How to Stop Emotionally Spending

Emotional spending is the act of spending money on things that you don’t necessarily need, because the items or act of spending makes you feel good. Sometimes, we emotionally spend because something stressful is going on in our lives, like job difficulties, a divorce, etc. Other times, it’s used a way to pass time when we aren’t fulfilled in other aspects of our life.

Regardless of the reason, it can wreak havoc on your personal finances. Here are some steps to prevent finding yourself with no money leftover at the end of the month.

How can I stop emotionally spending?

Even if you don’t stop emotionally spending completely, there are ways to do it so that it doesn’t negatively affect your personal finances. In fact, you can even budget for this type of spending so that it’s included in your overall budget. Here’s how:

Determine what you are capable of spending

Once you understand where your money is going every month, you’ll be able to get a good idea on how much extra money you have left over and can use to spend on some non-essential purchases.

Ask yourself why you are buying something

Are your buying things to make you happy? Do you feel as though there is something missing in your life that “stuff” can fulfill? Often, we don’t understand why we spend unnecessarily, and need some extra help. Therapists can help you understand the why of emotional spending while a financial advisor can help to keep you on track.

Set and review your budget frequently

Fixing the need to emotionally spend isn’t something that will go away overnight. It can often be a mix of personal responsibility, therapy, and financial advisors who can help get you through these urges. But, by setting a budget and sticking with it, you can still spend without putting yourself in unnecessary financial duress.

Related Articles

What Are the Characteristics of Emotional Spending?

What Are Discretionary and Non-Discretionary Income?

Is There Room for Discretionary Spending within a Budget? How to Control Your Spending Habits

Originally published at https://www.seniorfinanceadvisor.com.

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