How Do I Live Below My Means? A Real Talk About Financial Freedom

Today let us address the question, how do I live below my means?

It’s a question that pops up for many of us when life starts feeling more like a game of financial survival than a journey toward freedom. Whether you're living in a buzzing city like Johannesburg or navigating student debt in Cape Town, the cost of simply existing feels sky-high. Living below your means sounds simple enough, but let’s be honest — it’s not always easy in a world that profits from your desire to upgrade, splurge, and keep up.

But here's the good news: it can be done — and no, you don’t need to give up every little joy in life. You just need a mindset shift, a few smart strategies, and the courage to say "no" when it matters most. Let’s dig in.

How do I live below my means?

What Does “Living Below Your Means” Actually Mean?

Living below your means doesn’t mean living a life of constant denial or extreme frugality. It means spending less than you earn, consistently. It’s about building a lifestyle that prioritizes sustainability over showiness, and long-term peace over short-term dopamine.

When you live below your means, you have margin — a financial breathing space that allows you to save, invest, and plan for what really matters.

Step 1: Know Your Numbers

You can’t live below your means if you don’t even know what your “means” are.

Track your income — Not just your salary, but any side gigs, grants, or passive income.

Audit your expenses — Go through the last 2–3 months of bank statements. What are you actually spending your money on? Be honest, even if it hurts a little.

Categorize your spending — Essentials (rent, groceries, transport), lifestyle (entertainment, eating out), and extras (impulse buys, subscriptions you forgot you signed up for).

Once you’ve mapped out your financial reality, you’re in a position of power.

Step 2: Prioritize Needs Over Wants (Most of the Time)

This is where discipline comes in. Living below your means means saying yes to your future self and no to short-term temptations — at least most of the time.

Ask yourself:

1. Do I need this or just want it right now?
2. Will this purchase bring long-term value?
3. Is there a cheaper or better alternative?

A little questioning goes a long way. No, you don’t have to cut out all fun — but you do have to make intentional choices.

Step 3: Create a Budget That Reflects You, Not Social Media

Forget about cookie-cutter budgets. Your life isn’t like anyone else’s, so your budget shouldn’t be either. That said, the 50/30/20 rule is a great starting point:

50% on needs

30% on wants

20% on savings and debt repayment

But tweak it if you need to. Maybe you want to save more aggressively, or maybe your “needs” take up a bigger slice. The goal is to design a budget you can actually stick to, not one that makes you miserable.

Step 4: Automate, Automate, Automate

Let’s face it — human beings are not always rational, especially when payday hits. That’s why automation is your best friend.

• Set up automatic transfers into your savings or emergency fund the moment you get paid.
• Automate your debt payments so you don’t “accidentally forget.”
• Use apps that round up your purchases and invest the spare change — small actions compound.

Out of sight, out of temptation.

Step 5: Cut Without Feeling Deprived

Living below your means is not about stripping all joy. It’s about cutting back without cutting yourself off from happiness.

Try this:

• Cancel one streaming service you barely use. You won’t miss it.
• Meal prep instead of takeout — healthier and cheaper.
• Buy second-hand where possible (cars, furniture, even clothes).
• Practice “the 24-hour rule” for purchases — wait a day before you buy anything non-essential. You’ll be surprised how often the urge passes.

Focus on spending in areas that truly bring you value and trimming the rest.

Step 6: Build the “Why” Behind It

Living below your means only becomes sustainable when you’re clear about your why. Is it to get out of debt? Start your own business? Travel? Save for a home?

Write it down. Put it somewhere visible. Remind yourself daily: I’m not depriving myself — I’m investing in my future.

Step 7: Make More Money (Yes, That Counts Too)

Sometimes the issue isn’t overspending — it’s under-earning. Living below your means also means increasing your means.

• Start a side hustle.
• Upskill for a better-paying job.
• Sell what you don’t need.
• Monetize your skills (writing, design, tutoring, social media management — whatever you’ve got).

More income = more space to save, invest, and breathe.

Final Thoughts: This is About Power, Not Punishment

Living below your means isn’t about being cheap — it’s about being in control. It’s a mindset that puts you in the driver’s seat of your financial life.

You don’t need to match anyone else’s lifestyle. You just need to build one that works for you, today — and sets your future self up to say “thank you.”

Start small. Stay consistent. And don’t let the pressure to “look rich” keep you from actually becoming financially free.