5 Things to Consider Before Spending

 By Courtney Hall

People all across the United States changed their spending habits since the recession hit in late 2007. Pinching pennies and paying off debt became the new way to live. Splurging for big purchases was simply out of the question, even if it was for something useful such as a new appliance or electronic device.

However, we are beginning to see a change in the way people are spending their money. After years of living to save, consumers are now giving into their desires a little more. Global luxury Sales increased 8 percent in 2011 due in large part to the renewed demand in the United States. Now this doesn’t mean that all Americans are running around in a spending frenzy but it does mean they are spending more casually than before. This is both good and bad.

The savvy savers at www.missmoneybee.com want you to practice smart spending habits. We understand the need to splurge every once in awhile but we are here to help you avoid going overboard and spending money on things you may regret later on. Follow our guide on splurging responsibly and consider these five things before spending.

  1. Is This An Impulse Buy? Impulse purchases happen when you see an item for the first time and you get wrapped-up in the moment and decide you need to buy it. Instead, when you get the urge to splurge take a moment to think through what you are about to buy. Are you letting your emotions get the best of you? Do you really need this item – chances are, if you really needed it, you would have been looking for it already and it wouldn’t be classified as an impulse purchase. Go home and think about it, and if you really “have to have it” you can always go back the next day, but chances are you won’t!
  2. Do You Have Other Bills To Pay? Okay, now there is nothing wrong with splurging every once-in-while and treating yourself to a big ticket item you have been dying for. However, if you start using money that you don’t actually have it becomes a problem. You have to make sure all your other bills and debts are paid before you spend money in the heat of the moment.
  3. Is Now The Best Time To Buy? Just because you have the money doesn’t mean you should necessarily buy. You may benefit more by holding off until a later date. For example, if you are planning to buy a television, there are certain times of the year where you can get a better deal. By waiting a month or so you could end up shaving off a few hundred dollars. Also make sure to comparison shop and set alerts on your phone to notify you of the best deals in your area.
  4. What Is The Return Policy? You could always wake up the next day and decide you don’t like your purchase. It is important to know what your options are before you swipe your plastic.
  5. Will It Make You Happy? Maybe the most important question to ask yourself before buying is “will this make me happy?” Only you know the answer and this is after all the whole point of buying the item, so make sure you are making this purchase for all the right reasons.

 If it is time for a little luxury in your life, do it cautiously and make sure the item is really worth your hard earned money.