How to Manage Those Financial Guilty Pleasures!
If there is one thing I love to do in this world, it is spending money. Those little purchases can add up quickly, which is why it’s so important to be good at managing money. To be honest, I have a few guilty pleasures, but they can easily cost me financially if I’m not careful. Check out these tips for managing those financial guilty pleasures.
It’s all about the balance
You and I both know that it’s all about the balance when it comes to anything in life. One of the most important balances to maintain is our financial one. According to the “Guilty Pleasures” study, Canadians admit that restaurant food is their most popular indulgence. I know that food is one of my financial guilty pleasures since we love to travel and try different cuisine wherever we go. The survey stated that 72% of Canadians admit to dining out as their guilty pleasure and 71% admitted that they have spent $199+ on ordering takeout each month.
Did you know that many Canadians are also spending their money on guilty pleasures like coffee (50%), online shopping (44%), clothing purchases (33%), and beauty services (23%)?
I’ll admit though, that on any given day, it’s nice to go out and enjoy a prepared meal. So, I’d say eating out and enjoying premium coffee are two of my biggest guilty pleasures. I have to say that I am guilty on all of the above at some point. One of our biggest indulgences would be travel but, that goes hand in hand with eating out and spending time on experiences and making memories. When we aren’t on-the-go, some days can get pretty hectic and take-out is a lifesaver and sometimes, we rely on it a bit too much. But, I make sure I rein it back and set a budget and stick to it as best as I can.
You can follow the lead of millennials (though I am a xennial myself) and try to find a balance by hunting for coupons, selling things you no longer use, cancelling subscriptions or services you can do without, and getting a second job or side hustle.
I know that I regularly “de-clutter” and we have a lot of items that are almost new and can be sold for a great price. Over the years, we’ve cancelled a few services that we can enjoy at a better rate or get rid of completely. If you have a talent or skill, there are plenty of ways that you can offer your services in this day and age and make a profit. I’m a firm believer in getting out there and getting it done when it needs to get done.
Know when to take a step back
I have to admit that while I am pretty good at reining it in, it isn’t always my strongest point. It is common not to like to take a step back and evaluate financial situations because this means we could be failing. However, sometimes our financial situations make us take a step back. Simply because sometimes, our guilty pleasures get in the way and cause a financial strain. Sometimes it adds debt or makes us sacrifice our savings.
In fact, there are about 36% of fellow Canadians who admit to not saving at all and 29% of them that have confessed to hiding their spending. A quarter of Canadians blame their guilty pleasures for keeping them from achieving their financial goals. While 65% of Canadians believe they are in good standing financially, 35% rate themselves as being in poor standing. The truth is, if you’re in poor financial standing, you’re not alone.
Learn how to manage those guilty pleasures
My favourite thing about finances is that they can turn around quickly. Just because you have gone in the hole financially before over your guilty pleasures, it doesn’t mean it has to happen again. Capital One Canada and Credit Canada have some tips to pass along to those who want to manage their finances, especially their guilty pleasures, better.
- Budget building – Having a realistic budget is important. Tools like a budget calculator can help you stay on track with budgeting. It can help you identify areas in your budget where you can cut back. Place a spending limit by category and see how it goes.
- Track and evaluate – Tracking your spending against your set spending categories is incredibly wise. Setting up categories can help you determine where your money is going. Don’t forget to look at a budget tracker to help track your budget appropriately. If your guilty pleasures are getting out of hand, this tool can help you re-evaluate how often you are doing it and maybe help you consider a cheaper alternative.
- Mindful monitoring – We all know that a credit card can be incredibly helpful when it comes to finances. If you’re consistently holding a balance at the end of every month, it’s time to get in check! However, it’s all about knowing how to use a credit card appropriately. Using the tool Credit Keeper™, you can learn more about your credit and how it works. There are also Credit Building Programs that can teach you how to build or rebuild your credit. Check it out, both are great resources!
Using the right tools like, Credit Keeper, can do wonders. It’s important to get into the habit of staying on top of your credit score. That way, you know your overall credit health and can make informed financial decisions. Visit the Credit Education Week website which is a fast and easy to access site thanks to being in one of the best web hosting online, you can find for your website too at Armchair Empire. You can learn about all the different events happening across the country and you can find credit building programs that can help you regain control of your credit.
I have found that using the right tools, you can easily manage your finances and guilty pleasures. Remember, it’s not wrong to want to spend money on yourself. After all, we all work hard for it. It’s just important to do it in a responsible way that doesn’t leave you hurting financially.
The 11th year for Credit Education Week is quickly approaching. This takes place on November 6-10, 2017 during Financial Literacy Month. Credit Education Week focuses on creating financial awareness. Capital One Canada and Credit Canada are dedicated to teaching others how to be champions of financial literacy. Make sure you follow along, get involved, and see if you can learn something new.
Follow the conversation and share what your #GuiltyPleasures are online! You’ll be surprised to discover, you are not alone!
What are some of your financial guilty pleasures?
Let me know, til then–cheers m’deres!
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Note: This post is sponsored by Capital One Canada. All thoughts and opinions are honest and my own.