Spending on Impulse: How to Break the Habit and Boost Your Savings

Spending on Impulse: How to Break the Habit and Boost Your Savings

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Everyone’s done it—you go to the shop for one thing and leave with a bunch of things you didn’t plan to buy. Impulse spending is one of the largest challenges to building savings, and it can sabotage your budget if you’re not careful. The good news is that overcoming spontaneous purchases is possible, and with a little discipline and a few simple strategies, you can start saving more money and making better money choices. The key is to identify the triggers behind your spending and swap those tendencies with positive, money-saving behaviours.

The first step to stopping spontaneous purchases is to set up a spending plan and stick to it. Knowing exactly how much money you have allocated for extras free online financial money advice each month can help you resist the urge to purchase items impulsively. When you see something you are tempted to purchase, give yourself a cooling-off period—give it a day before pulling the trigger. This gives you time to evaluate whether you really need the item or if it’s just an urge. Usually, you’ll find that the desire to buy fades, and you’ll avoid spending money needlessly.

Another useful idea is to limit your exposure to temptation. If online shopping is your challenge, opt out of marketing emails and take out saved payment options from your favourite retail sites. If you tend to make impulse purchases in person, avoid bringing your credit cards and pay in cash. By putting limits on your ability to spend, you’ll have more time to think about your purchases and avoid falling into the impulse spending trap. Overcoming impulse spending may take time, but the benefits over time—increased financial security and reduced money anxiety—are worth the discipline.