From E.M., online: My smartest investment move was simply living below my means, as that allowed me to build a sizable investment portfolio. – Below

 That’s one of the smartest financial moves anyone can make. These days, it can be easier said than done, though, as credit cards and buy-now-pay-later arrangements can make it easy for us to overspend.

If you spend exactly what you earn, you can avoid going into debt. But living below your means involves spending less money than you earn. That leaves extra cash to deploy toward priorities such as saving for retirement, saving for college expenses or paying down existing debts. Paying down any high-interest-rate debt (such as that from credit cards) should be high on your to-do list, because it can snowball, get out of hand and sabotage your financial security.

Per LendingTree.com, the average credit card interest rate was recently 24.2%! To live below your means, it can help to set up a household budget, spelling out how you want your income to be spent. Take some time to study exactly where your money is going, and rein in any non-necessary spending, perhaps for memberships and services you’re not even using.