If you fix your expenses to what’s predictable, debt becomes a ladder to a calmer future.

Hands writing a budget in a notebook on a café table with coffee — cash-only rule in practice

Before Picking Gifts: The Wallet Rule

One December Saturday, before the department store opened, I sat in a café and wrote one line:
“Christmas gifts are cash-only. If I use a card, I pay the full balance this month.”

At the displays I asked myself, “Budget set? Caps per person?”
I know I impulse-buy without a list. So I pre-pulled the cash.
“If I can’t pay a card this month, I don’t buy it this month.”

My friend at the entrance said, “It’s the holidays—live a little.”
“I will—as long as I can pay it off this month. I’m not borrowing from future-me.”

That night I taped the receipts into my notebook and totaled the page.
I had fun, and my account—and my mind—stayed calm.

Before Picking a Car: My Personal Car-Budget Rule

A Saturday at the showroom. The salesperson asks, “What are you looking for?”

I name a price band that’s ≤ 6× my average monthly income—and I never go over it.
Why? Because expectations creep fast. You bump one trim, add one more package…
and suddenly you’re staring at a price future-you can’t carry.

Also, a brand-new car isn’t mandatory. In fact, a 3–4-year-old used car has already shed the “new-car premium,” which is often the most value-for-money window (assuming good condition and history).

So I keep a live view of my bank balance and pay only within that.
And the moment I buy, I start saving for the next one. Cars are consumables; things break.
I set up an automatic “next-car fund.”
I accept one notch less “wow” today so I don’t have to borrow from future-me tomorrow.
Live within my lane, with prepared cash.
On the drive home, my mind is light—and next month’s bill looks peaceful.

Cash for Consumption, Leverage Only for Homes

My second rule is simple: I only use debt to buy a home.
I prioritize location, take a 30-year fixed mortgage, and keep housing costs ≤ 30% of my take-home pay.

I learned this the hard way. I once bought with an ARM.
A rate-reset push alert could drop my stomach; my thumb flew to the banking app.
“How much this time? And next?” One line of numbers could derail a month’s budget and thin my sleep.
Feeling how a curve I couldn’t control could rattle my everyday life, I switched for good:
30-year fixed + the 30% rule. Predictability is my best insurance,
and a mortgage also works as forced saving—principal quietly stacks up month by month.

“Isn’t Prepaying Always Better?”

Same number, different value: $100k today isn’t the same as $100k in 20 years.
Inflation erodes both cash and debt.
Prepaying early means using your most expensive dollars; stretching payments means using lighter dollars.
On paper, total interest can look worse, but the inflation-adjusted burden can be lower with a long amortization.
So I don’t rush principal prepayment—I protect liquidity so I can grab a deal, upskill, or start something small when the moment shows up.