"What I earn supports a certain lifestyle, living above that lifestyle means I’m living beyond my means." - Anon

Living a comfortable life doesn't necessarily entail having an extravagant lifestyle. It simply entails living a financial stress free life. Where you don't worry about whether or not you will push through to the end of the month. It’s a lifestyle where you are in charge of your money, managing it, rather than money managing you. One sure way of living a comfortable life is by living within your means.

It all begins by knowing how much you earn every month, and by this I mean your net income. This will basically be the amount you will be working with throughout the month so it’s best to always have tabs of what is sitting in your bank account or in your pocket before you start spending. Living within your means involves you knowing what those means are.

Next you need to define your needs and wants. What do you want and what do you really need. Evaluate your current financial situation and list down all your wants and needs, bearing the following:

• Why do you want it?
• How would life be different if you didn't have it?
• What other things would change if I had it?
• Which things are truly important to you?
• Do your wants and needs define your values

Having known how much you are working with, and defined your needs and wants, comes the spending part. From a wise financial perspective, it’s best to spend less than you bring in. Finance experts’ advice that your salary should account for 30 percent of your net income. If you are living in a house whose rent is more than 30 percent of your income, you are living in a house that is above your means. Living in an apartment that is above your income means you are denying yourself the opportunity to have some savings every month or worse have to borrow in order to finance some of your other expenses.

[READ: A Budgeting System That Might Work for You]

Try to avoid debt as much as possible. Using credit cards or borrowing so that you can make purchases doesn't mean you are living within your means. You are actually spending money that isn't yours. You might end up spending more on those items you bought on credit, as opposed to paying cash for them due to interest rates that come with some loans.

It’s wise to save up for your purchases. Put aside some money each month until you have enough to buy what you want. If you can’t afford to save up for it, then it’s evident that you can’t afford it.

Lastly, always have some savings with you. The benefits associated with saving money are countless. In case you lose your job you’ll have some soft landing, financially that is, while you are looking for a job, plus emergencies will never find you unprepared and will not hamper your financial stability. An emergency fund of three to six months of your living expenses is ideal, start yours now.

As Benjamin Franklin put it, “A penny saved is a penny earned.”

At the end of the day, living comfortably doesn't entail you spending to impress others; it basically entails you having enough money to meet your needs a few wants.