Impulsive or emotional spending isn't your fault. It’s your brain's way of trying to keep you safe and happy.
The only problem, that’s not a sustainable way of living.
This episode will give you 6 practical steps to stop emotional spending and get you on track to hitting your financial goals.
Here’s some money psychology for you –
Your brain's sole purpose is to keep you alive, safe, and happy. So, when you encounter something that’s unpleasant or stressful your brain is instantly trying to get your mind off of it and onto something better – for some people, that’s shopping, others it’s procrastination, some might be food. The list goes on and on.
This becomes unsustainable when you continue this cycle continues to repeat itself because, for example, if you get stressed out looking at your bank account and that stress response is to shop online, then you purchase which causes you to stress about your bank account...and you can see how this gets dangerous.
When it comes to curbing impulse spending there’s a couple of tips that I have for you.
Identify your triggers – what causes you to stress out about money? Take notice and make a mental note.
When you feel stressed or triggered, pause before hopping over a tab and take a nice deep breath.
Before you check out, take a pause and ask yourself if you’re triggered at this moment? Do you need what’s in the cart or do you just want it? Can you afford it? What happiness will this bring you a month from now?
Shop with a list and stick to it – this is just a handy tip that I use while in the grocery store. I have unlucky timing of always going shopping when I’m hungry – which causes me to put about 2x the amount of snacks in my cart. Now, I shop with a list and stick to it (plus, I bring snacks with me or go shopping right after I eat)
Make gratitude a daily practice. When you learn to be grateful for what you have, the more you realize the less you need. Not only is this good for the wallet, but it’s also good for the soul.