How many shirts do you own? How many handbags? Towels, computers, pairs of shoes? In western countries, we usually buy and keep a lot more than necessary.
How much out of what you keep in your wardrobe is stuff that you REALLY need?

Different needs are created in different situations. You might for example feel like you’re in need of new coffee cups for your kitchen, though the ones you have are not broken, just old or maybe out-of-fashion.
Nobody wants to travel with an overweight backpack! To plan your packing well and make it light and easy, you need to go back to your essential needs.
Going for the essentials is also a great way to be economical and even climate smart.

Make a list of the things that might fit your needs, while staying within your budget, and invest in those.
How can you always have somewhere to sleep without spending lots of money? This might be the right time to buy a tent!
Does your budget include self-cooking? Then a good gas-burner might be your next choice, etc, etc.

You will obviously need clothes to stay warm as well as clothes that doesn’t overheat you. Certain religions/cultures might also be easier to meet if you carefully dress depending on where you are.
Except for this, go for ONE pair of pants, ONE pair of shoes, and so on. That’s all you need. It’s light and it’s cheap.

Even if you’re not going to travel the world with just a backpack, maybe the idea of your essential needs can help you creating a smaller budget for next month?