This was originally posted on Fabulously Broke in the City
You only live once!
The Situation: Money will always come and go. You only live once. Spend!
The Solution: While I agree that you shouldn’t be a miserly Scrooge and save every penny because it physically hurts you to spend it, going the other extreme is just as bad.
When you’re old, whatever shall you do? Eat out of cat food cans? Beg for money? Wish you had done things differently?
Regret always leaves a bitter taste in your mouth.
Don’t be a grasshopper. Be an ant.
Delayed Gratification sucks!
The Situation: You don’t want to wait and you want to enjoy it now, not in a year when you will have the money saved.
The Solution: If it isn’t a truly essential item (hot water heater or a fridge), then you can wait.
“Spaving” = Spending to Save
The Situation: You see the low-end and high-end models of the iPhone that you don’t really need but want desperately.
You buy the lower end model, and justify the purchase to yourself that you SAVED money, by NOT buying the higher-end model.
The Solution: You could have saved the entire amount if you just kept the money (or credit card) in your pocket.
Nothing is saved, unless you can see it in your bank account.
I am not talking about using coupons or discounts to buy what you will eventually use such as toothpaste or shampoo.
It is when you are in the store, buying on impulse and trying to justify it with your spaving logic, that is the problem.
I deserve….[insert item or service here]
The Situation: Bad hair day, Long day at work with the boss yelling at you, your kids are driving you insane… and you run to the mall for retail therapy.
The Solution: You need to find another way to relieve stress, rather than run to the mall to shop.
It is a high to shop and buy something pretty to make yourself feel better, I can attest to it!
Sure, it feels awesome to get the purchase- you feel like a lion who has just scored a big juicy zebra who happened to be napping under the tree, miles away from its herd.
But just remember that the high doesn’t last, and may leave you with a sick feeling in your stomach as you stare at your unnecessary, unwanted, unaffordable purchase.
It’s an investment in my career/love life/..[insert excuse here]
The Situation: You buy new clothes and shoes for your wardrobe because you go to work to bring back the bacon.
The Solution: Understand that an investment is something that makes you money over time.
While I understand that you cannot go to work in sweatpants and your baby food stained top, your clothes, technically do not make your money.
You do. Your brain does.
So if you head to the mall to find another pair of black heels to wear with your investment suits, you are just taking this way too far!
Besides, if your shoes or suit does not appreciate in value over time, then it is not an investment, and not many items fall into this category.
Louis Vuitton trunks, Hermes bags and everything else I cannot even dream of affording is in here, but certainly not clothing from Anthropologie, Forever 21 or Banana Republic.