Anxiety around money is common in 2023. The current cost of living is squeezing families all over the world, and justifying big money expenses is getting harder and harder. However, there are some things you can do to take the stress out of these big money decisions.
Because it’s not just the kids who need to learn about money. Sometimes you’ve got to school yourself as well! So here are some tips to keep in mind when you feel the spending guilt circling and like it’s about to crush you, no matter how essential the purchase in question.
Have a Hard Line on the Budget
To determine the maximum amount you can spend at any one time, it’s important to first establish an average household budget. This involves taking a detailed look at your income and expenses to get a clear understanding of your financial situation.
By creating a comprehensive budget plan, you can identify areas where you can cut back on spending and allocate funds more effectively, allowing you to make more informed decisions about your finances and achieve your financial goals.
Once you’ve got these numbers down on paper, it’s going to be a lot easier to say either yes or no to a big expense. After all, if there’s room in the budget for it, you can say yes. If there isn’t, you can say no – simple as that.
Don’t Let Yourself Be Rushed into Making Purchasing Decision
Whenever you are about to make a financial investment, no matter how small, it’s important to take your time and not let anyone rush you into making a decision. Even if you are only investing $100, it’s still your hard-earned money and you should consider all the details before making a choice.
Take your time, do your research, and make an informed decision that you feel comfortable with. Don’t let anyone pressure you into saying yes before you’re ready.
If you’re buying something like a new car, use a site like edmunds to compare models and dealers. If you’re investing in insurance, read up on every review you can find. If you’re buying a sofa, make sure to head to the shop in person and try the cushions out!
You’re Not the Only One with Spending Stress
We mentioned it at the top of this post, regarding the cost of living crisis, but it’s a point we need to note properly. You’re not alone when it comes to spending stress; there are millions of people who are in the same boat and understand the struggle.
Because of this, maybe it’ll be worth it to reach out? Use a forum or Facebook groups to connect with parents just like you, where you can hand out advice and uplift each other during the hardest times.
Should You Really Feel Guilty About Money Decisions?
We all need to spend money to take care of ourselves and our families. Why should you feel guilty about that? You need to buy new clothes and put food on the table, as well as put fuel in the car and keep the lights on in the living room.
And once all the bills are paid and cleared, you can spend on treats! Life should be about having fun, so don’t let yourself feel guilty for buying something like a new game to play together.
Big money decisions can be intimidating, but with the right preparation and guidance, you can make the best decision and keep stress to a minimum. By planning ahead, researching thoroughly, and getting the right help, it’s possible to feel confident and secure in your choices.
Remember, at the end of the day, it’s your money, so make sure you’re the one in charge. Take the tips above into account the next time you’ve got to fork out.