5 Spending Habits That May Be Draining Out Your Savings
We all have good intentions when it comes to our money, but there are situations that makes us reach out for our savings account. If you are among the people who strictly abide with their budget and have extra savings for emergencies, then kudos to you. But if you always find yourself struggling just to maintain your funds, then you might be doing these bad spending habits that may be causing havoc in your savings account.
- Spending Over Your Budget. One of the main reason why you often find yourself draining your savings is because you often fail to stick to the daily and weekly budget that you allocated. You often spend beyond your means just to purchase trivial items. While you may reason out that you’ve only spent a few bucks, such spending will still accumulate and before you even know it, you’re already dipping your hands into your savings because you’re already short on budget.
- Indulging in Impulsive Buying. Another habit that may be causing your savings to drain out is frequently giving in to the urge of making big and unplanned purchases. Luckily, this habit can still be remedied. Every time you’re faced with the dilemma of whether or not you should use your credit card or ATM card to buy a particular item, ask yourself this: “Do I just want it, or do I really need it?” Once you’ve distinguished your needs and wants, the decision-making will surely be a lot easier.
- Following Food or Fashion Trends. If a particular trend has been flooding your newsfeed, there’s a big chance that you’ll try it at least once. Although this is fine, you should still remember to not fall too deep into its hype that you end spending much more than you should. Remember, it’s a fad and its time in the spotlight will surely end too. Wait for the time when it’ll be cheaper than the price it was originally sold.
- Dining Out Frequently. These days, food isn’t cheap and even if you’ve set to only spend several bucks for it daily, that will still be several bucks less than your budget within a given work week. So instead of dining in the nearest restaurant for lunch, why not cook and bring your own food in the office. Not only will this save you some bucks, it’ll also give you the assurance that you’re munching on a healthy and clean chow.
- Paying Past Your Due Dates. One reason why people who love swiping their cards end up having huge debts is because they often fail to pay their dues on time. Keep in mind that late charges often compound on interest that could result to more trouble when you miss another pay period. So before you start using your credit card again, ensure that you have everything settled to avoid problems in clearing your bills.
Establishing a good savings is actually easy. Just practise good spending habits, and you’ll be surprised as to how much your savings have grown in just a short span of time.
