We often land buying some stuff and then later regret on the unnecessary spend. In most instance the purchase is an implusive decision made without much evaluation. For some people it is hard to resist a buy. For others it makes them prove that they are worthy, some derive a great sense of accomplishment. Some more reasons are keeping up to a certain standard of lifestyle or deprivation of a good lifestyle when young. Each of us have overspent at various times in our lives. Occasional spending is alright...but if it forms into a habit then its sure calling trouble.
But there are ways of control which we can implement:
1) Plan every thing you want to buy
How many times we go to buy 2-3 things at the super market but land up with a basket full of things because there are offers in the shop luring us. Buy one get one free, freebies and huge discounts. Not being able to avoid the temptations we buy stuff that we might not really need!!
2) Set a Budget
Whenever you shop set an upper limit for the spend and try and avoid crossing the limit. The " Envelope Budgeting" technique has been followed since age long. Money for various spends like rent, groceries, utilities etc are set aside in envelopes and once the money in each envelope runs out there is no more to spend.
3) Never use Credit
Credit cards are so easy to use but the amount we spend is not tracked. Try and pay all the bills with cash or debit card. Avoid credit cards as much as possible. Never carry them to a place where you can really be tempted to shop.
4)Save first and then spend
Always set aside money for big purchases a little at a time and then buy.
5) Avoid emotional spends and shopping just to spend time.
6) Tiny drops make a mighty ocean
Check on any small non essential spends made. See if any changes in your present life style can lead to savings. Even small things like car pooling, eating out less often, optimizing electric usage or even going for a better plan for a phone can make a difference.
7) Research and try to crack good deals for big buys
Lot of websites carry comparitive prices. Try and see which is the most cost effective option.
In reality, we are most eagerly trying to save money but are getting victimized by overspending. Being honest and getting to the root cause will help us to not make those splurges in future.
But there are ways of control which we can implement:
1) Plan every thing you want to buy
How many times we go to buy 2-3 things at the super market but land up with a basket full of things because there are offers in the shop luring us. Buy one get one free, freebies and huge discounts. Not being able to avoid the temptations we buy stuff that we might not really need!!
2) Set a Budget
Whenever you shop set an upper limit for the spend and try and avoid crossing the limit. The " Envelope Budgeting" technique has been followed since age long. Money for various spends like rent, groceries, utilities etc are set aside in envelopes and once the money in each envelope runs out there is no more to spend.
3) Never use Credit
Credit cards are so easy to use but the amount we spend is not tracked. Try and pay all the bills with cash or debit card. Avoid credit cards as much as possible. Never carry them to a place where you can really be tempted to shop.
4)Save first and then spend
Always set aside money for big purchases a little at a time and then buy.
5) Avoid emotional spends and shopping just to spend time.
6) Tiny drops make a mighty ocean
Check on any small non essential spends made. See if any changes in your present life style can lead to savings. Even small things like car pooling, eating out less often, optimizing electric usage or even going for a better plan for a phone can make a difference.
7) Research and try to crack good deals for big buys
Lot of websites carry comparitive prices. Try and see which is the most cost effective option.
In reality, we are most eagerly trying to save money but are getting victimized by overspending. Being honest and getting to the root cause will help us to not make those splurges in future.
A penny saves is a penny earned. Never buy anything as because it is cheap. Discount is the most dangerous trap.
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