Needs and Desires


The current economic situation will probably force us to make adjustments in our spending. A good way to begin is by separating your needs from your desires. Needs are things that are essential is our lives, while desires are things that we would like to have but are not indispensable.

  • Needs: shelter, water, electricity, education, health
  • Desires: cable TV, eating out, travel, electronic games

Check your budget and identify which of your expenses are needs and which ones are desires. This exercise will help you to make adjustments and reduce expenses that are not really necessary at this point. 

How to reduce your expenses?

The following tips may help you to stretch your money:

  • Control the use of credit cards.
  • Do not go out "window shopping."
  • Take small amounts of cash in your wallet and leave credit cards at home.
  • Buy only the things that you really need.
  • Beware of specials, hallway sales, and exclusive sales.
  • Use discount coupons.
  • Compare prices before shopping.
  • Save gas.
  • Use saving tips and help the environment. Learn about tips.
  • Fill the personal budget worksheet , to compare your monthly expenditures against your income.