"No Spend January" aims to start the new year on the right foot financially
CHICAGO (CBS) -- In just days, we'll be ringing in the new year, and already there's a new trend for 2024.
It's called No Spend January and it's aimed at getting people on the right foot financially.
But will it work?
CBS 2's Lauren Victory takes a look at what it's all about.
You may have heard of Dry January where adults cut out alcohol for the month. More and more people are trying something new: trimming the fat on frivolous purchases.
A shot to your wallet is the goal of what's called a No Spend January.
Fork over cash for essentials like rent and groceries. But extras like new clothes, dining out and coffee are off the table.
"I'm like ugh, cut out something else. Cut out another pair of socks," said Rae Heying, Shift Supervisor at Jackalope.
The team at Jackalope Coffee and Tea in Bridgeport hopes to avoid the brewing trend with their good vibes and low prices.
"You can budget and still enjoy your neighborhood coffee shop," Heying said.
Other spots to save include delivery fees: drive yourself to pick up a food order.
Don't overspend at the grocery store by planning meals in advance.
"You can say, for January, I'm not eating out all month."
"No Spend January" videos are racking up YouTube views, as word gets out about its impact. How much can people save?
"People can save hundreds of dollars if not thousands of dollars a month depending on their spending habits."
Certified financial planner Phillip Shaw thinks "No Spend January" is a great way to curb impulse purchases.
"Wait two days. Wait two days. Think about if you really need it and if two days later you still want it, consider buying it," Shaw said.
Worried your newfound thriftiness will affect mom-and-pop shops?
Consider this from Kellogg School of Management Professor Phillip Braun.
"I think typical for people to cut back expenditures on in January relative, especially relative to December," Braun said.
This means small businesses are kinda used to a winter slowdown.
"We keep budgeting in mind you know, when we're making our prices," Heying said.
Whatever jolt you give your finances, here's what to do with that savings:
"If you have outstanding credit cards, if you have any kind of high-interest debt, make sure we're paying that off first," Shaw said.
Other money tips you don't spend, put some aside specifically for savings and contribute more to retirement accounts.
Another place to put that saved-up dough: an emergency fund.