The Challenge: Spend Less Or Spend Better

Our biggest pet peeve in the whole world is the education system and the fact it can focus so hard on getting you the best grades to land the highest paid jobs and yet not offer a single class on how to manage your money better. It’s why so many people fall into money traps, slip into debt, spend more than they have or make, and just generally get into bad financial habits.

Thankfully, we’ve gone and done the noble thing of compiling a list of tips, tricks and bits of advice that will help you curb your spending and be become that little bit wiser with your money. Think of us as real life martyrs. Anyway, without further ado, here’s everything you need to become more financially responsible:

1. The Three Night Rule

In a world where instant gratification rules the roost and the urge to buy something on a wild whim, try and exercise a bit of discipline, and the best way to do this is to sleep on a decision for three nights before you buy the thing you want. The reason: that something may not seem as attractive or necessary after three days pondering it.

2. Put It Into Time

When you are tempted by a purchase, instead of just looking at the price tag, convert that number into the amount of time it would take you to earn that sum. Say you’re looking at something that costs $150 and you make $9 an hour, that would be an extra 16 hours of working (minus taxes, etc.). It will put your purchase into a new perspective.

3. Leave Your Cards Behind

Instead of indulging your impulses by waving your card over a contactless machine, leave your cards at home and only take cash out with you. Not only will you visibly feel a trade happening, which is horrendous, you won’t be able to withdraw any more money, meaning you’ll have to walk away.

4. Ask For Help When It’s Complex

The thing about any big decision that involves money is, well, they’re complicated. Buying a house, settling a lawsuit, planning your financial future, investing – they are all complex. So ask for help. If you are buying a house, use a mortgage advisor to help you. If you feel you have a case strong enough to take to court, try hiring this disability firm. If you want to be prepared for your retirement, go and chat with a financial advisor, or if you want to invest in a cryptocurrency, get into an office with a portfolio manager.  There is always help out there. Use it when money is involved.

5. Buy New, Sell Old

This is a great habit to get into. For every new thing that you buy, make sure you get rid of something old, whatever that thing may be. Not only will this justify your spending a bit more and free up space for that something new, you will be able to offset the costs a bit more by selling something you no longer use that often.

Image courtesy of Unsplash.