Non impulse, impulse spending.
Well it’s that time of year where we have already begun to experience the onslaught of marketers trying to get us to part with our hard earned paper. While the holidays can and should be a time to enjoy time with family and loved ones, so many of us begin to feel stressed and overwhelmed by the expectations of those around us but mostly by ourselves.
As a person who loves this time of year, I have increasingly become aware of impulse spending in the guise of that great deal that really only happens this time of year. Or perhaps it’s the “ buy one, get one half off” deal or the “buy now, pay later’ phenomenon (lay away that you get to use before you pay for it), are upon us and it’s starting to give us the false sense that we can afford what we are buying.
Impulse purchasing - purchasing without much thought or planning in the moment - is intended to make you not think you are making an impulse buy. A sale for something that you don’t need is not a sale, it’s diverting funds away from those things you want the most - a more secure future, a debt free life or a few extra funds that you can throw into a high interest savings account.
I recently heard that 30% of Americans are still paying for expenses and gifts from last year and many more are still paying for multiple holiday purchases. To be paying for 2023 Christmas gifts is not how most of us want to manage our finances.
So, let’s keep it simple:
Do not buy anything that you will not still enjoy on January 30th.
Do not buy anything that you cannot pay off within 30 days (cars and homes are excluded)
Plan your purchases and stick to that number. Include an amount for you - it’s ok to give yourself a gift just don’t overdo it
When in doubt, refer to #1 or #2.
It’s helpful to remember as you are shopping that emotional spending is on high alert this year. This is a time of year that can also be tough for many who many have traumatic memories about the holiday or who are missing a loved one. Create space to admit that your feelings are valid but shopping may not be an ideal outlet to release the stress you are feeling. Try to substitute something else. Take a walk, binge a TV show or connect with a friend who understands you.
You’ll feel so much better when the year comes to an end and you can enter 2-2026 with less debt than you did last year.