When money is tight and prices are rising, nothing can destroy your budget quicker than an expensive impulse buy. Like suddenly you must have that new SUV. Hello new ride, goodbye financial security.
Of course, most impulse buys are not that catastrophic. Impulse buys are usually small, just nicks and chips at the budget. In fact, according to Ramsey Solutions, people spend an average of $150 a month on impulse buys. That doesn't sound too bad until you realize that it adds up to $1,800 a year — just about what it takes to repair the car — or $108,000 in a lifetime. You could use that chunk of money in retirement.
The top impulse buys will sound familiar: Clothes, shoes, video games, candles, toys, books, takeout, and expensive coffee.
You can see how all those purchases fit into the top impulse motivation: emotion. That sweet coffee may cost eight bucks, but it makes you feel so good.
Shopping itself is a motivation. It's fun and you often run into deals. Sales on stuff you don't need, but seem too good to pass up.
It's much easier to avoid impulse spending when you know what your financial goals are and what you have available to spend. You have $50 fun money for the month and everything else is going to get yourself out of debt. Don't shop for food when hungry, or for fun when you are miserable.
After that, try this:
* Let the store be your storage unit. If you have to go home and put your purchase in a cabinet, why not let that thing stay right where it is? Let them store it.
* Ask yourself: Is this how I want to treat myself? Another bottle of window cleaner — is that really a treat? You should have some treat money, but ask yourself if that buy qualifies.
