Spending Tips from author Catey Hill:
Spending Style/Triggers
Why it's important to identify your 'spending style' and start spending less. Spending is the crux of your financial life -- spend less, you'll have more money to save for all those financial goals.
How can someone identify their 'spending style.'
Keep a spending diary for 2 weeks and you will discover your spending triggers. What are some of the main 'spending triggers' and tips to help these spenders spend less-Impulsive Spenders You frequently buy on the spur of the moment without really thinking about how/why you need the item.
Tips on how to spend less
- Try the Post-it note trick: Wrap your credit card or cash in a Post-it note that asks, "Do I really need this?"
- Don't go "just window shopping."
- "Go Green" (i.e. Get on the cash-only diet)
Get in touch with your emotions. The more aware you are of your trigger emotions, the more likely it is you can cut spending.
- Distract yourself.
- Try an activity that will make you feel better (or that you'll enjoy), but that won't put a dent in your finances.
Compulsive Spenders
You spend all the time. You always need the newest/trendiest/best quality/coolest things. You might even be a shopping addict. - Tips on how to spend less.
- Don't leave the house with your credit card.
- Get on the cash-only diet.
- Consider freezing your credit card in a block of ice (Serious!).
Tips on how to spend less socially:
- Swapping: It's the new shopping, and you can look online for different websites where you can swap. You can also host a swap party.
- Procrastinate: The 48-hour rule- For items that cost more than $75, try to wait at least forty-eight hours before buying them.
The 5-second rule -- For everything, even that measly pack of gum by the checkout counter! You think about putting into your shopping cart, wait five seconds before placing it in the cart, during which time you ask yourself, "Do I really need this?" If your answer is "no," put it right back on the shelf. No exceptions.
- Go green: Get on the all-cash diet: Get a credit card makeover. Complain to your credit card company to lower your rates and get the right cards for your needs.
- Get your friends and family in on it: Let your friends know you're putting yourself on a budget and would love their support. Encourage them to take part in less-costly activities with you. Solicit advice from your friends and family by asking them:Do they have recommendations on how to save money? How do they save money themselves? Ask for specifics like less-expensive stores in the area or Web sites they use to save.
- Look for activities to do: Stop by your local library or city hall and ask how to get a list of upcoming activities or a community calendar - look for fun, free and low-cost events.
Look into what your local parks and recreation department offers whether it's free tennis or cool hiking trails. Stay in instead of going out whether it's a game night, home-cooked meal or movies on the couch. Put dollar limits on your gift-giving - hey you're giving the joy of a debt-free life, so how needs to spend big on presents!
- Bookmooch.com for swapping books
- Swapstyle.com, dignswap.com and Rehashclothes.com for swapping clothes
- Also Craigslist is a goldmine for local swaps. Just go to their barter section
- It's also worth looking on Meetup.com to find a swap in your area
Catey Hill is the money editor for the New York Daily News online. Previously, Catey was the marketing manager at Plum TV and the author of The Plum Wealth Report, a specialized blog focusing on the purchasing behaviors of affluent consumers.
She first realized her need to kick her shoe habit and get her finances in order when working as the financial marketing manager for Forbes magazine. Catey resides in New York City.
For more information, go to www.shoojimmychoo.com
>> Buy this book on Amazon: Shoo, Jimmy Choo!: The Modern Girl's Guide to Spending Less and Saving More
