Live ’09 with more frugal values
It’s time we stop instant gratification and preach patience
Stress for Success
December 30, 2008

Brace yourself: 2009 may be even more financially challenging than 2008. Given that our collective American values got us into this mess perhaps we should identify which ones and replace them with values to help us get through it and avoid the same mistakes in the future.

Here are some values that drove our profligate behavior in recent decades and new ones with which to replace them:
* Greed Þ moderation
* Instant gratification; spend now! Þ patience; save more!
* Materialism Þ generosity

A thesaurus search for "moderation" finds: restraint, self-control, and temperance. "Excess" is its antonym.

In which ways are you personally excessive? Do you eat or drink too much? Are you a shopaholic? Does your excess fail to satisfy you in a day or a week? It may be time to consider decreasing yours significantly.

But first you must decide if you actually value moderation. Identify how restraint could benefit you - and not just financially. For example, if you’re an over-spender does this create tension with your significant other? If so, controlling your spending would benefit both your bank account and your relationship.

When tempted to buy something unnecessary ask what you value more, the item or your relationship, the item or your bank account. Consciously comparing how much you prefer one thing over another prioritizes your values. If you buy the item consciously admit that you currently value the item more than your relationship or your bank account.

The infamous American need for instant gratification has skyrocketed along with advertising, intensifying with each new generation. We forget that our grandparents accumulated their possessions after a life time of saving for them.

Instead, many in financial stress today were tempted by the soaring real estate values that made them feel rich. Those who refinanced their homes taking out and spending cash on stuff now have lots of stuff and a home that' s worth less than their mortgage.

We need to get back to the novel idea of buying only that for which we have cash. However, the convenience of credit cards makes this hopelessly outdated. But you can stay on a disciplined budget and enjoy the convenience of credit cards.

Decide how much you can afford to spend monthly after your rent/mortgage is paid. Withdraw that amount of cash divided it into four weekly envelopes. When you get gas, for example, use your credit card. Then transfer that amount of cash from a spending envelope into a checking account deposit envelop to cover the charge when it comes through.

Finally, imagine a world where generosity is valued more than materialism. People literally giving the money they’d otherwise spend to someone who needs it. Or being more generous in spirit: volunteering, taking time to listen to someone who needs to be heard, or visiting a lonely neighbor.

These idealized, if not always actual, frugal American values could have avoided this financial mess. They can still get us back to basics reminding us of what’s really important in life. And it isn’t stuff.

Jacquelyn Ferguson, M. S., of Inter Action Associates, is a trainer and a Stress Coach. E-mail her at www.jackieferguson.com with your questions or for information about her workshops on this and other topics and to invite her to speak to your organization