Saving money by cutting expenses during 'no-buy' July

You may have heard of frugal February. But "no buy" July?

- Ann Carrns

The seventh month has become the seasonal focus of the "no-spend" budgeting trend, popular on social media, in which people swear off discretionary spending for a period of time to save, pay down debt or just get a handle on their finances.

The interest in fiscal fasting comes as many people deal with financial uncertainty. Millions of student loan borrowers in the US are in default, and many others are struggling with making payments again after a long pandemic-era pause. Late credit card payments are rising. And while inflation has moderated, worries persist that tariffs will stir it back up.

"Things are very expensive right now," said Ms. Jasmine Renae Ray, a certified financial planner. "People are asking: 'How do I save money? What can I control?"

Seeing how much you can save by eliminating non-essential items can make it more of a game than a painful slog, said Ms. Gretchen Rubin, the host of the Happier podcast, who wrote about her own experience with a no-spend month. "It's a fun experiment," she said. "It forces you to face up to your spending habits."

There has also been something of a cultural shift, with some more willing to talk openly about money—or the lack of it—and to embrace more restrained spending, said Ms. Janelle Sallenave, chief spending officer at Chime, a financial technology firm. "Being frugal was viewed as being cheap," she said. "Now, it's being viewed as smart."

WHY JULY?

February has traditionally been considered a prime month for temporary belt-tightening as people aim to pay off credit card bills from year-end holiday spending or try to stick to New Year's financial resolutions. It's less clear why July, more typically associated with taking time off from work, has become a target of aspiring tightwads.