Spending on Impulse: How to Overcome the Urge and Increase Your Savings

Spending on Impulse: How to Overcome the Urge and Increase Your Savings

Blog Article

Everyone’s done it—you walk into a store for one thing and leave with a bunch of things you never intended to purchase. Buying on impulse is one of the major obstacles to building savings, and it can quickly derail your financial plans if you’re not careful. The good news is that overcoming spontaneous purchases is possible, and with a little focus and a few helpful tricks, you can start increasing your savings and making better money choices. The key is to understand the causes behind your spending and replace those habits with positive, money-saving behaviours.

The first step to reducing impulsive buying is to set up a spending plan and follow it. Knowing exactly how much money you have set aside for non-essential purchases each month can help you fight the temptation to buy things on a whim. When you see something you are tempted to purchase, wait before buying—give it a day before making a purchase. This gives you time to evaluate whether you truly want it or if it’s just an urge. In most cases, you’ll find that the desire to buy fades, and you’ll keep your money in your pocket.

Another helpful strategy is to reduce opportunities for temptation. If online shopping is your downfall, opt out of marketing emails and remove saved payment details from your favourite retail sites. If you tend to buy without thinking in person, avoid bringing your credit cards and shop with cash instead. By putting limits on your ability to spend, you’ll have more time to consider what tips on saving money you’re buying and avoid getting caught in impulsive buying habits. Breaking the habit may take time, but the eventual payoffs—increased financial security and less financial stress—are definitely rewarding.