How to afford what you want without going broke

In an era marked by rising living costs, increasing consumer temptations, and complex financial decisions, many people face a dilemma: How can I afford what I want without putting my financial stability at risk? How can I fund a trip, a car, an education, or even a small business without drowning in debt or sacrificing essential needs? This comprehensive report provides a detailed, 3000+ word guide to realistic, well-studied methods that help you achieve your goals without going broke.

Part One: Define the desire – from wish to financial analysis

1.1 Distinguish between needs and wants
 Everyone has ambitions, but not everything must be fulfilled immediately. Ask yourself: Is this a necessity or a luxury?

• Need: Buying a laptop for work.
• Want: Buying a new phone when the current one still works fine.

1.2 Consider the opportunity cost

When you spend on something, you're giving up something else you could have achieved. Is the trade-off worth it?

• Example: Spend SAR 3,000 on a gaming console or invest it in a course that improves your income?

1.3 Conduct a personal feasibility analysis

Make a list of pros and cons, cost breakdowns, and short- and long-term outcomes.

Part Two: Set a clear financial plan – money doesn’t move without a map

2.1 Create a flexible budget

Your budget is your financial map. Use the 50/30/20 rule or tailor your

budget to fit your lifestyle.

2.2 Use planning tools

• Local apps like “Mahfazati” or “Finxar”
• Excel spreadsheets

Personal finance tools like YNAB (You Need A Budget)

2.3 Set SMART financial goals
 Example: “I want to save SAR 12,000 in 10 months to buy a professional camera by saving SAR 1,200 per month.”

Part Three: Smart consumption – save without painful sacrifices

3.1 Buy at the right time

Wait for official sale seasons. In the Gulf, these include end-of-year sales, Ramadan, and National Day promotions.

3.2 Use coupons and cashback

Use apps like ShopCash, Wafrat, or your bank’s loyalty points.

3.3 Group subscriptions

• Share Netflix or fitness app subscriptions among friends.

3.4 Compare ownership vs. usage cost

• Do you need to buy it, or can you rent it?
• Example: Rent photography equipment for a one-time event.

Part Four: Proactive saving – save before you need it

4.1 Enable automatic savings

Set up a standing order to automatically transfer a fixed amount to your savings account each month.

4.2 Interest-earning savings accounts

Banks like AlAhli, Bank Albilad, and others offer accounts with monthly or quarterly returns.

 4.3 Try savings challenges

• Coin jar challenge
  Example: A young Qatari saved SAR 10,000 in a year by starting with SAR 1 and increasing the amount weekly.

Part Five: Increase income streams – don’t rely on one source

5.1 Small businesses

• Sell handmade goods on Instagram.
• Offer translation, design, or content writing services.

5.2 Stocks and investment funds

Invest small amounts in balanced index funds. Refer to the Saudi Capital Market Authority for guidance.

5.3 Invest in yourself

Each course or certification increases your chances of earning more.

Part Six: A new financial mindset – saving ≠ deprivation

6.1 Focus on value

Choose what gives you the best value, not just what’s cheapest.

6.2 Gradual spending

Don’t go straight to the premium option. Start small, then upgrade if necessary.

6.3 Delay gratification

Studies from Duke University show that delaying gratification is linked to a 45% higher rate of achieving financial goals.

Part Seven: Avoid unnecessary debt – don’t let the past consume the future

7.1 Credit cards

Only use them if you can pay off the full balance. Don’t just pay the minimum.

7.2 Consumer loans

Avoid loans for luxuries like new gadgets or vacations.

7.3 Refinance old loans

Sometimes transferring a loan to another bank with a lower interest rate can reduce your burden.

Part Eight: Benefit from government and institutional support

8.1 Easy-access financing programs

• Nafath funding from the Social Development Bank
• Home business support programs

8.2 Student discounts

Reduced rates for transport, internet, and software.

8.3 Government initiatives

Employment support Saudization incentives

Part Nine: Prepare for surprises – emergency fund and insurance

9.1 Emergency fund

Save enough to cover 3–6 months of basic expenses.

9.2 Insurance

• Health insurance
• Property insurance

9.3 Backup income plans

Prepare for emergencies through selling unused assets or taking up temporary jobs.

Part Ten: Regular reviews and plan development
 

10.1 Review goals quarterly

10.2 Update budget as circumstances change

10.3 Learn from mistakes and adjust accordingly

 

Fulfilling your financial desires doesn’t have to be a luxury — it can be part of a smart, flexible financial journey. With proper planning, analysis, and discipline, you can achieve your goals without falling into the debt trap or going broke.

Remember: Money is a tool. How you use it makes all the difference. Start today, even with a small step. Don’t wait for wealth to manage your money. Manage your money to create your wealth.

 

References:

• Harvard Business Review – Consumer Financial Decisions
• Saudi Central Bank – Financial Awareness Reports
• PwC Middle East – Financial Behavior in the GCC
• Coursera – Financial Planning Basics
• Rich Dad Poor Dad – Robert Kiyosaki
• McKinsey – Gulf Youth Financial Trends
• Psychological Science – Emotional Spending Patterns
• YouGov – Consumer Behavior in MENA
• Mahfazati App – Al Rajhi Bank
• Finxar – Goal Tracking & Saving App
• Cambridge University – Saving Behavior Research
• Oxford Business Group – GCC Economic Reports
• Gallup – Financial Literacy & Success
• Mawareness.sa – Saudi Ministry of Finance
• Forbes Middle East – Smart Spending for Arab Youth