When you go shopping, do you buy things because you have planned to buy them? Or because you just got paid and it's a sale that you can't resist? Do you suffer guilt and stress after impulse shopping because now there isn't enough money left for the needy things?
If you are an impulse shopper, there is hope for you. There are things you can do to take control over your compulsiveness and yet, still enjoy spending.
Compulsive shopping is usually a result of not budgeting your money, not prioritising your needs and not planning for your future. When there is no control factor involved in your spending, it becomes an addiction that can become your biggest problem.
Prioritize Your Expenses
Begin by drawing up a chart and listing your needs first ie: monthly bills of rent, car and home insurance, food, gasoline etc. and their monthly cost.
Next, pick a realistic amount that you want to put aside into a retirement savings account each month.
And last, list the things that you would like to spend money on such as clothes, entertainment, dining out etc.
Prepare Your Budget
Have your “needs” list paid first by setting up with the bank an account to have them automatically paid each month. This way, there is no forgetting or being short of money. Make sure you include your retirement savings in this list.
With the money that is left over, you need to budget your “want” list, which would include entertainment, dining out, vacation savings and clothing allowance.
It is vital that entertainment is budgeted as well as vacation savings. Why? Because if your budget is tight, stress begins to build when it seems that all you do is work to pay the bills. You need to schedule some money to spend on something personal that makes it all worth it. Plan some entertainment money even if it's only enough for a pizza and a movie each week.
Plan for Your Future
Don't let your needs or lifestyle for today steal your need for retirement security. Set up a retirement savings plan and have money withdrawn from each pay and put into that account even if it's only a couple dollars.
You can do the same on a smaller scale for a savings account for unexpected things or larger purchases.
By planning your money, you become responsible as you see exactly what monies are available to you. Impulse spending will fall away because for one thing, there isn't as much available money to just spend. And secondly, because you begin to develop a sense of pride and excitement as you shop selectively and begin to see how well you do with the money that is available to you.
You become more resourceful and more satisfied because you are shopping wisely, and this gives you a far greater appreciation of your purchases than impulse shopping ever could.
