We all work hard for the money we earn, so why waste it on stuff we don’t love or need? It sounds dumb, but we all do it. Look around right now and think about what the things around cost and are costing you. More than likely, only a few items around you are things you really care about. Here’s how I limit what I have so I can save money and splurge on what I really care about.
Determine What You Love or Need
It is important to understand what really matters to you. What do you enjoy doing in your leisure time? Whether you love biking, video games, television, sports, reading, cooking, baking, or anything else, determine what it really is that you love doing. Once you determine this, you know what to spend money on.
As an example, I love sitting down and watching TV and movies in my leisure time. Because of this, I like to spend my budgeted fun money on quality items like TV upgrades, a new sound system, and peripherals like a media server, Blu-ray player, and Chromecast.
Eliminate Spending on Likes
This is where most individuals have trouble. Instead of buying things that fall into the category of things you absolutely love, we often buy things we see, think “that is neat,” and then put in a closet or on a shelf. Before making a purchase, determine if this purchase falls under the categories of things you need to live or things you love. If it isn’t, remember that you are probably not going to miss this non-purchase and walk away.
PC gamers, I know you fall into this trap all the time. Many of you wish that you had more money to purchase upgrades to your gaming computers, but then you purchase every game that goes on sale with it already being impossible to play all the games in your library. A simple reflection on what is important to you goes a long way.
Finance What You Love with What You Don’t
This is pretty self-explanatory and simple, but people rarely do it. Sell the stuff you don’t love to finance the things or activities you do. Not only does this cut down on clutter, and give you money, but it can also save you money. Think about all the people that “need” to a larger place to live because they have too much stuff to fit in a smaller space. Additionally, many people think they “need” a storage unit for the same reason. However, a storage unit is a worst case scenario because you are then paying to visit you belongings. Having more stuff cost more money. So why not have less stuff, but stuff you really love?
An example of this is when I recently wanted a new graphics card for my computer. However, I didn’t have the money budgeted to purchase what I wanted. Instead of settling for something I would only “like,” I sold a bunch of stuff I didn’t use and bought a card even better than the one I was looking at. I could do this because I was willing to let go of old gadgets and small kitchen appliances that I no longer wanted or needed.
Do you do something similar? Or have a buying/selling philosophy of your own? Tell us about it in the comments below.