Buzz
Spending money is not inherently bad—it's its intended purpose, after all. However, it’s easy to fall into mindless spending. To spend with intention, ask yourself: how will this purchase improve your life?
Personal finance expert Trent Hamm suggests that this simple question helps guide spending based on your true priorities. Hamm explains:
Simply put, if you spent the money equivalent to the cost of that item, would your life be better than if you kept that money in your pocket?
This is a question I ask myself regularly when considering non-essential purchases—whether it's dining out, buying gadgets, drinks, entertainment, and more. Taking the question seriously has become a valuable tool in my financial toolkit... Essential needs almost make the question unnecessary. Significant wants make it worth considering, as you can better assess the true importance of the item. Trivial wants—most of what we desire—start to look much less appealing.
Not every purchase will have a definitive answer. A pack of gum, for example, may not necessarily improve your life, but you probably don’t want to overthink a $2 purchase. However, when you're uncertain about an item, asking this question helps you approach spending more thoughtfully. Check out the full post at the link below.
Photo by frankieleon
