UNITED STATES—Money, money, money, it is the one thing that most Americans are always vying for. Money gives you the freedom to do things that, let’s be frank, without you just cannot do. However, the question we have to pose is that you have money, whether on a consistent basis (from work) or unexpectedly (tax refunds, gambling, etc.) what do you do with it?
Are you someone that spends money frivolously or are you a bit more cautious like me? I am far from frivolous I like to consider myself astutely cautious. I spend my free money I have on things that I need and want. A lot of people forget that once you let the money go it is hard to get those funds back, especially if you’re purchasing items that you cannot return like groceries or fast food. I’m a firm believer you can always save money it’s all about the approach you take to save money.
Do you care or do you not? I know a bevy of people who just don’t care. They spend and if they’re short on money they have this belief, oh, you can just make more money. Yeah, you can make more money, but that means you have to work harder to make that money. Why put yourself in such a situation if you don’t have to. Let’s be honest, that makes absolutely no sense right? People being dismissive of money is a reason plenty don’t have it, when they can have it.
You have to look at money in two ways: INCOME and EXPENSES! What are you bringing in and what are you sending out. If you are sending out more than what you’re making that is your problem. Your goal is NOT to break even, you want to have some left over if at all possible, that allows you to stack your funds, meaning you have money for a rainy day. If there is no money left over each month that means you’re in trouble in the long run because you’re just making it by each week or each month.
If you have debt the goal is to try to pay off as much of that debt as you can within a reasonable time frame. It can feel like an uphill battle at times, but when you chip away at debt, it eventually goes away. So have a positive outlook on the goal and you will reach it.
Now comes to the point that I find most important, spending your free money. Do you go purchase the most expensive item because you want it or are you looking to save a few bucks when possible? I can tell you I am all about saving a few bucks. You can always find things on sale, and if you shop around the deals will be available you just have to be able to find it.
Also you really have to go back to the psychology of money. Understand the difference between a need and a want. They are not the same thing. Just because you want something doesn’t mean you need it. Take a day or two to consider if the item you’re eyeing is something you truly want or is your impulse dictating a potential purchase that you may ultimately regret.
This is NOT to say don’t treat yourself. You have to do it, we are human beings, by nature we are always going to want things, the key is knowing what you REALLY want versus something you THINK you want. If I’m making a big purchase on an item for myself, I like to have at least double the amount before I make the purchase. Do not ask me why it is just how I think. So it is like I’m saving for two of the same items when I only need one.
How you choose to spend is up to you, but remember if you can get that item on sale, why would you choose not to? The biggest issue most Americans face is not being in control of their money, they allow their money to control them and that’s the critical problem. If you stay in control you can always manage money better.
Written By Jason Jones
