In part one of Fiscally Feasible Fashion, I implored all my readers to come to terms with their financial reality and to stop using credit to live outside their means.  While this might seem like odd advice coming from a girl who writes a style/fashion blog, I think we can all agree that long term financial health is far more important than that new Phillip Lim Blouse.  But just because we need to be more realistic about our spending habits, does not mean that we can’t make broke look fabulous.

The first thing you need to do, after you create a realistic clothing stipend, is analyze the state of your wardrobe.  To do this, you’re going to have to do the unthinkable…clean your closet.  Luckily, I’ve already posted about how to make your closet look like the inside of a trendy boutique.

As you remove the unworn and unwanted pieces from your wardrobe, take time to figure out why you’re not wearing them.  If the problem is something that can be fixed by a tailor, then it is better to save the item than to buy new.  Tailors can remove pockets to make pants and skirts less bulky.  They can hem sleeves and cuffs, let out and take in waistbands (within reason), and repair frayed edges or sew on buttons.

Once you identify the items that can be tailored to make them wearable, you get to the fun part.  You get to play dress up in your own closet.

For too many of us, the only time we look in our closet is in the 10 minutes we take to choose an outfit during the morning rush.  But if you want to cure the “closet full of nothing to wear” syndrome, then you need to spend some quality time with your wardrobe.

The key to having a pulled together look is layers.  Period.  Layer it up, add accessories.  Because it is the extra pieces that makes the outfit something special.

Try pairing styles, shapes and colors that you may not have tried before.  One of my current favorite looks is to pair different shades of the same color together: like a lavender sweater over a plum colored shirt or a dove grey pant with a charcoal jacket.  Just take some time and play dress up in your closet, then take a photo of it and hang the pics on the inside of the closet door for quick reference.

If you need inspiration, break out the fashion magazines.  You may not have the exact pieces shown in the photos, but they can spur ideas about what is new for that season and what colors, patterns and textures work together.

The Internet is also a great resource.  There are thousands of fashion blogs, and you can even use ShopStyle for help.  Just search for a piece you already own, and then look at the member pages to see what your fellow fashionistas did with it.  It’s a great way to get your mind thinking about building outfits.

The bottom line is that before you buy anything, you should be working with what you already have.  Take the time to see what diamonds might be hiding in the rough, and then identify the holes in your wardrobe.  Maybe your missing an essential item, like black pants, and adding that one piece could create four or five new outfits.

When the economy gets bad and budgets get tight, you have to shop smart.  No more spur of the moment purchases or impulse buys.  Know what’s in your closet, know what kinds of looks you want to create, and shop accordingly.