Learn how to curb impulse buying and adopt mindful spending habits to save money. Discover effective ways to control debt and achieve financial freedom

 

How many times have you bought something only to have it sit in the back of the closet, the bottom of a drawer or tucked away to be forgotten at the back of a cupboard?

Impulse buying accounts for about $151.00 per month for the average American in 2023. That’s down from 2022 and 2021, which is great, but I suspect that will creep back up overtime.

$151.00 each month may not seem like a large sum, but when coupled with all the other mindless spending we do over a year it adds up. I’ve been harping on the all the little ways we spend that can add up, from dining out, to the cost of one off trips in our car and more. Adding on impulse buys adds up to about $1,800.00 annually.

If you are an average American you have about $5,700.00 credit card debt. You can pay that off in one year by avoiding dining out, saving $3,500.00 per year, avoiding impulse buys saving $1,800.00 per year and making a couple of other small changes, like combining errands that require driving with other required tasks like driving home from work thus saving gas.

Conversely if you fail to pay down your debt you’ll have about $558.00 in additional debt after one year. That amount will continue to increase if you are only paying the minimum on your credit card.

Here’s ten ways to be more mindful about how you spend-

1. When shopping online, fill your basket with all the neat things you love. Wait a week to finalize your purchase and make sure the items you’ve selected really sing to your heart. More often than not you’ll wonder why you thought the item was special to begin with.

2. Make a list and stick to it. It’s hard when you see the candy at the checkout, but sticking to your list will improve your health and instead of expanding your waistline you will fatten your wallet.

3. When the server at your favorite restaurant makes a suggested sell, which is asking if you want extra anything to go with your meal, decline their offer. American restaurants offer massive portions compared to other parts in the world. In fact when comparing serving sizes in America over time we’ve seen our servings get more substantial. For example a bagel in 1915 was two ounces compared to six ounces today. That’s three times the size. If all our portions are three times larger than they used to be it’s no wonder we are challenged with obesity in the U.S.A.

4. Never shop when you are tired, cranky or hungry. A muddled mind will lead to poor choices.

5. Recommend meeting up with friends for a hike or walk in the park instead of dinner and drinks. This is a great way to introduce a fun and easy free activity into your relationship that doesn’t require the lubrication of alcohol. You’ll have a good time chatting without interruption and get a little fresh air and exercise.

6. Get a library card instead of purchasing the latest bestseller. You’ll read more and broaden your interests when you have access to a lot of books that you may never have considered previously. Naturally as a writer I support purchasing books, but I am selective. I like to purchase books I know I’ll read more than once.

7. Take time to clean up the social media accounts you follow. Often the accounts we follow are selling something. Take a hard look at each account and if they are selling something, take a break for a while by un-following. Especially if you’ve been purchasing a lot from social media advertisements. That may be a problem area for you.

8. Plan a financial diet for a month. Determine the maximum amount you will spend and challenge yourself to stick to it. If it goes well do it again.

9. Take up an affordable hobby like playing cards, reading, watercolor painting, hiking, walking, writing in a journal, embroidery, drawing, digital photography, gardening, listening to music and more. Hobbies can fill our time and help unleash our creative side. Boredom can lead to shopping in order to fill time.

10. When you do shop make sure you are well prepared, well fed, and that you have ample time to make good choices. Being rushed can lead to impulse buys.

These little mindful moments can help you gain control of your debt by freeing up money to contribute to paying of your credit cards. 46% of Americans in 2023 carry credit card debt over from month to month. Don’t become part of that percentage. Take steps to change and become part of the other 54%.

It’s easy to get into this trap. After all when you pay the minimum amount on your card it feels like you’re making a responsible choice to make a payment. However the average interest rate on a credit card is 24.37%. Your account balance will continue to go up if you fail to pay off your credit card each month before interest accrues. Unlike a car loan which normally has a fixed time frame, credit cards are open ended loans. As long as you continue to pay the minimum payment your loan will continue to grow in the amount you owe.

I’ve been debt free since 2011. Being debt free has opened up many opportunities that I otherwise would not have enjoyed. The main opportunity is not feeling bound to a job that I don’t enjoy.

If I had $20,000.00 or more in debt like I did in 2007, I would still be working in a field that doesn’t sing to my heart. Not having a debt load means I can work how I want when I want.

Being debt free means I can build up a nest egg for my future and take time to pursue interests that are meaningful to me. I can travel, and have, to over twenty countries, over the past 13 years. I’ve seen things and done things many Americans can’t imagine. I’ve hitchhiked in Italy. I’ve cruised around the Galapagos Islands for two weeks, and sailed for a week in the Aegean Sea. I spent a month in Greece and a month in Turkey. I hiked in Torres del Paine National Park in Chile, and saw King penguins on the island of Tierra del Fuego. I’ve been to the southernmost town in the world. I’ve been on a Safari, visited the ancient sites of Petra and Abu Simbel.

I’m not done by a long shot. I plan to see all I can of places that sing to my heart. I can do this because I stopped spending mindlessly. I took control of my finances and I want to yell from the roof tops to all who will listen that there is a better way to exist. You don’t have to work your fingers to the bone, day in and day out to make ends meet. You only have to decide that you’d rather have financial freedom instead of a swell dinner in a fancy restaurant or a pretty new pair of shoes.

I like to consider how my behavior will affect my grandchildren. I want them to learn good money habits. By demonstrating that fun can be had without a credit card, I’m teaching them financial skills that will help them succeed. I stress investing time, money, and effort versus spending time, money, and effort.

You can buy my book, “Few Buck Lunch. Cook Food Save Money.” 

Keep reading my blog or listen to my podcast which is also available on my YouTube channel.