spend less than you earn

Annual income twenty pounds, annual expenditure nineteen nineteen six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery. --CHARLES DICKENS

Clearly not a new concept, a sound financial principle, and the most important rule when it comes to money, so why is it still so hard to follow? ;)

Okay, this was going to be the end of the post until I found an article that quite persuasively argues the above maxim faulty and should instead read earn more than you spend and I'm inclined to agree. It has a lot of good tips on how to increase your income in small but painless ways; read it and tell me what you think!

Of course the best approach is to be both frugal when you can (spend less) AND seek ways to increase income (earn more) to achieve whatever your financial goals may be.

Comments

[Krissa]

I think "earn more than you spend" is closer to the mark, too. Since I don't earn cash anymore, I'm one to talk though! Snort!

[have gone vegan]

Tell me about it! ;)

I've always been MUCH better at cutting expenses than figuring out how to get more money to come in. Unfortunately though the trick is to become good at both parts of the equation.