Living on half your income. Impossible? No. Daunting? Yes. How do we accomplish this? With willpower made of steely determination and making major sacrifices. Add to that a dash of honesty, and you’re on your way. Easy, right?
All joking aside, the obvious first step is to cut back on your spending, and the way you do that is by taking a hard look at your expenses. But first, let’s take a look at why anyone would want to save half of his or her income.
Given the recent challenges with the economy, it’s just smart to save half your income. Even if you can’t save half, you should aim to get pretty close to it. After all, you never know when you’ll face a rainy day due to a layoff, illness , car problems, legal issues, etc. Many people are just one paycheck away from financial ruin. Living on half your income prepares you to live on less while saving more for that rainy day. And you can do this whether married or single. The question becomes: Can you live on less to save more?
More Info: www.forbes.com