Do you spend money wisely?

United States
September 28, 2009 3:29pm CST
How do we get into recession? part of the reason is that majority of Americans don't spend money wisely. They have too much available fund be there for them to borrow, which means credit cards, and personal loans. They just spend them luxuriously without considering the consequence of have to pay them back in the future. I could see it through the way my cousin spending his money; he swipe his credit cards store from store, and buying something that is not really important per se. He just see what he likes, and he wanted to get it instantly. That is not wise spending, he just wasted all his money. Don't follow his footstep, consider what is important for you, and think about what you really need before you place the purchase.
1 person likes this
25 responses
@scheng1 (24741)
• Singapore
29 Sep 09
Hi Clorissa, I think it's the way the government spends money that filters to the street. America used to be a rich country, and the government was very prudent with spending. Now that the US government thinks nothing of getting into debt, how do you expect the average people to learn good habit. China and Middle East countries are cash rich, and the governments do not spend unnecessarily. They set up sovereign funds to buy companies around the world. That's why the people also save, and learn to invest. I think the government has to set a good example. Once this recession is over, the US government has to take action to reduce debt. Now in the midst of recession, the US government has to spend to provide support to the economy, otherwise the whole world collapses.
1 person likes this
@robert19ph (4584)
• Philippines
29 Sep 09
hello clorissa123, yes indeed, i do spend money wisely especially now that my son is in college. more so next year, for my second son will be graduating in college. is really tough and need to tighten our belt. they have a lot of projects in school. but it's okey, what's important is that they are doing their part. i seldom go to malls to avoid unwanted expenses. just go their to buy gift during special occassion.
• United States
1 Oct 09
Ever since you have children to look after, we have to learn to live frugally. Sacrifice is one of the biggest step. I understand that, and I hope that your both sons will graduate with honor and you will be proud of them.
1 person likes this
• Philippines
1 Oct 09
@patofgold23 (5075)
• Philippines
28 Sep 09
hi cloriss... I am a mom..so I have to be very wise in spending my money..else i wont have anythihng left to get my son what he wants. I probably am the stingiest creature on this planet.... but i'm doing that so i would be able to get my son stuff he likes... all the money I have saved from discounts and all, i use it to but my son his favorite pizza on weekends... or his favorite brand of boxers...
• United States
28 Sep 09
It is mother's nature to save money for her beloved children, and no one won't blame for you been cheap. It is okay to be cheap than bear too much debt on hand. I also want to be cheap, and I want to be able to pay off my debt as soon as possible. I hope that I can save money too.
• Philippines
29 Sep 09
Yea..that's how i am cloirss..i am so stingy to myself... yet when it comes to my son...i am the opposite..
@rosepedal64 (4192)
• United States
28 Sep 09
Hi clorissa Oh you got me nailed again..LOL...I am too one of those that have the credit cards. I will have to say that over the last few months that I have been very careful on what I use them for. I use them in an a need to situation. Like in between husbands unemployment checks. I do have those interest rates to deal with now. We are trying not to use them at all until we can get them paid off. I will be happy to say that I haven't used them this month at all. You have a nice day..
• United States
28 Sep 09
It is really nice to know that you have a strict way to limit the use of your credit cards. Don't waste any dime on something that you won't need. Buy what is necessary. Keeping on interest won't make you rich at all. I am in a strict way of limiting the use of my credit cards. I even cut up one of my credit cards, and another one only for emergency usage. Try to use cash instead of borrowing money.
• United States
29 Sep 09
I have a plan. When Hubby gets back to work on a regular basis I intend to play one of mine off and cut it up too. I thought that I was special to have two or three credit cards,boy did I have out different..LOL..
• New Zealand
28 Sep 09
I don't got spending my money willy nilly but I don't go spending it wisely either. Like I won't go out and buy a massive t.v on impulse but i'll be impulsive enough to go out with my mates and spend a decent amount of money on the spot buying booze and junk food and stuff. You know the typical hang out neccessities. The most impulsive thing I've bought would have to be a psp. Saw it on trademe (the equivalent of ebay in new zealand) thought it was cool and bought it.
• United States
28 Sep 09
Maybe you have sufficient fund on your hand for you to spend, that is why you won't need to worry about spending extra dime without thinking about it. Many people just couldn't afford to make such mistake. I couldn't either. I have to re - consider how to spend my money wisely, and not to make extra mistake again.
29 Sep 09
I can say that PSP is a bit worthy for one to become impulsive HA!
@cher913 (25890)
• Canada
28 Sep 09
we try to use only cash and not use credit cards and have been fairly successful in doing so. we are pretty careful when we shop and only buy what is necessary. i am also making a lot of christmas presents. the problem is that we are an instant society. we want what we want NOW and a credit card makes it easy to do.
• United States
28 Sep 09
Yeah, that was our past, don't we learn the lesson at all? Now we are in a deep depression, the bank won't let us borrow any money, and the banks won't trust another bank. We are just dig a big hole for ourselves. We shouldn't waste all the financial resources anymore.
@thea09 (18327)
• Greece
3 Dec 09
Oh Clorissa my dear, so it's happened with your cousin too as well as with yourself. You can't go into debt if you don't spend what you don't have so you should both be cutting up those credit cards now and stop impulse spending. Was it credit that got you into the same mess too, you'll just have to put a frugality plan in progress until your debts are gone.
