Almost everyone has some sort of vice that plagues them at some point, whether they can’t seem to walk away from the blackjack table or love to take in every stray animal they find on the street. There are certain things we enjoy so much, we can’t seem to get enough–even if those things do more harm than good.
If you think about the majority of vices that exist, most of them affect finances negatively. That’s fine if you have a tree in the backyard that grows money, but if you’re like most people, you’ll find that spending money on those vices without some type of monthly budget plan could result in financial hardship. Here are just a few of the bad habits that tend to prevent people from saving money.
Gadgets and Flashy Items
Do you need to own every new gadget that gets released? Whether it’s the latest smartphone with all of the bells and whistles or a new e-reader, there are tons of fun gadgets to purchase, even though it’s sometimes best to avoid some of them.
What’s worse, there are even flashier items to get your hands on if you want them. You could be into jewelry, electronics or even fixing up classic cars. All of these items have been notorious for emptying a few pockets. How about yours?
Eating Out and a Love of Food
For some, watching the Food Network simply isn’t enough to fulfill the desire to be around great food. Instead, eating out at the finest restaurants or buying tons of high-priced ingredients and making gourmet dishes at home is a vice that some simply can’t live without.
If your addiction falls within the food category, is your ability to be a successful personal finance organizer stifled by the wide array of delicious options that keep you spinning in a web of sweet seduction?
Cute But Spoiled Kids
Do you find yourself sighing and rolling your eyes every time you take your cute kids somewhere and discover that they’ll just die if you don’t buy them everything in sight? Sure you love your children, but you don’t have to show it through spending. In fact, spoiled kids can not only drive you crazy, but will most certainly drain your bank accounts.
If you speak with any personal finance planner, one of the first things you’ll learn is the need for budget, and that includes limiting what you spend on your family. Can you ignore your kids when they beg or will those adorable faces melt away your income on your next outing?
A Flair for Fashion
If you’re known for your amazing fashion sense then you probably don’t mind spending an arm and a leg on clothes, shoes and accessories. There’s nothing wrong with splurging here and there for the wardrobe of your dreams.
However, if you really needed to, would you be able to window shop without spending hundreds or even thousands on the next new outfit?
How to Bypass the Vices
So if any or all of the vices above are vexing you, how do you rein in what you spend on them when necessary? The best way is to learn how to budget your money. This could be relatively easy to do if you implement some important money saving tips. Here are just a few:
- Create a budget: The first step in learning how to sidestep your vices is to create a budget. This will allow you to track what’s coming in versus going out. This typically includes income and expenditures, including things like monthly bills, grocery shopping, laundry costs, emergencies and entertainment.
- Cut unnecessary costs: After you’ve begun personal finance tracking with a budget, examine what you’re spending money on and figure out what can be cut. It may be that in order to make room for your vice, you’ll need to cut the gym membership and magazine subscriptions. Or you may find that by reducing the costs associated with your vice, you could make room for more important purchases.
- Exercise self-discipline: This is probably the tip that most people struggle with when trying to manage personal finance budgets. You can make budgets and create rules for spending, but when the latest gadget or outfit winks at you, you need the self-discipline to follow through with your plan.
Professional budget planners will tell you that there’s nothing—not even a personal vice—that should keep you from making the right money decisions. Saving money is important and can be done even when you don’t think you can. Try creating an equal balance between your vice and budget to make sure you save money and have fun, too.
Some of the gadgets can save money too! For example, my smartphone means I do not need to carry a separate PDA or a Camera or a home phone line. As for my kids, that is one vice I do not mind
This is a very real issue; there is so much out there that I think there are few of us who don’t have a vice! For some of us, though, we can manage a bit of discipline. For others, it’s a nightmare. I have a friend who knows that the temptation will be too much and so she has put measures in place to prevent that from becoming an issue. She pays for as much as possible at the beginning of the month and upfront so that there’s no reason to be in that place of “temptation”. This works really well in doing a big shop at the beginning of the month, thereby cutting down on how frequently one needs to go to the store. Another one was changing from contract to prepaid cell phone, so she knows as the month progresses how much she has available and has used. Tracfone is a really good choice here as their rates are actually cheaper than contract for light users (leaving some spare cash for the “real vice”!
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