How to Avoid Post-Pandemic Overspending
Nearly 80% of Americans reported saving money in 2020 just by not going out to eat ($245 savings), not going on vacation ($1,400 savings), and not making major purchases ($5,700 savings)! 1
But now, after far too many days stuck at home hoarding cash (and toilet paper), many of us are ready to spring into our post-pandemic freedom. Spending is already up 6.4% in the first quarter of 2021, and it's only expected to go up.
Here are 4 tips to help you from overspending:
1. Stay on track with your budget.
Challenge yourself to live by this motto: If it's not in the budget, it's not happening. Plan and simple.
Set aside some cash for fun spending! Give yourself an allotted amount for new clothes, a concert with friends or date night with your spouse.
Download our free expense tracker here as a guide.
2. Unsubscribe to retail emails.
It seems like everybody has been having a sale for months and months now. Every company wants you to come in and help out the economy by buying stuff from them. If you're trying to steer clear of spending temptations, know that you've got the power to use that unsubscribe button.
3. Shop small.
If you do have some extra cash in the budget and want to help support businesses, shop small! Head to the local stores that were forced to close for months.
How does this help the urge to splurge? Shopping in person is an easy way to make sure you don’t get too crazy with spending. Leave the debit card at home and take a set amount of cash with you.
Did you save an extra $1,000 during the pandemic? $5,000? $15,000? No matter how much you saved, you can make that dollar amount grow.
Throw that extra money into an investment account and watch it double, triple, even quadruple for years to come. Sure, you might miss out on joining your friends in the post-pandemic splurge. But you’ll be glad you chose to invest when you retire a millionaire. Now that’s a glow-up!