Do you sometimes find yourself making impulse purchases? Or do you sometimes buy unnecessary high priced items? Well you are not alone. While some people are naturally savers, and others are naturally spenders, we are all prone to indulge in impulse buying. Something might look pretty and shiny that caught your eye, or you are standing in the checkout line and you overhear someone talking about an awesome deal they just found and you don’t want to be left out, or you innocently walk through the aisles and spot something you think you need even though you don’t. Yes, we have all been there!
There is one technique I use to decide whether or not something I did not previously budget for is worth me purchasing. Once I know the price of the item I am considering to purchase, I figure out how many hours I would have to work at my job to be able to afford the item. For example, what if you made $20 an hour at your job. You are walking through the store and you spot a lovely pair of sunglasses for $180. You would have to work for 9 hours at your job to be able to afford that sunglasses. Taking a step back, do you think that sunglasses is worth you working 9 hours to be able to pay for it, or is there something more important that you could do with the money?
While this technique might not work in every situation for you, because there are some deals that are so hard to pass up (so you think!), it can be helpful if you look at it from the perspective of how many hours of your time you have to give up to pay for the item. You might find yourself walking out the store with your money still in your pocket because you realize that item is not worth you working 5 or 6 or 12 hours, just so that you can pay for it. The most ideal situation is to plan for and budget for your expenses so that you can meet your financial goals. Unnecessary and unplanned purchases takes you a step back from your goals, as you have to move money from one area of your budget to pay for the unnecessary purchase that was made.
Is there a technique that you have personally used that has been helpful in reducing the number of impulse purchases that you make? Please share in the comment section below! Please like, share, or leave any questions or feedback below.