Women are often said to be big spenders and emotional buyers. And while it’s definitely okay to treat yourself from time to time (you deserve it, girl!), it never hurts to review your spending habits and gauge whether you can do better for your financial health. If you find yourself happily spending right after payday but feeling financially stretched before the next, you might be sabotaging yourself with some bad money habits. Here are five of those habits that you should break immediately!
1. Stop the budol
We often see posts on social media about a person’s latest “budol,” which basically means an “impulsive buy.” Just because someone said it was a great buy, doesn’t mean you should immediately add to cart. Boredom can also cause you to click on things you don’t necessarily need. Evaluate first if this is really a necessity and even then, try the 48-hour rule. Give yourself 48 hours to think about your purchase before checking out.
2. Stop credit card debt
Once upon a time, these cards were like magic that could grant your heart’s desires with a single swipe. Having a credit card per se isn’t bad; it’s the compounding debt and interest that becomes worrisome. As a rule, if you can’t afford it, skip it and always pay your dues on time. To help you better manage your finances, switch to a debit card instead so you know how much you’re only able to spend.
3. Stop living above your means
Basically, take note of how much you earn and keep the spending to a bare minimum. Skip those unnecessary conveniences or luxuries – which may be okay to splurge on once in a while – but not every day. Why order more expensive take out when you can cook at home? Why fill out an entire cart with groceries when you only need the basics? Keep track of your expenses, stay on budget, and even set aside some savings for your emergency fund or future investments.
4. Stop putting off saving
#YOLO It’s true that we only live once and we’re encouraged to celebrate life and have fun. But that doesn’t mean that it should be at the expense of our financial futures. Balance is key in this regard. Enjoy life but set aside appropriate savings, which will protect you down the road.
5. Stop being afraid of financial planning
Filipino women often hold the purse in the household but some do not have the proper training or know-how to manage finances. Sometimes much needed discussions about money are often avoided too to prevent quarrels within the family. Some women also are too overwhelmed by the responsibilities of taking care of their families, including the elder generation, to think and plan for their own financial futures. This is why financial literacy becomes ever so much more important, so you can set goals and habits that will allow you to live comfortably in the now - as well as the future. If you want to get back on track or finally start your journey to better financial health, consult a financial advisor.