Why we still believe in having the good things of life money can buy, the joy, sense of satisfaction that come from having things, that perfect vacation, giving out generously to the community. And paying for my kids to be born college. Etc.
It’s still not to be taking lightly the danger that emotional spending can have on our Overall financial health. When people began to complain about lack of capital to start there dream business, or the down payment to acquire there first piece of Rental property. They fail to realize that changing just a few of your spending habit can put you on the fast track to turning those what-if into reality.
What is emotional spending.
Have you ever spend money to improve your mood? maybe you were stressed, felling fatiqued, or unhappy? Did it ever cease on you that buying that new pair of shoes can calm your negative emotion?
It is also known has retail therapy, trying to derive joy from buying new stuff that you didn’t need. According to phycology today, it’s called. “The neurochemical of happiness” when we shop, our body releases dopamine, that make us feels happy for the moment. Ironically, most of those blissful release is during the anticipation of that shiny new toy, not the actual purchase. And before we know it, the bliss is gone.
Signs you are spending emotionally.
1. You feel like your purchases are always competing with others:
Buying stuff to fit in with a crowd, or to give the appearance that you’re of a certain socioeconomic status, is something alot of people struggle with. It can become unhealthy for both your self-esteem and your wallet.
2. You are spending to get some relief:
Spending can be a kind of escape. It provides a moment of relief from our everyday responsibilities, because starting at cute makeup or browsing sales sections is bolter easier and more fun than doing the dishes, catching up on emails, or picking up the front room for the fifth time today. That’s is why they refer it to retail therapy.
And making purchase is an expensive way to feel better or take a break when there are many alternatives that don’t cost a dime.
3. You spend money to celebrate yourself:
A promotion comes your way at work or finally achieve your personal accomplishment. You have being working towards, why can’t you give yourself a high-five by spending a little bit. However, if you feel that you constantly need to spend money on a new item or new experience as a mean that you’re using spending as a way to connect with yourself at a big emotional distance.
4. Spend money when you are stressed about money.
Bills are pie-up and creditors are knocking. It can sometime feel like you don’t know how to handle it. So what are you tempted to do? Satiate the unhappiness or stress by going out to dinner or upgrading your TV.
How to avoid emotional spending.
Spending money comes easily to all of us and all of us loves spending. But when shopping is a vice for dealing with stress, sadness or even fear, then it’s a big problem.
“If you fail to plan, you’re planning to fail,” ever head that saying? You need a plan to keep those rollercoaster emotions far, far away from your shopping cart.
And below are some simple steps to help you shop responsibly.
1. Budget, budget, plan your spending:
When you use your money with a plan in mind, you feel much more confident about your spending habits. It helps you get really clear about what you want.
When you stick to a budget, you can wake-up in the morning after a big purchase and breath easy, because you already make room for it in your. (And if you haven’t get budget yet, here can be the best place to start)
3. Put it on hold:
It’s the things we didn’t plan on purchasing that throw off our budget and leave us overwhelmed. Asking yourself questions like.
- Why do I want this item?
- Will I really use it?
- Does it fit within my budget?
Having the store hold the item for you for 24 hours. If after that time frame you still want to make the purchase then take the next steps.
3. Put your previous “guilt” purchases on paper.
When last did you make a purchases only to feel guilty after. Take some time to write down things you have felt guilty for buying recently and why you felt remorse.
If you are feeling guilty for buying something, finding out the root cause can help you overcome this. It will help you identify the purchases that you are buying out of habit and discontinue buying things that make you feel guilty or shame.
4. Sit to calculate the cost:
Whenever you’re feeling that emotional spending is kicking in. You stop for a while and calculate the cost of buying it. Try to think of how many hours a day you need to work or have an overtime if you buy it.
A lot of quilt can come from what we buy when we are emotionally shopping. When we are sad, mad, or lonely we can easily talk ourselves into thinking that a new phone or work outfit will make us feel better. However, during this time you are more likely to purchase things you don’t need, making you feel guilty after it’s a vicious cycle of feeling upset, buying something to make yourself feel better and feeling worse for buying unnecessary things.
However, you must remember that spending money to feel better will not last. The problem is still there, but your money is gone. That feeling can be worse. Now, you’d feel guilty. So, in the end, emotional spending doesn’t really help cope up with the loneliness.