How to Save Money Fast
Updated: Jun 3, 2023
*Not financial advice - your money, your choice*
We've all been there before: you walk into a store with the intention of buying one or two items, and before you know it, you've spent far more than you planned.
The beanie and neck gaiter I have on are both impulse purchases btw...
Shopping can be fun and exciting, but it can also be a major source of financial stress. By taking a few simple steps to plan your purchases, you can effectively get paid to reduce your own stress.
Step 1: Make a List
The first step in planning your purchases is to make a list of what you need. This might include items that you're missing from your closet, replacements for clothing that's wearing out, or things you need for your home or office or home office. By making a list, you'll have a clear idea of what you need to buy, which can help you avoid impulse purchases; not that those aren’t also fun but even impulse buys can be semi-planned for by paying attention to spending.
I’ve found great success in making a list and waiting. I knew that I needed new sun shirts and new running pants/shorts so I put them on my shopping list. Only, I didn’t buy them right away. I waited until we were coming out of winter to buy running pants (saved me 60%) and coming out of summer to buy sun shirts (also saved me 60%). This leads us to the next step...
Step 2: Wait for Discounts
Retailers frequently offer discounts and promotions, especially after the holiday season. By waiting for a sale, you can often get the same items for a lower price.
You can also plan your purchases around seasonal sales. For example, if you need ski gear, consider buying it in the spring when retailers are trying to get rid of inventory. Similarly, try to buy summer clothes in the fall when they're on clearance.
However, if there’s something that you REALLY want or need that may go out of stock, see the next 3 steps.
Step 3: Sleep on Purchases
Before making a purchase, take some time to think about it. Research has shown that we get the most dopamine and feel-good hormones during the act of shopping, anticipating the reward of buying whatever it is that we want… and those hormones quickly drop off after we make the purchase.
By waiting for a day or two or even drawing out the experience of shopping you'll be able to make a more rational decision about whether you really need the item or not and you’ll probably appreciate the act of shopping even more.
Step 4: Assign a Value
Before looking at the price tag, try to assign a value to the item you're considering purchasing. This might be a dollar amount or a subjective value based on how much you need or want the item.
If the price exceeds your value for the item, don't buy it. Pretty simple! This can help you avoid overspending on things you don't really need or want or will give away in 6 months.
Step 5: Ask yourself “How will this make me feel?”
Before making a purchase, ask yourself, "How will this make me feel?". It's easy to get caught up in the excitement of buying something new, but taking a moment to consider how the purchase will impact your life can help you make better decisions.
Will the item bring you joy and add value to your life?
Will it end up gathering dust in the back of your closet?
Will it contribute to your goals and values, or is it a fleeting indulgence?
One way to make purchases that align with your values and bring you joy is to invest in experiences rather than things. For example, instead of buying a new gadget, you could take a cooking class or go on a weekend getaway with friends/family/S.O.
Experiences create memories that are yours for a lifetime. Placing value on the experiences you have with people you care about may bring you far more joy than the dopamine rush of buying more stuff. And even if the people you have those experiences pass away, you’ll still have those memories of them. Until you pass away.
And, studies show, that caring about people and showing that we care delivers the most fulfillment. Even in the worst-case scenario, experiences often have a greater impact on our happiness and on the happiness of those we care about than material possessions.
Bonus step from my ADHD sister:
If you have impulse control issues with your shopping, and barely realize you’ve made a purchase until your card goes through, there are a few things you can do. First, try a deep breathing exercise whenever you feel compelled to click “buy.” If you can slow down your brain even for a second, it may give you the time you need to consider the above steps. And please seek professional help if you feel like your compulsion to shop is preventing you from building the life you want.
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Screenshot from "We're the Millers"
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