I was surfing the web recently and an article in Yahoo finance caught my attention. The article emphasizes the need to curb spending on the miscellaneous things in daily life. These are things that some of us may consider to be a must while others see it as useless or needless spending.
A person’s spending is influence by a lot of things. Some people spend when they are feeling down and going shopping is one way to brighten their day. Some people spend due to learned habit and it has become a way of life for them. Others may spend because they envy people who have a lot of material things and they crave the same things. Whatever the reason for spending, it is advisable to do so within one’s limits.
The following spending traps are extracted from the article. Check to see whether you have fallen into any of the spending traps.
Fast food or “convenient food”
People are getting lazier to cook and the abundance of food supply everywhere makes it easier to spend money on prepared or ready cooked food. You have the choice of going to coffee shops, restaurants, fast food joints or road side stalls. In the morning, it could be a packet of nasi lemak plus a glass of teh tarik. In the afternoon, you may choose to go to KFC, McDonalds, Secret Recipe or to one of the many food courts. For coffee break, there’s pisang goreng or banana fritters straight from the wok or other delicious snacks. Then before heading home, it is easy to grab some food or “ta pau†from a restaurant or food stall along the way. Do this everyday and you can see that a big chunk of your money is going towards ready cooked food. If you also tend to purchase bottled mineral water and other drinks, this is another frivolous spending. Water or other beverages can easily be brought from home in your own bottle container saving you money and reducing waste.
An obvious way to cut down is by bringing prepared food several times a week from home. It does not take much preparation to bring fried rice, noodles, salads, sandwiches or fresh fruits from home.
Cell phone
There are people who constantly like to upload new ringtones and even games to their cell phones. It may not seem like much each time but once accumulated, it can be considered as frivolous or thoughtless spending. Changing or swapping cell phones often is also common especially for those who enjoy using or playing with it.
This gadget also has some people addicted to calling and talking or texting excessively. It is so convenient to get in touch with a friend or person anywhere and anytime. If you are one of these people, try to get a good service that does not overcharge you. At the same time, learn to control your usage.
Credit card balance
Paying for interest fees on your credit card balance is like giving away your hard earned money for nothing. It only makes the bank richer while you become poorer. Therefore, clear off your monthly debts to avoid paying for the interest fees.
Gym or health club fees
The idea of being healthy and keeping fit appeals to a lot of people. So, paying for gym membership or health club fees is considered justified. However not many people manage to attend or to show up for all the training sessions and actually end up paying for nothing. It makes more sense to go to the park, playground or beach with the family and workout for free.
Read other articles by Jacquelyn at WParent.com on parenting matters and http://Tips4Everyone.com on solving marriage problems.
{ 7 comments… read them below or add one }
How do you all think to buy the branded stuff? Does it consider thoughtless spending?
Clothes and Shoes are one of the irresistable stuff for gals ….
For me, definitely it’s consider as thoughtless spending in buying the branded stuff (Expensive branded stuffs such as LV, Gucci, Levi’s…) but not apply to all the branded stuffs lah. For myself, I will saved up the money by buying cheap & considered quality products as long it looks nice & durable.
Then I can use the saved money for investment puspose inj myself (taking self-development courses…), invest in Unit Trust & stocks market, travelling with family & friends, purchase equipments that can help in upgrading my career (Public Mutual Consultant as well) and etc.
So what’s ur saved money tips in order ro reduce the temptation in buying the branded stuffs?
I think branded stuff also contribute to reckless spending.And of course shoes and clothes, it’s a must for girls.My fiancee always said to me shopping is one great way to brighten her day!
Just add my 2 cents about credit card.
A lot of people are trapped in using credit card as some kind of loan ceiling facility instead of tool of payment. As the effect, they will suffer to pay monthly credit card bills, only able pay minimum amount, and the bills will be larger and larger on every incoming months.
We should use credit card wisely – I think, consider them as tool of payment instead of facility. Use credit card when we are sure can pay full amount at the end of the month, and credit card will become one of useful tool in our life.
Well, may be bankers will hate this kind of person. Don’t you think so ?
When I lived in Malaysia, I noticed how materialistic many of the students were. Armani Jeans for $200 ringgit vs. Levis for $50 for example. This was back in 1990. Brands seem so important to Asian people, as well as Asian people in the US. But, here in the US, we aren’t so much concerned about brands so much as comfort and quality. It’s a different mindset.
Credit cards are a great evil. If you can’t pay it off in full once a month, then don’t buy!
Best,
Shogun
Hi KC, i think there is another thing worth mentioning in thoughtles spending. It is encouraging you to spend in order to save such as mega sales or saving sales. If people buy things they need during the sales then it is saving but most of the time because it is cheap ppl tend to buy thing they don’t need because they afraid this once in the life time chance will pass them by, so they buy a lot of things they don’t really use. Then it becomes mindless spending.
After my teens, I stopped buying branded goods. To me, a cloth is just a cloth, what makes it wonderful is the confident, charms and characters of the person wearing it, not the cloth that is expensive.
I admit I am one of those that buy a lot during cheap sales but I don’t spend senselessly, I buy things that I need like working long sleeves, shoes, pants, etc.
As for credit cards, I totally agree – control it, don’t let it control you.
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