“Money is emotional, whether you’re living paycheck to paycheck or you’re debt- free. But it’s clear that being in debt adds more stress and anxiety”. —Rachel Cruze.
Money is emotional.
Truth be told, over the last 19 months we’ve experienced every emotion related to money. We created our page with the intent to share our lessons learned, our experiences related to the journey towards financial independence (if anyone was wondering about our Instagram name), our successes and our struggles, and any pro-tips about real estate and investing. We’re thankful for all of you who have followed us and engaged with us during our journey!
I Deserve This
Stop me if you’ve heard this from someone before (or maybe you’ve said this yourself, because I certainly have)….”𝙄 𝙬𝙤𝙧𝙠 𝙨𝙤 𝙝𝙖𝙧𝙙, 𝙄 𝙙𝙚𝙨𝙚𝙧𝙫𝙚 𝙩𝙝𝙞𝙨 𝙘𝙖𝙧, 𝙄 𝙉𝙀𝙀𝘿 𝙩𝙝𝙞𝙨 𝙫𝙖𝙘𝙖𝙩𝙞𝙤𝙣, 𝙄 𝙉𝙀𝙀𝘿 𝙩𝙝𝙞𝙨 𝙩𝙝𝙞𝙣𝙜, 𝙚𝙭𝙥𝙚𝙧𝙞𝙚𝙣𝙘𝙚, 𝙚𝙩𝙘“. By adding that kind of emotion to a purchase, it changes the dynamic of money from being a tool that helps construct the life you want into an emotional asset that could likely turn into a regretful purchase. (Remember my Jetski post a few days ago? Yep, regretted that one…I told myself I NEEDED it). What makes it regretful? For me, looking back it’s because I didn’t have the cash, I was already struggling to pay for a house and a car, but I convinced myself that I needed it because I worked 50 something hours a week.
A Harvard professor states that 95% of purchases are emotional! 95%!?! I suppose that statistic isn’t too surprising because you can feel nearly every emotion with money.
Here’s some things we do before making a purchase these days:
- We add up how many hours we would need to work in order to repay ourselves for the purchase.
- We question the purchases’ value. Not the dollar amount, but it’s value to our lives. Does it enhance our lives or is it something we’d end up spending more money on or take quality away from our lives later?
- Is it a NEED or a WANT? Can we tell the difference? It’s funny how a WANT can mask itself as a NEED to trick us sometimes.
How do you handle emotional purchases?