3 Ways To Stop Buying Things You don’t Need

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There are two types of people in this world, spenders and savers. If you are a single person, you have to try and balance the two behaviors to reach your personal goals. Dave Ramsey, one of my favorite authors, cleverly calls the two types of people “Nerds and Free Spirits”. It seems like there are more spenders then savers out there.

In fact, the average person today has less than $1000 in their savings account according to a recent CNBC article.

If you find yourself spending uncontrollably and can’t seem to figure out how to stop the madness, here are 3 ways to stop:

1. Before you buy stuff you don’t need, think about how much of your life you traded for it

This has helped me the most in my ability to cure frivolous spending.

When I was 13 I became a shoe freak. I loved saving up and buying the newest pair of Jordan’s. I bought shoes or asked for shoes as gifts at every occasion. That came to a screeching halt when I started working for my own money…haha.

When I was 17 I was making about $10 an hour as a waiter and I started realizing that if I bought a pair of Jordan’s for $200 that was like working 20 hours of work. So I would spend a week of my life working for a pair of shoes, never again.

When I started figuring out the “true” cost of stuff I started spending, investing, and saving differently.

An easy way to figure out your hourly pay, even if you make a salary, is to divide your salary by 2080 (2080 is 40 hours a week for 52 weeks)

If you make 40,000 per year that is roughly $20/hr at 40 hrs/week

Remember, the cost of anything is the amount of life you traded for it.

2. Move to an all cash system

This is the “Dave Ramsey” Method. If you literally can’t control the compulsive swiping of a credit or debit card, he recommends moving to an all cash system where you literally carry around only cash and spend it. When you do this, you will start to see just how fast money can come and go.

Of course there are always concerns, what about an emergency, what if I lose the cash, etc. However, drastic times call for drastic measures. You can’t spend money if you don’t have any.

me

I had to put the meme in haha 🙂

I used an “all cash” system when I was paying off debt, but I used my debit card as the form of cash, which forced me to only spend money I had in my account.

3. Stop comparing yourself

This is crucial! We have all heard about the Jones’ by now. The funny thing is, if the Jones’ we are trying to be like are the average person, then they are broke haha. According to CNBC 59% of people have less than $1000 in their savings account. 59%!?!

It is so easy to scroll through social media and start comparing our lives to everyone else’s and trying to “buy” or get what they have. The problem is that, it is all a façade. It is a snapshot of one point in one day or 4-10 second clips of the great things happening in others’ lives.

Not that they don’t have a great life, but everyone has ups and downs that they go through on a day to day basis. We don’t know how much hard work was put in or other challenges they might have struggled through and faced getting to where they are currently.

When you decide to stop comparing yourself to others then you will stop buying things you don’t need. It is important to ask yourself constantly, “Will this add value to my life? Can I live without this? Do I need this right now? Can I save this money and put it towards something even better down the line?

Related Post: 4 Questions You Should Ask Before Spending

The basic things you need:

Shelter, Food, and Transportation… If you have these 3 things you are better off than many people in this world.

We buy things we don’t need, with money we don’t have, to impress people we don’t like…sounds about right?

Have I compared myself to people before? Of course!  I am human. That is why I bought a $1000 tablet thing I never used, I talked about it in my failure’s post.

If you find yourself spending money on random things and it is becoming uncontrollable, try these 3 strategies.

Once you stop the impulse buying, you can start to live peacefully on a budget that matches your goals.

How have you stopped spending on things you don't need?