How to Thrive Financially When Everything Feels Expensive
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Life feels more expensive than ever, and it can be overwhelming to figure out how to keep up. Cutting back helps, but real progress goes deeper than trimming a few expenses here and there.
Thriving in this kind of financial climate takes self-awareness, perspective, and the ability to rethink what truly matters. Here are a few ways to shift your mindset so you can build stability without feeling deprived. (Prefer to watch instead? Check out the video here.)
1. Stop Trying to “Fix” Your Spending (Figure Out Why You Spend in the First Place)
Most financial advice starts with cutting back: cancel the subscriptions, stop ordering takeout, delete the shopping apps.
But trimming your budget doesn’t work if you don’t understand why you’re overspending.
Overspending isn’t just about a lack of discipline. Sometimes it’s about emotion, habits, or even identity.
Maybe you shop when you’re bored or anxious. Maybe you buy nice things to feel more successful, or say yes to every outing because you’re afraid of missing out or looking like you’re struggling.
And sometimes, you might spend money just to avoid feeling broke. Ironically, that habit can keep you broke.
It’s easy to blame overspending on poor budgeting: “I forgot to track” or “I didn’t plan for that expense.” But often, it’s part of a deeper pattern psychologists call a habit loop: there’s a trigger, then an action, then a temporary reward.
Let’s say you keep ordering takeout even though it’s not in the budget.
The real issue might be that you’re overwhelmed, exhausted, or not confident in your cooking skills. So in this example, the trigger is feeling overwhelmed, the action is the takeout, and the reward is convenience. But that reward doesn’t last long if it puts you in a financial hole.
The real progress happens when you slow down and ask yourself what’s really going on.
Look for the patterns. Get curious about what your spending is trying to solve or soothe. When you start doing that, you’ll find that managing your money isn’t just about control, it’s about self-awareness. And that’s what actually creates lasting change.
2. Question Every Expense – Even the Ones You Think Are “Necessary”
We’re often told to cut back on wants, but sometimes the biggest drains on your finances are things you assume you need.
A lot of people feel broke not because they don’t earn enough, but because they’re paying for things they never stopped to question.
For example, do you actually need two cars, or could you make one work? Are you keeping that expensive gym membership because you love it, or just because you feel guilty canceling? And are you paying for more space than you really need?
A good exercise is to pretend you’re starting from scratch and ask yourself, “If I didn’t already have this expense, would I sign up for it today?”
If the answer is no, it might be time to let it go.
3. Get Comfortable With “Good Enough” Spending
One hallmark of frugality is knowing when to invest in quality.
Sometimes, spending a little more upfront saves you money in the long run, like buying a well-made pair of shoes that lasts years instead of a cheap pair that falls apart in months.
But while choosing quality can be smart, that doesn’t mean every purchase needs to be top-tier. Sometimes, good enough is actually good enough.
We’re often fed the idea that if we’re going to spend money, it should be on the best version of something: the nicest apartment in the trendiest neighborhood, the newest phone, the most flattering clothes to make a good impression. But chasing “the best” can get expensive fast.
The truth is, many people don’t have the budget for the best. And trying to afford it anyway often leads to overspending, debt, or financial stress.
Embracing the middle ground means giving yourself permission to choose the smart option – not the cheapest, not the flashiest, just the one that fits your life and your budget.
Maybe it’s a used car that runs well, a rental that’s safe and affordable, or a perfectly fine version of something that gets the job done.
The difference between “great” and “good enough” spending could save you thousands a year without making you feel like you’re missing out.
(Related: Download your mindful spending Money Mindset Bullet Journal — it’s your personal spending coach).
4. Stop Waiting Until You “Have More” to Start Enjoying Life
A lot of people put off fun, telling themselves they’ll start living once they reach a certain number.
“I’ll travel when I’ve saved more.”
“I’ll be generous when I feel more secure.”
“I’ll enjoy life once things aren’t so tight.”
But if you’re always waiting to hit a financial milestone before allowing yourself joy, you might never feel truly ready. And that mindset can backfire, leading to burnout, resentment, or even giving up on your goals entirely.
The key is learning how to balance saving for the future with living in the present.
This doesn’t mean reckless spending, but it does mean giving yourself permission to enjoy simple pleasures without guilt. Maybe that’s grabbing your favorite pastry, taking a spontaneous day trip, or picking up the tab for a friend just because.
Make space for the things that make life feel full. Financial success isn’t just about growing your savings, it’s about creating a life you don’t feel the need to escape from.