#025 How to Stop Spending More Than You Earn

DESCRIPTION
You only live once! But that doesn’t mean that you will mindlessly and irresponsibly spend your money
all your life. The smartest way to live is to budget, preserve capital, invest, and to save for future needs,
emergencies, and escapades.
On this episode of The Money Podcast, Rob shares how to avoid spending beyond your means, how to
deviate from bad spending habits, and how to spend but at the same time, invest and save money. With
his tips, your habits, addiction, needs, are taken into full consideration, so you don’t have to worry. You
got to be smart to live your (only) life to the fullest!
KEY TAKEAWAYS
 You’re not tracking how much you spend. If you track your money and you budget, it’s difficult
to spend more than you earn.
 With any kind of planning – money budgeting or doing your to-do list, the best thing to do is
plan before. Better plan what you’re going to do on Thursday on a Wednesday night. In this
way, you can happily end your Wednesday. And, if you plan on Thursday itself, there’s a
probability that you might get suck by the emergencies.
 Understand emotionally why you’re spending more than you’re earning. Am I spending on
emotional purchases? Am I spending in order to look good for someone else? Have a level of
self-awareness.
 The cure is to fill your voids another way. For Rob, writing books and making podcasts then
sharing it to the world is filling the void.
 What could you replace these buying things you don’t need with to meet the same need?
Sometimes, we want to show off. That’s fine. We just don’t need to survive. We want to feel
important, worthy, praised, etc. We can get those needs met without spending money. It’s
better to spend money as a reward to yourself, not because of addiction.
 Set a specific goal. You can buy some opulent things but they are always targeted on dividends
and drawings of company. There are expensive stuffs (e.g. watch) that you buy and at the same
time meet your need that go up in value. You got your needs, the praises, and the addiction met
yet it doesn’t erode the capital.
 Preserving capital, falling yourself into thinking you’re spending but you’re actually investing
and saving. Commit to learning how to buy a £40000 car that doesn’t go down. It’s a fun game
to play and learn about managing money, preserving capital, buying appreciating assets rather
than depreciating liabilities.
BEST MOMENTS
 “The only way you’d be spending more than you own is being emotional rather not knowing.”
 “Our brain is chemically wired to shorten the time it makes decisions by making things habitual.
We’re wired to be addicted to dopamine, etc. Find a new way for your addiction.”
 “We all need to feel important. Otherwise, what’s the point of living?”

 “The sweetest prize is the one we worked the hardest for.”
VALUABLE RESOURCES
 Low-Cost High Life: Live an Affordable Life of Luxury by Mark Homer
 Uncommon Sense: The Popular Misconceptions Of Business, Investing And Finance And How To
Profit By Going Against The Tide by Mark Homer
 Money: Know More, Make More, Give More: Learn How To Make More Money And Transform
Your Life by Rob Moore
ABOUT THE HOST
Rob Moore is an author of 9 business books, 5 UK bestsellers, holds 3 world records for public speaking,
entrepreneur, property investor and property educator. Author of global bestseller “Life Leverage” Host
of UK’s No.1 business podcast “The Disruptive Entrepreneur”
“If you don't risk anything, you risk everything”
CONTACT METHOD
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