In a time when internet shopping is more appealing than ever, it’s important to reevaluate your spending habits. Yes, it can be comforting and distracting to spend hours online shopping for a new swimsuit, but at the end of the day, there are healthy ways to manage your finances while still occasionally indulging in new purchases.
It’s important to understand the way that your spending impacts your financial health. Here are some easy ways to create the spending habits that work best for you!
Keep Track of Spending
Once you take a step back and look at your weekly or monthly expenses, you see exactly where your money is spent. Expenses shouldn’t be a mystery, and it’s important to keep track of exactly where that paycheck disappears to each month.
You might have developed some bad spending habits, but it’s never too late to reconfigure your budget.
When you begin to examine your budget, review bills, and receipts on a monthly basis. While you might prefer scanning receipts into digital format, it can be helpful to hold on to hard copies at first. Make sure these are clearly organized, so it’s easy to access records!
Make a Shopping List
When you go to the grocery store, don’t be tempted to buy extra goodies. Although it seemed appealing at the time, you might regret buying the ice cream, cereal, and cheeseballs that looked delicious in the aisles.
It’s time to make a shopping list.
- Only Buy What You Need – Write down your shopping needs and stick to them. If you’ve compiled a thorough grocery list ahead of time, you’ll be less likely to impulse shop and pick up extra items.
- Put Indulgences on the List – Everything is good in moderation, including moderation. Include one or two indulgent items on your list, so you feel rewarded without going overboard.
- Have a Snack – Don’t shop on an empty stomach! Everything looks better when you’re ready to eat dinner.
Make your shopping experience fun and easy. Buy a specific notepad for lists so you have all the tools to sit down and plan.
Implement a “One In One Out” Policy
When you do decide to purchase a new item, find something you already own to give away. This keeps closets tidier and drawers more orderly. This also allows you to step back and reconsider whether or not you really need to bring a new item into your home.
It’s important to take stock of your buying choices. If you want to purchase a new shirt, look through your old shirts to see if there’s one that could be given to charity. This way, you’re incorporating conscious decision making into your purchases.
Don’t Be Hasty
This goes especially for online shopping. If you see an item that you feel you really need, allow yourself to walk away for a day or two. See if you find yourself thinking about the item, or regretting not making the purchase. On the other hand, notice if you haven’t thought of it at all. This is a great way to prevent quick clicking fingers from getting you into a financial pickle.
Again, this allows you to be more mindful of each purchase, and to only bring things into your home that you really enjoy.
Work with an Advisor
Sometimes, seeking the help of a professional is the best way to manage funds. It can be difficult to know which financial choices make the most sense for your lifestyle, and an advisor can help.
- Save More – Maybe you’re trying to save more for retirement, but need a little extra help. Or maybe you’re hoping to finally buy a house. An advisor will help you create a savings strategy that makes sense with your budget and allows you to focus on the big picture.
- Invest More – Maybe you want to look into growing your personal investments, but aren’t sure where to start. Working with a broker dealer is a great way to ensure you’re making smart, lucrative, financial decisions with access to investment advice and resources.
Use What You Have
Repurpose and reuse! Ignore the temptation to constantly acquire new things, and instead embrace the items that you already have in your home. Get creative and use old jam jars as pots for kitchen herbs, or turn your old quilt into a tablecloth. Appreciate the function of the items around you, the possibilities are endless.
Additionally, use less to save more. This goes for things like electricity and water. Run your dishwasher less and make sure to turn off lights before you leave the house. Even the small amount you’ll save will add up.
Know Your Goals
No matter how finances fit into your life, making clear goals for yourself can help you stay on track and maintain healthy spending habits.
It’s important to know why your spending habits are important, and what you’re hoping to gain from managing your money differently. This way, you can save with purpose and feel empowered by your budget management.
