One of the most detrimental things to our financial success is ignoring our budget. And trust me, it’s easy to ignore our budget. It’s not an enjoyable thing to look at and it seems to just keep all the fun from happening in our lives, right? But saying no to some wants will help you keep yourself under control.
And I almost recently made this mistake. I almost bought a new toothbrush. Now, don’t get me wrong, I’m not against having a toothbrush. In fact, it’s a necessity. For all of us. It’s just in this case, this was a brand new electric toothbrush that came as a set of two for about $110. And I already had an older model. Quite usable in fact.
So, I said “no” and walked away, saving myself over $100. But I had almost made a budgeting mistake: I was about to buy something when it wasn’t planned and it was a spur of the moment temptation. When I think back on it, I can get replacement heads for my brush for about $4 bucks apiece. That hundred bucks could fund a lot of continued use for my older toothbrush.
How Budgets Can Be Sacrificed
The problem in this case isn’t the fact that I couldn’t afford a newer model. It just represented, to me, of the nature that all of us have towards wanting to buy seemingly innocent nonessential purchases. We always want more and we want the latest version of it.
In this case, it had the allure of all the fancy bells and whistles. It was sleeker and sexier. It told you when you were brushing too hard and when to replace the heads. Did I need it? No. (I can hear all those Dentists out there arguing otherwise!). Did I want it? Of Course. Do I miss not buying it? Nope, not all. In fact, I’m glad I walked away. Heck, half the fancy features on it I doubt I would ever use.
In the case of the toothbrush, it wouldn’t have hurt my budget. I easily could have afforded it. But it serves as an example of more expensive wants that I really didn’t need. And as I write this I think back to all the other seemingly “needed” things that today I don’t really care about. Some range about the same cost as the toothbrush. Some were a few hundred dollars (have you ever upgraded to the latest phone just because it was new?). Some wants were thousands of dollars more.
Yes, budgets can be sacrificed at a moments notice if you’re not careful!
More Expensive Budget Mistakes
But it doesn’t stop there. Those wants can range even to the tens of thousands of dollars. Anyone ever long for the latest model of whatever car you love? I know I have and I’ve been tempted. And the wants can even reach to the hundreds of thousands with an upgraded home. It’s normal to want the latest and greatest. Some of us just indulge more than others.
However, as we look at our finances and realize that we’re responsible for not only providing for ourselves today but also for tomorrow, we have to have a plan for both time periods in our lives. The future definitely won’t just take care of itself. We have to play an integral part in how we shape that life tomorrow.
You Have To Care About Your Budget
It doesn’t take long looking at a few finance articles to realize that we have a retirement problem facing us. With pensions on the decline, Social Security cuts possibly being a reality when we retire, and lack of contributions to our own 401k’s we won’t be enjoying our Golden Years as pleasantly as we thought we might. So we have to take a serious look at where our money goes.
And although I saved a bit over $100 with my toothbrush choice I may eventually splurge and get it. The goal isn’t to deprive us of all of our wants. Most likely, however, I’ll wait till my current one is really worn out and it makes more sense.
But by developing habits that make me question my wants, perhaps I’ll develop a skill to really question “why” I want something and if the benefits outweigh the costs. And although I don’t want to live my life scraping by and not enjoying a few toys here and there and pinching and saving every penny I can, I know that my habits will help control my budget, allow me to invest for myself, and hopefully secure my future.
So, don’t ignore your budget! It can sacrifice your future if you’re not careful. Although we don’t necessarily need to say no to everything, we have to make conscious decisions on how to spend our money. Now, tell me, what’s your latest “want” and did you splurge or hold out?
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