary money is going.
  • Read 4 Personal Finance books over the 40 days to enrich your understanding of your personal finances or your investing adventures. Building up your expertise over Lent is a good thing.
  • Brown bag it for 40 days, give up buying lunch at work, and bring your lunch instead. Another way to find out where your discretionary spending is going.
  • Take the bus to work for Lent. Leave the car at home, buy a bus pass and take the Bus to work. Yes gas is cheaper right now, but not driving might have other benefits for you (less stress, more exercise, etc.,).
  • Live on cash for 40 days and get rid of your credit cards. Freeze them in your freezer, lock them in your safety deposit box, or cut them up, but live on CASH only (no debit either) and see if you can do it, does it change your spending habits?

Think about these or suggest others, I am open to suggestions myself.

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Lent: Remember Sunday is an Off Day

Hey, those ain’t my rules, that’s what our minister told us. If you actually count the days in Lent from Ash Wednesday to Good Friday, you get more than 40 days, so the story I get is that on Sunday you get a break from your Lenten vows. Now I usually forget this one, and if you are doing financial stuff, maybe it’s not a good day to go “off the wagon” as it were, but if you are giving up chocolate or coffee, enjoy a little today, but get back to your vows ASAP on Monday!

My alcohol free Lent has started, but it is not going to be easy that is for sure. Oh well, if it was easy, what’s the point in doing it.

If you are putting away your credit cards for Lent, drop me a line with your progress, I am very interested in hearing from you.

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Happy Lent

This Lent must be quite serious, because the Catholics are giving up a Pope for it! OK, bad form on that one, but I just could not resist.

Lent

Lent

No I am not talking about lent as in, “I lent Michael James $10 either”, (more likely that sentence is backwards) I mean Big “L” Lent, as in the Christian Religious tradition.

Not sure of the fun things you could do for Lent? I have done this a few times, but for those new readers here are a couple of really simple things you can try for 40 days and see if it helps and if you can do it (Lent is great as a Test Period for Financial habit change):

Make Cash King (or Queen): Simply put away ALL your cards (including your debit cards) and use cash, until Good Friday this year (March 29th this year). I don’t buy the whole, “Debit is just like cash”, no it isn’t, it allows you to spend without knowing how much you have left, so use cash, it is a much better barometer for your spending habits.

Find a killable debt, and kill it! Simple enough, but it can’t be a massive debt, because you can’t really get it done in this short period of time, but if you have a credit card debt that can be dealt with in less than 2 months, do it! When you are done, celebrate, by going and killing another debt!

You can give up something as a penance type gesture, like giving up coffee (if you buy it somewhere expensive), however, check with your loved ones first to make sure they are OK with that. I quit coffee one Lent and was a complete son of a bitch (more so than usual if that is possible) and Mrs. C8j forced me to start drinking it for her sanity. If you are paying $6 a day on coffee, you could save up to about $300 right there, could make for a fun time somewhere. If you bring your lunches you’ll save even more money.

Scare the hell out of your wife and suggest you go to Church every Sunday during Lent (if you are not Church going folk), it’s fun to add that kind of tom-foolery during Lent as well.

 

 

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