Day Nineteen: Friday, January 28th

Impulse purchases are what get the majority of Americans in trouble with their finances. Today's assignment is to develop an understanding of the spending that gets you into trouble, and develop other coping mechanisms. What gets YOU into spending trouble? What other ways can you cope with them?


Make a List, Check it Twice.
Create a second approved spending list for the Modified Spending Freeze. Go ahead and include some of the wants you've been avoiding purchasing since starting the Spending Freeze. However, the items must be on the list for 24 hours before you purchase them. This will help you avoid buying things you really don't need (or could get by without) and haven't completely thought through. Include things like clothing items your family may need, one lunch out per week (if your financial situation allows), gifts, and so forth.

Communicate
Make sure that you and your spouse are in agreement about what's on the second approved spending list. Set a dollar amount that you have to get spousal 'approval on before it is spent. It could be $20 or it could be $200: The important thing is to choose a number appropriate for your own situation. Consider your net worth statement when approving big purchases. If you have considerable consumer debt, no amount of thinking or pre-planning makes certain purchases OK. Keep that in mind.

Consider Your Mood Before You Shop
Everyone knows you're not supposed to go grocery shopping when you're hungry. My husband can attest to that--  that could be why we have enough food in our pantry to live off for several months. I can also add: Don't go shopping for scrapbooking supplies when you're bored or go to Old Navy when need a pick-me-up. Of course most of these emotions are temporary, but the bills aren't.

Knowing exactly how and where you spend your money will provide you with key information about where your money goes. It will also give you valuable insight into what your spending weaknesses are and provide information about what you can improve upon.

Come up With Coping Mechanisms
After you'e identified some of your thoughts, moods, and situations that get you into trouble when spending money, you can come up with some alternate coping mechanisms. Here are some tips:

Stuck in a rut? - Some people are tempted to get new clothing, furniture and accessories to help them dig themselves out of a funk. Instead, shop within your own home and use your creativity to find new ways to use what you have. Try people watching to get fashion ideas that incorporate what you already have. Move your furniture around or try changing out photos/wall décor with other pieces you already have to liven up a room.

Relaxation and Recreation - If you're shopping for relaxation and recreation, try to find other less expensive ways to unwind. Go for a walk, take a hot bath, listen to soothing music, or get together with a friend over coffee. If you shop with your family on the weekends, find other entertaining activities that don't cost as much. Take your kids to the park or the library instead of the mall or try a new hobby like Letterboxing.

Shop with a List - When you do shop for items deemed necessary, stick to a list. Only bring enough cash to cover who's on your list to eliminate the ease of putting those extras on plastic. Don't let sales tempt you into buying things you don't need. Instead, channel your bargain-hunting to more practical activities such as grocery shopping or buying things that you need instead of things that you want.

Restaurant Lure - Eating out is a huge temptation not only because it cuts down on household chores, but it's a great social activity as well. Try to have your freezer stocked with meals you can pull out, thaw, and cook. Keep your pantry stocked with ingredients to make meals that can be made in just minutes (such as spaghetti sauce and noodles). Having a meal plan can also help keep you organized and avoid the take-out temptation. If you're hitting the restaurants to socialize and spend time with friends and family have a snack or eat beforehand; then just order an appetizer or dessert.