12 Money Tips to Help You Track Your Expenses and Save Enough for Your Dream

We have all heard about tracking our income and expenses, making shopping lists, and putting money away for a rainy day, but none of these things has ever made us any richer. Most of us still continue to waste our money as soon as we earn it.

This is why we decided to find the simplest and most effective tips that will help us avoid impulsive purchases and say “yes” to rational decision-making.

1. Visualize.

12 Money Tips to Help You Track Your Expenses and Save Enough for Your Dream

How does it work? Marketers do everything they can in order to make you somehow see a product and want to buy it, this is why fitting rooms are usually in the farthest corners of stores, and the most expensive goods are at your eye-level. In their arsenal, they have products with special offers, the letters SALE on the windows, plastic cards with discounts, pleasant smells, and nice music.

What’s the right thing to do?

  • Option № 1. Do the “Stranger test.” You want a new dress? Imagine there is a person in front of you holding what you want to buy in one hand, and its money equivalent in the other. Which one do you choose? If you want the money more, it means you don’t really need the product that much.
  • Option № 2. Imagine your purchase 6 months later. Here is the dress you wore just once, hanging uselessly in your closet. Use this moment to make the right decision.

Don’t give up without trying both of these options.

2. Don’t touch what you like.

12 Money Tips to Help You Track Your Expenses and Save Enough for Your Dream

How does it work? People really value the things they own, this is why when people sell used things, the prices they set are incredibly high. After holding something you like, on a subconscious level, you think that it is already yours. The wild price doesn’t seem as crazy anymore, all of the recommendations on saving money are forgotten, and here you are about to pay for a new smartphone that you don’t need at all.

What’s the right thing to do?

  • Ask the sales associate to demonstrate how the phone you like works or to show you the sweater you think you like.
  • Buy things online less often. Studies showed that online shopping is even more out of our control and we make more impulsive purchases on the internet.

The most important thing — no matter what, don’t touch the thing you think you like.

Prev1 of 6Next

Loading...

Leave a Reply

Your email address will not be published. Required fields are marked *