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

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

Blog Article

Everyone’s done it—you walk into a store for one thing and walk out with a basket filled with products you never intended to purchase. Impulse spending is one of the largest challenges to saving money, and it can sabotage your financial plans if you’re not mindful. The good news is that getting over impulse buying is possible, and with a little focus and a few practical tips, you can start putting more aside and making smarter financial decisions. The key is to pinpoint the reasons behind your spending and replace those habits with smart, savings-focused actions.

The first step to curbing impulse spending is to make a financial plan and adhere to it. Knowing exactly how much money you have available for discretionary spending each month can help you fight the temptation to make unplanned buys. When you see something you want to buy, take a break—pause for 24 hours before making a purchase. This gives you time to think about whether you truly want it or if it’s just an unnecessary desire. More often than not, you’ll find that the urge to purchase disappears, and you’ll keep your money in your pocket.

Another great tip is to reduce opportunities for temptation. If buying online is your downfall, remove yourself from mailing lists and remove saved payment details from your favourite retail financial advice sites. If you tend to spend impulsively in person, avoid bringing your credit cards and use only cash. By putting limits on your ability to spend, you’ll have more time to think about your purchases and avoid getting caught in impulsive buying habits. Overcoming impulse spending may take time, but the benefits over time—greater savings and lower money worries—are definitely rewarding.