Money is not just a piece of paper or metal coins; it is of great importance in our lives. They allow us to provide for housing, food, education and many other necessities. However, how to properly manage your finances and how much you should spend on entertainment is a topic that requires special attention. According to financial planners, proper allocation of funds will help to maintain financial stability and provide a decent standard of living. Let’s look at the recommendations of experts and find out what percentage of your income should be allocated to entertainment every month.
How much spending is reasonable?
When we talk about money, we often think about how much we spend on necessary expenses like food, housing, and bills. However, what about entertainment? Many of us may spend small amounts on eating out at a restaurant or going to the movies, but gradually, these amounts can accumulate, and we don’t notice our spending exceeding our means.
Tom Corley’s research shows that strict spending habits are a priority for rich people. They live below their means and minimize unnecessary spending. In his book “Rich Habits, Poor Habits”, he describes how most rich people emphasize financial habits, and this helps them keep their budget under control.
Interestingly, the recommended figure for spending on entertainment is less than ten percent of your monthly net worth. This includes going out to restaurants, bars, movies, and other forms of entertainment such as the occasional manicure, massage, fitness class, or even travel. Basically, if you make $2,000 every month, for example, you should spend no more than $200 a month on entertainment. And if your hobbies include gambling entertainment, then they also should fit in this 10%. To save money on such entertainment, users can go to www.twinspinca.com and look for no deposit bonuses there.
This figure may seem small, but as Corley emphasizes, if you take a close look at your spending over the past month, you may find that it is over the limit. Keeping your entertainment expenses below the set amount may require you to make some sacrifices, but the results won’t be far behind.
As the author rightly points out, “if getting rich was easy, everyone would be rich”. It is important to realize that to strengthen your financial situation; you need to change your habits and approach to money management. Thus, by sticking to a set figure for entertainment spending, one can achieve greater financial stability and desire
