6 reasons to budget for impulse purchases

Impulsive purchases are made under the influence of emotions or momentary desires. These expenses are not initially included in the monthly spending plan, because they seem like a trifle. But it is they who sometimes eat up a significant part of the budget.

This category includes:

• coffee on the way to work,
• snacks on the run
• purchases in mobile applications,
• goods under the action "Three for the price of two",
• items with a big discount, which you did not plan to buy until you learned about the price drop,
• much more.

All of this seems to be easy to give up. But it’s better to do it differently: to plan for such expenses. And that's why.

1. You still won't be able to completely avoid spontaneous purchases.

It is difficult for us to give up impulsive spending because it is instant gratification. You want to get it now, and not save money for something more significant, but delayed in time. This is how the human mind works.

The environment also influences the buying decision: events that evoke positive or negative emotions in you, bright advertising banners, promotions. It is impossible to resist such an impact and clearly plan all expenses.

2. You will definitely have enough for the planned expenses

Impulsive purchases often remain unaccounted for, so at the end of the month we cannot remember where 1,000, 2,000, 5,000 rubles went. Meanwhile, a hole in the budget has already been broken. And you have to reduce the amount allocated for other purposes, sacrifice your plans.

It is better to immediately agree with yourself that there is another expense item that needs to be taken into account, and with this condition, determine the amount for other categories.

3. You can set a limit and not spend too much

Spontaneous purchases in the aggregate can be quite expensive, so it's important to know your rate. We have already decided that spending on coffee with a friend after work is better budgeted immediately, but 50% of our income cannot be spent on this. So how do you calculate the optimal amount?

Try to write down all the minor expenses for a month. Create a special notebook for this or use a mobile application, for example: CoinKeeper, Monefy or Zen-Mani.

Decide what kind of impulse purchases you make most often and how much you spend on them. Cross off from this list what you really better refuse: unnecessary stock items, clothes that have nowhere or with nothing to wear, alcohol and cigarettes.

Match this amount with your budget. Ask yourself if you can afford to spend that much each month, or if it is more important for you to set aside that money for bigger goals like a vacation or a car.

If everything is in order, fix the limit and define this category as a separate expense item. If not, review the list again and think about what you can still do without.

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4. You will be able to set aside the saved money for big financial goals.

If you keep within the established limit, you can save some of your money. These amounts can be saved or invested.

In the first case, it is better to open a savings account. Every day or every month, depending on the conditions, the bank will charge a small interest on the deposit. This way you can increase your capital. And, besides, at any time to replenish the account or withdraw savings from it.

For example, if you spent 10,000 a month on spontaneous purchases, but reduced this amount by 30%, you will have 3,000 rubles left. Every month this amount can be deposited in a savings account at 4% per annum. Then in a year you will save 39,780 rubles.

If you invest these funds in a portfolio ETF (the tool is great for novice investors) with a rate of 8% per annum, then in a year your account will already have 40,560 rubles.

5. You won't feel guilty about spending too much

If you save money for rash purchases, then you kind of leave yourself the opportunity to spend legally. For example, if you want, please yourself with delicious pastry cakes. The funds have already been pledged, and nothing has to be taken away from other goals. You do not need to plan these expenses in detail. The main thing is not to go beyond the set amount.

6. You will become a more conscientious consumer

Living in a total economy and depriving yourself of small everyday pleasures is bad. Dr. Heshmat in his bookAddiction: A Behavioral Economic Perspective Addiction: A Behavioral Economics Perspective writes that a sense of lack of something important motivates us to buy more. It is also the basis for the limited supply tactic, when the manufacturer claims that the product is coming soon. will end, and calls us to action - buy right now without hesitation, because then this opportunity will not will be.

If you stop rigidly limiting yourself, it will be more difficult to catch this bait.