• United States
13 Nov 09
I am very careful with the money my husband makes. He is now only working part-time do to the economy. I have not been able to find work since I graduated college this past July. Even with the holidays upon us I still have not been able to find a job. The economy is bad. I am lucky if I can afford the necessities such as food, the mortgage and our electric bill. I have one credit card (Lowes), but I do not use it all that often. I may have to use it in order to get my house winterized and also we need a new Christmas Tree. I hate using my credit card, but I cannot stand living in a cold house either.
@patofgold23 (5075)
• Philippines
15 Oct 09
i know i do..i am very careful with how i dspend my money..and i keep track of my spending all the time.. money's hard to find... gotta be wise
• United States
11 Oct 09
I agree many americans have this mindset of just putting everything on their credit cards without thinking. It is crazy. Who wants a load of debt on their hands. Maybe shopping and using credit cards, fills some void and gives them some fulfillment. My family and I do our very best to avoid this, use our debit cards or cash in making purchases. I look for deals and sales, never pay full price for anything and use coupons. We try to make a goal of spending our money wisely in every area of our lives.
@melmer (54)
• Philippines
1 Oct 09
I agree clorisa! my life right now is different it before. plastic money is not good it could only give us headache and stress....live a simple life without any debts important is FREEDOM...
@EliteUser (3971)
• Australia
1 Oct 09
Hey, Yea I actually try and spend my money really wisely now. I have actually tried to not spend my money on absolutely anything this year, and so far I think that I am doing quite well. I just try and save up every penny I have. Make sure you have a good day, God bless and Happy Lotting!!
• Germany
30 Sep 09
Hi, clorissa. I am not good at spending money wisely. I don't always buy things for myself, but i buy for my baby. I always want to buy alot of books and flashcards for him. I have spent much money on the baby things. And i now i would like be frugal. I am thinking of making the flashcards myself and some baby cloth books. But the problem is i do not know where to get the cheap materials. Have a nice day and happy mylotting.
@cripfemme (7715)
• United States
29 Sep 09
No, but I'm getting better. I really am, and I'm proud of myself because it's hard for me. I get $789.00 from the government and my parents usually give me anther two hundred. Plus, I make money online. All that goes to payoff debt. I'm about $4,000.00 in debt to various people. All of whom are my friends. I usually pay back about $100.00 per month. It's not that I shop at BCBG (where I've never actually been) or that I eat steaks every night. My main problem is that transit costs here are somewhat out of control. I don't drive nor do I want to. But, I live on a bad bus route, and if I desire to leave my house at any time between 8:10am and 1:00pm I have to take a special van service. I keep trying to move to this apartment in Boston that's available but no one can interview me because the lady who was running the program retired. They haven't hired a replacement yet. I think due to the economy. I spend about $300.00 on the van service per month. That's a third of my income. Last year, for the IRS, my van service total was $1,032.00 just for work related stuff. This doesn't count going to the mall or hanging out with my friends or doing anything not work related. I think that that total would have been around $1,500.00. I know it would be much smarter to move to another area on a better bus route. I tried to do that but the apartment that I found didn't have an entrance to the bathroom that didn't involve walking through my bedroom. I sleep very lightly anyway. Were people just supposed to keep waking me up whenever nature called or what about possible future romantic entanglements? The people who work for me are very supportive of me having a full life, but I'm sure they don't want to see that nor do I want them to have to witness it just to do pee. I've called every other apartment in the area. No one has adequate space, is wheelchair accessible, and is on a bus route. What's a girl to do? My other money downfall is that I tend to lend people money when I have it because people so often help me out. I figure I'm paying it forward. My problem is that those people don't see fit to pay me back when they have money. My last money issue is that I tend to tithe, as my faith tradition calls it, more than I should. What can I say? I'm a generous soul.
• United States
29 Sep 09
Most poeple don't. Even though this reccesiion effects them they don't care and dig themselves in a deeper whole of loans and bad credit. Im not gonna lie. I don't save as much money as i should and conserve it, but I at least balance it enough so I can get by.
• India
29 Sep 09
I tried it many times but alas hardly I managed it. I don't know what's my problem. I cannot keep moneys in my hand. Anyway it gets out and thatswhy no question of wisely spending of money arises. I think those are the very lucky persons in this world who can do it.
• Philippines
29 Sep 09
Budget does not work with me. I admit I am poor in keeping track of my finances however when subjected to a situation I let my better half make decisions for me.
@Chanllys (11)
• China
29 Sep 09
As for the money management,I think I am a loser.Through I do not waste my money on useless things,I always bought something on a sudden impulse.Every time I find I need something,I will just do it.Maybe I will be a moment happy,but as a punishment,I will save some time.During this time,I will eat poorly.As time pass on,I think I shoud correct this bad illness which may make my health be more and more poor.In a word,I should spend my money on the edge of a knife.As a student,we have not the ability to earn money and what we can do to make up for it may be to try to save it!
@IMEzekieL (500)
29 Sep 09
I do but sometimes, if it comes to gadgets, I can be very addicted to spending. I don't know why. I just love buying gadgets.
@sheetalnr (590)
• India
29 Sep 09
Good advice my friend. Everything you mentioned is very valid. It is very important for us to spend wisely and make sure that we buy just the basic needs, when money is very limited.