Trouble is, some people use shopping and spending to help forget their problems. And some are compulsive. They buy things they dont need and cant afford and wind up with a whole new set of problems If you are a spendthrift, its possible that you have low esteem, that your marriage could be in danger and your relationships hampered. Worse, you will lose your ability to live the way you really want to live. Implement these steps to assume control over your finances, and build a secure fiscal future for yourself and your family.
Are you becoming a shopping freak and cant help it?
You feel guilty about spending even on legitimate essentials. You lie to your spouse about how much you have spent. Your credit card debts are piling up. You have no idea where your money goes and cannot keep track of how much has been spent on what. If you have any of these symptoms, you need to mend that hole in your wallet, very urgently.
Dont know how much you spent?
When do you think you spend the most? Is it when you are hungry, depressed or when you want to lift your mood? You could be spending to alleviate your depression or satiate your hunger, without even knowing it. In order to check that and keep a track on that check every receipt, record every purchase and detect what made you buy what you did.
Dont do impulsive buying just for the heck of it.
Do you often go window shopping or walk into a mall just to look and end up in some reckless, uncalled-for spending? Decide that you will not buy anything on impulse. Set a budget for shopping trips. Give yourself a little mad money. And dont spend a penny more.
Pen it to know where you stand
The fact that you have been overspending shows that you never make the connection between your income and your outgoings. Making a note of every purchase will hold you accountable for it. You know what, you will spend less money as you see the figures of your expenditure rising.
Cut Up Your Credit Card
When you pay with plastic, you dont see any moneyleaving your hands and you forget momentarily that you are just deferring payment. Bring cash whenever possible and leave credit and debit cards at home. You may be having too many credit cards. One is more than enough. Cut up the others. Paying up by credit cards means you can pay tomorrow. That is where you dont think of present and end up buying unnecessary things. Cut up the others. If you cant trust yourself to use even one credit card wisely, destroy that one too. It will ensure that you buy only when you have cash.
A Strict no- no to Sales
Avoid mass merchandisers even discount ones if you only need a few items and cant trust yourself to stick to your list. Just because there is a sale in the local mall does not mean that you should attend it. Its foolish to buy things you dont need just because you see a good bargain somewhere, because, in the long run, its going to be a bad deal for you and only lead to financial disaster.
Are you ready to defend yourself?
List your priorities. Ask yourself how you are going to feel when your credit card bills arrive and whether the items you bought were necessary in the first place. Ask yourself whether you are closer to any of the goals that you set up for yourself. That was youll think before you spend.
Create a Realistic Budget
Put aside some money at the very beginning of the month, when you receive your pay packet, as savings. Then, keep aside money for your fixed outgoings like groceries, electricity, milk, rent etc. Then, establish how much you have to spend each week on everything apart from these fixed expenses. Withdraw all through the week. This will keep you aware of where your money is being spent and you will be more thoughtful and careful about spending it. Fix a spending limit for every week and stick to it.
Make a List
Even when you go to buy essentials, take a list of things you have to buy. Ensure that you go only to those counters which stock these and dont meander through aisles looking at stuff thats not on your list. That helps me picking up those extra pickle bottles or the new flavour of drink that you know is inessential.
If, after making the effort, you find that you are unable to deal with your spending addiction, seek help. A counselor will get to the root cause of your problem. Once you identify the problem, you will stop spending as a balm to your mental state. Seek the advice of a financial expert to put your books in order. He/she may have helpful insights that you may not have thought of. Once you rein in your spending, you will sail smoothly towards financial security and wise investments for a well provided for future.
