6 ways to be a smart spender

6 ways to be a smart spender

If you really can’t resist “taking a peek” at every mall sale and ending up buying things “you’ll need anyway,” you might as well be smart about it. Think of the following strategies before your next shopping spree to help you be a smart spender.

Match the amount with savings

If you can’t resist buying that bargain shoes for $40 which sold before for $75, stash away the $35 you saved in a savings account. If you don’t have another $35 to put away in savings, you may want to think twice if you really need a new pair of shoes.

 Keep a small amount

Plan to pay with cash and leave your cards at home. Then keep a small portion of the cash in a separate pocket where you can’t easily see it, so your mental budget will quickly adjust to the smaller amount. Make it a challenge not to touch that separate amount, then stash it away as savings.

Save smart, invest smart

Invest the amount you saved with the two previous strategies in government bonds or mutual funds which is not easily accessible, then forget about it. Keep doing this and surprise yourself with how much you have saved and how much your money has grown.

Choose a pre-owned car

Instead of buying a brand new car, choose instead a pre-owned car which has been used for less than a year with less than 10,000 miles. It will be much cheaper but still of excellent condition. Check out for banks which sell foreclosed cars which will likely meet these criteria.

Use your credit card wisely

Credit card companies usually offer rebates or reward points. If you are disciplined enough to use your credit card only for necessities, like petrol or groceries, your points can pile up and you can make good use of the rebates.

Set clear goals

To help you work towards your financial goals, make sure they are specific and measurable.


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