Lately I’ve been think about what people are capable of doing when under a lot of pressure. Often the results can be quiet amazing, you never really know how much you can accomplish in 2hrs before a deadline until your forced to do it. So I thought why not take this approach to money management. In theory if you put enough monetary pressure on people, they would be able to utilize their money far more effectively.

So how does on apply pressure to themselves? Well before you even start to apply pressure you have to be careful that you don’t apply too much, the extra cash is not worth the happiness it will take away.

Step 1 is to set deadlines, the only way I know how to do this is to set goals. Read this previous article on How to set goals. By setting a goal you create a deadline for yourself, you can use this deadline to hold yourself accountable.

Step 2 is to force yourself to save. I suggest you follow the steps in The How to, On Saving. By creating an automatic system for saving, you will save money that you never had the chance to spend. This creates further pressure because you no longer have the same spending budget as you used to.

What else can you do to put pressure on your money management? Please share in the comments so we can add a Step 3.

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Filed under: Saving