impulsive spending

27 Dec

7 Ways to Cut Back on Impulsive Spending

The holiday season can’t end soon enough for those people who love to shop. From Black Friday to Small Business Saturday and Cyber Monday, your bank account might be taking a hit, but there are plenty of ways to cut back on impulsive spending.

Habits are hard to break no matter what, but impulsive buying habits can be especially difficult to deal with. Thankfully, the new year is the perfect time to get your spending back on track. Here’s how!

7 Ways to Cut Back on Impulsive Spending

  1. Always bring a list. Begin every shopping outing with a list of exactly what you need. If it’s not on the list, don’t buy it! Period.
  2. Use cash every chance you get. Spending with cash makes paying more of a reality – you’re literally handing over the dollars from your wallet. Consumers tend to be more aware of the amount they’re spending when they purchase with cash. It helps!
  3. Wait before you buy. If you see something you really want or think you need, give yourself some time and space. Walk away and give it 24 hours. If you’re still thinking about the item, then consider returning and purchasing it.
  4. Convert the price to the time you spend at work. Think about how much you make an hour and factor that into the price of the product. If you make $10 an hour and the item costs $100, that’s 10 hours of work to pay off that item. Is it worth it?
  5. Plan a shopping spree. Put money aside and plan regular shopping sprees where you allow yourself to buy things you want on the spur of the moment. Take $100 every season and have a little shopping day at your local mall.
  6. One item in, one item out. If you need to purchase something brand new, plan on getting rid of an item you own. Can’t think of anything to get rid of? Don’t make the new purchase!
  7. Always shop with a budget. Having a budget keeps you aware of how your spending measures up to your income. Never go shopping without understanding your budget first and knowing how much you have to spend during your shopping trip.

Breaking a bad habit doesn’t happen overnight. It takes time, patience and a lot of hard work. By following the previous tips, you will get your spending back where it should be and help you for next year’s holiday season.