6 Times You’re Most Likely To Waste Money
Written by
Marc Guberti
Edited by
Jenna Klaverweiden
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Bad money habits can move you away from your long-term financial goals, but if you look only at habits and tactics, you can miss out on the bigger picture. Our environment and context can impact how we respond, and there are some times and places when we may be more vulnerable to wasting money.
Knowing these patterns can help you reshape your environment so you don’t waste money on impulsive spending. You may know the basics of financial management, but you also have to be prepared for these inevitable scenarios in which wasting money can happen.
You’re Hungry While Grocery Shopping
When you’re hungry, you may feel inclined to grab an extra snack in the cabinet and start eating away. This temptation is present in our homes, but it’s dialed up when shopping in a grocery store.
Grocery stores are filled with snack food, and if you’re hungry, you may end up with a more expensive bill. It’s good to avoid going to the grocery store while hungry so you don’t let your stomach’s growls derail your budget.
You’re Browsing Online While Tired
It takes a good amount of willpower to avoid buying something that you want. When you’re alert, you may be able to rationalize that you won’t use the item in the long run, and it will become a dust collector.
However, as the day progresses, you’ll likely get tired. If you’re browsing Amazon, eBay or a similar e-commerce site late at night, you may decide to buy something for yourself that you don’t need. Impulsive purchasing can be easier online since it only takes a few clicks. Some online purchases can be done with a single click, making it even more difficult to resist making an unnecessary purchase.
You’re Too Tired To Make Dinner
Fast-food restaurants are popular due to their convenience. Some of these restaurants also offer low prices, but rising fast-food prices have put more scrutiny on this benefit. Despite higher costs and mostly unhealthy food options, some people will drive to fast-food restaurants instead of making their own meals.
It’s even worse if you use a food delivery app. Not only do you have to pay for food, but you also have to pay for delivery and sometimes various fees.
You’ll likely end up paying far more for lower-quality food if you feel like you’re too tired to make dinner.Â
You’re Sad and Use Purchasing as an Outlet
Some people turn to online shopping to cope with sadness. While it’s good to get yourself something every once in a while, you don’t have to buy yourself something every time you’re upset. Doing so can enable bad money habits and make the underlying problems worse.
For instance, if you are feeling sad and use money to cope, you could create more stress for yourself. Your credit card debt could go up, and you’ll have less money to invest.
Exercising, getting a hobby and meeting new people are some other ways to deal with sadness and minimize the amount of times you encounter it in your life. Online shopping doesn’t solve the problem and can give it more room to grow.
You’re on Vacation
Every vacation offers an escape from a rigid work schedule and rules. You can wake up whenever you want and stay up as late as you’d like. You don’t have to get up super early to beat rush-hour traffic, but you can wake up early if you want to spend some extra time on the beach.
It’s good to be spontaneous and have fun on vacation, but you shouldn’t let your budgeting and saving rules go out of the window. A fun time isn’t an excuse to lose all of your financial discipline. Sure, you will have some extra expenses since you want to get the most out of your vacation, but you should still spend responsibly.
You can waste a lot of money if you don’t pay attention to how you are spending it on a vacation.
You Received a Raise or a Bonus
Making more money doesn’t mean you should automatically spend more money. One of the most common financial traps is increasing your spending as you increase your income. However, you won’t have much to show for it if you spend everything that you make.
Living below your means is a more suitable long-term strategy that can make retirement less stressful. You can build your investments faster by keeping your expenses steady while boosting your income with new career opportunities and side hustles.
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