Why you should spend money on things you love
Conscious spending tips for every budget.
What do you love spending money on? Can you remember the last time you felt excited to hand over your hard-earned cash?
If you’re struggling to think of something, you’re not alone. With budgets to stick to and bills to pay, spending money can feel more like a chore than a blessing.
Does spending have to feel this way – daunting, stressful, guilt-ridden? Or is it possible to feel good about spending money on things you love?
What is conscious spending?
Conscious spending is about paying close attention to what you spend money on, and why. By observing your money habits, you might identify opportunities to spend differently.
Think of it this way: when was the last time you spent money on something you didn’t really enjoy? Maybe it was a supermarket sandwich that tasted like cardboard. Perhaps it was a top from a sale rack, that you only bought because it was discounted.
Purchasing decisions like this can seem small at the time, but they quickly add up.
Conscious spending is a way to nip poor decision-making in the bud by forcing you to stop and evaluate whether you genuinely want or need something.
Conscious spending tips
Disclaimer: We aim to provide accurate information, but we’re not accredited financial advisors. We recommend you consult with a financial professional before making any serious decisions.
1. Take stock of your income and outgoings
Where exactly is your money going? Organise your spending into three categories: Essential, Negotiable, and Optional.
The Essential category is for spending you have little or no control over, such as rent or mortgage.
The Negotiable category is for spending that you have some control over, like food shopping.
The Optional category is for spending that is, you guessed it, completely optional (like buying a chocolate bar at the supermarket checkout on a whim).
Once you have placed everything into a category, highlight anything in the Optional column that is important to you and cross out everything that adds little to no value to your life.
In the Negotiable column, circle elements where you could be more frugal – perhaps you could take shorter showers to reduce your water bill.
Organising your spending in this way should give you insight into where you’re money is going, how you feel about it, and what you can do to claw back some cash.
2. Marie Kondo your spending
Once you have a clear idea of where you’re at, take to your spending like Marie Kondo takes to a tupperware draw.
Marie Kondo is famous for recommending that people only keep things that “spark joy” – things that are meaningful and important to them.
Of course, spending is a little different. The act of buying toilet paper might not spark joy at the time – but your life is infinitely more comfortable thanks to its existence. The same could be said of paying rent, bills, and other expenses.
The Marie Kondo approach might help you feel grateful for your essential expenses – provided you’re ruthless about culling non-essential expenses that don’t spark joy.
3. Create a wishlist
It’s incredibly hard to spend consciously if you don’t have anything on your wishlist. Without a goal to work towards, you’ll be far more susceptible to clever advertising.
Making a list of the things that are important to you, and your financial goals, can really help. Next time you’re tempted to buy something you don’t really want, refer to your wishlist and remember the opportunity cost.
