Fix My Budget: Getting Out of the Spending Mindset

Let’s face it, we are a spending society. With such a large population of our country holding a significant amount of revolving credit (i.e., credit cards), it’s no surprise that getting out of the spending mindset can be challenging. However, with an unstable economy, it’s absolutely essential that families maintain an emergency fund. While putting together a significant emergency fund often seems daunting, the first step is curbing your spending, so that you’ll have more to save.

Here are some tips to keep in mind when considering a technology purchase:

You don’t always need the newest or the best – this goes for cars and technology. If you have a 1st generation iPhone, you don’t need to upgrade immediately to the 3G. If you have a regular cell phone that only, gasp, makes calls, you don’t necessarily need a new phone unless you think you’ll need those features. Differentiating from needs and wants is very important in saving money.
Buy the right thing the first time — this may involve spending more money upfront, but less in the long run. Do your research before buying something, and make sure you are getting everything you need. Some people try really hard to save money and buy an inferior product, only to find they need the more expensive one.
If you do need something new, try selling what you have. When I decided to trade in my Blackberry Pearl for an iPhone (a great decision, by the way), I sold my Blackberry Pearl on eBay and made my money back.

Any more tips for saving money on technology purchases? Comment below!

Tagged as: spending