CNN —
When 44-year-old Kate Kaden from Maine became a single mom a few years ago, she struggled with getting financially back on track, especially after the holiday shopping season.
She started to make videos on YouTube about participating in an emerging movement called No Spend January, where people resist the temptation to buy anything non-essential for an entire month. That means no new clothes, no going out to restaurants and no coffee runs.
“I wanted to stop the bleed,” Kaden, who is currently doing her fifth No Spend January, told CNN. “I needed food on the table and to pay my mortgage but I didn’t need all of the things I was buying.”
Kaden is among the growing group of influencers on social media sites such as YouTube, TikTok and Instagram who are sharing tips with their thousands of followers about how to make it through the month without spending money on nonessential items.
It’s also a challenge more people are taking on for shorter periods of time — such as a No Spend Week, a No Spend Weekend or No Spend Sunday — or during other months of the year.
Kate Kaden, a single mom from Maine, is participating in her fifth No Spend January challenge.
Kaden, who said she saves about $2,000 or more during a No Spend Month, has been able to build up her emergency fund and pay off debt. “The hardest part is breaking the habit of spending, but it sets me up to be more mindful about money for the rest of the year.”
Neil Sanders, a retail analyst at GlobalData Retail, said No Spend January remains “relatively niche” but has seen growth in the number of people participating in recent years.
“The idea is that it’s a kind of financial detox after a period of elevated spending,” he said. “This is attractive as consumers get a lot of bills during January for all their holiday spending.”
At the same time, however, most people don’t want to give up their indulgences, especially during “a bleak month,” he said. “Theevent is a very long way from being universal.”
January can also be a hard time to resist shopping because so many retailers offer deeply discounted items.
If pulling back on spending in January isn’t appealing, you can have your own No Spend Month at any point in the year. Of course, you will always have to spend enough to pay for your essentials, such as your rent or mortgage, your utilities, gas and food. But beyond those, here are some ways to set yourself up for success.
Decide why you want this
The first step is to identify the reason for doing a No Spend Month in terms of either your short-term or long-term goals, whether it’s to boost a savings account, pay off debt or save up for something like a vacation.
People who identify why they’re deciding to cut their spending in January can get closer to their desired goals faster, according to Kaden.
Shop-proof your phone
One of the surest ways to resist making impulse purchases from apps such as Amazon or Target is to remove them from your phone. The same goes for getting off email marketing lists, unsubscribing to text promotions or deleting social media all together.
According to personal finance expert Ted Jenkin, CEO at Oxygen Financial and author of the “The 21 Day Budget Cleanse,” it takes most people about 3 weeks to ingrain any type of habit – and that includes the way they spend money. Removing temptations during this period will help with any reset.
“Try to curb your social media or screen time,” he said. “Remember, the algorithms on these social media programs know exactly what you like and they will keep serving you up ads until you buy something.”
Influencer Melissa Corriveau, who is also doing No Spend January this year and offers a spending tracker on her website Life with Less Mess, said she stops following some social media influencers who encourage her to spend money during the month. “It’s been really healthy for my mindset,” she said.
Identify what you will and won’t do
Make your own rules. Shopping and eating out are typically the first things to go, but there can be exceptions. For example, you may want to plan ahead by setting aside money to buy someone a birthday gift or grab drinks with a friend coming in from out of town.
“It’s you against yourself,” said Kaden. “You just want to do better than you usually do.”
Meanwhile, one TikTok user said she’s “taking it to the extreme” by cutting back on buying groceries and using up whatever is saved in the freezer, only supplementing that with some occasional fresh produce, milk and eggs.
“If this works out, I might continue this moving forward,” she said. “I won’t lie though, I am terrified about the Costco trip after this month to restock everything.”
If you received gift cards over the holidays or have any saved, it could be a good time to use them because they were purchased by someone else.
But Corriveau said if it’s better to avoid shopping all together for the month for your mindset, save the gift cards for later.
Make lists
If you’re tempted to buy something during the month, write the item down and revisit the list in a few weeks to gauge if it’s still worth purchasing.
People can also make lists of free ways to spend their time, such as going to the library, volunteering, taking walks outside, picking up a hobby or watching shows and movies via a streaming service you’ve already paid for.
In addition, a No Spend Month is a good time to declutter closets and bedrooms, so it’s easier to see what you already have and how you can use what you find if you still like it. And if you don’t, you can donate what doesn’t work for you anymore.
“A sprinkle of minimalism and having less in general relieves stress,” Kaden said.
Talk with your partner
Financial expert Jenkin said it’s important to get on the same page with your significant other. “It can be hard to get your spending back on track if you don’t have the same goals in your household,” he said.
At the same time, influencer Kaden enlists the support of friends to help her throughout the month. Rather than meeting up with someone for coffee or dinner, she suggests joining them for a walk or scheduling a game night.
Kaden also interacts with her community of 50,000 YouTube followers who share comments about their No Spend January progress and setbacks on her page. “Connecting with like-minded people can make you feel less alone throughout the month.”
Don’t quit
Setbacks are inevitable, especially in those first few days, but it’s important to stick to the plan.
“It’s easy to automatically spend without thinking because it’s so hard to change a behavior you’re used to having,” she said. “For people who haven’t done No Spend [Month] before, it’s a whole new world, but even with one or two setbacks, it’s better than the 25 setbacks you’d typically have during the whole month.”
Spend smarter
Some people use their month to spend more strategically at the store. Some social media influencers such as Kiersti Torok help connect others to coupons and discounts in local mailers or retail apps.
Torok walks her 430,000 followers through how to save money on everyday items such as toothpaste, toilet paper and detergent at popular stores, often shrinking bills in half or more.
Start small
Not all personal finance experts are on board with the No Spend trend. Ramit Sethi, the author of New York Times Best Seller “I Will Teach You How to be Rich,” told CNN he’s “not a fan” of No Spend January.
On his website, he advises people should “spend confidently on the things you love, and cut back mercilessly on the things you don’t,” versus cutting nearly everything out.
Jenkin said people can indeed make significant changes by only trimming a few areas. The easiest place to start? “No coffee shops. No Amazon purchases. And put every item in your online shopping cart for at least 48 hours before you buy it,” he said.
