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The Money Edit is for women who are passionate about personal finance and financial independence.

This is a place to change your mind about spending, saving and living your best life.

Pro procrastination

Pro procrastination

There aren't very many situations where I encourage procrastination however, putting things off can be a strategic savings strategy.

When you have a goal in mind, every dollar counts on the way to getting what you want.

If you spend money that doesn't need to be spent, you're making someone else rich.

I understand that sometimes being organized means spending money in advance. If you know you're going to need shampoo next week, then buy it when you're at the grocery store. Yes, that makes sense. What doesn't make sense is buying 6 bottles of shampoo because they're on sale. How many extra beauty products do you have under your bathroom counter, just waiting to be used except you're still buying more? We're on the path to wealth here so use what you have and only buy what you need.

On a larger scale, delaying purchases like a newer car can really pay off. For example, we currently drive a 2006 VW diesel wagon, affectionately named Ron Burgundy. Although I REALLY want a newer car, Ron B is absolutely fine. He's not pretty, a little rusty around the edges and he's a bit of a tank. On the upside, he's very reliable, only needs to be filled up every 750 kms (less than once a month because we walk a lot!), and has been ticking away for a record 351,600 kilometers. We don't have a car loan and regular maintenance is fairly inexpensive. Our monthly spending on transportation is around $60. Annual maintenance is around $2000/year.

If we were to buy a newer used vehicle, we'd want something that will last for a long time. We figure it would cost us around $15,000 cash. As a rule, we don't use debt to buy vehicles, so that's a lot of money out the door in one fell swoop. We're currently saving and keeping our options open, but in the mean time it's all about Ron B!

To appease myself and make sure I keep in mind anything is possible, I keep a running list of everything I want in my little black book. This includes everything from the Jo Malone perfume I've been lusting over for 5 years to new work pants to taxes. It helps me keep in mind what I will consciously spend my money on, and what is a frivolous extra.

Which purchases can you delay to avoid giving away your cash? What do you think is necessary to buy now? I can't wait to hear what you think about this -

Freedom for $20/week

Freedom for $20/week

To LOC or not to LOC, that is the question

To LOC or not to LOC, that is the question