How to Avoid Impulse Spending

by on March 7th, 2015
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Have you ever been surprised at end of the month when your credit card bill arrived because you spent more than you thought you did?
Do you have things in your house that you don’t remember buying, or that you never use?
Do you always have the newest technology?
Do you come home with more things than you initially went out to buy?

These are all questions an impulse spender answers “yes” to. While, maybe its therapeutic or even fun to buy and own things, becoming an impulse spender can be a real problem. It inhibits one’s ability to save for things he or she REALLY wants. If you buy 30 outfits that you’ll never wear, you should probably stop and think about what all 30 outfits cost and what else that cumulative spending could have bought you. These small impulse buys add up and could be costing you a new car, a vacation, or even your retirement.

A few tips on how to fix this problem:

First – Admit you have a problem. Think about the things you could be doing with money you’ve saved, and how much happier you could be.
Second – Separate needs from wants and avoid spending money on things that aren’t important.
Third – Set goals. Open a savings account. Give yourself a realistic time frame in which to save up a certain balance and reach that goal.
Forth – Don’t let advertisements control your spending. Ad companies are good at what they do, but you can beat them by allowing yourself time to think about a purchase before making it.
Fifth – Make a shopping list. This is one of the most important steps because it helps keeps us focused. After creating the list, bring with you only enough cash to pay for those items and leave your plastic at home.

Follow these steps and you’ll find yourself more financially secure and with the ability to spend money on things that will make you happier in the long run.

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