7 Ways to Curb the Urge to Splurge

[keepinitreal]

April 22, 2010

Use CashScrap the Credit CardsLearn to Cook WellKeep Your Credit Cards Away From Your ComputerCreate a Separate Spending AccountNever Buy Something to Impress OthersDevelop A Healthy Respect For Money

http://www.livecheap.com/shopping/everything-else/334-7-ways-to-curb-the-urge-to-splurge

[music12]

i really don't understand why so many people say that using cash rather than credit cards makes them spend less money.

for me, using cash means no accountability. there is no record i can look at a month later and say "gosh, i can't believe i spent so much money on this." if i use credit cards or debit cards, i know i'll see later what i've done, which brings some discipline with it.

but it seems that i am in a tiny minority.

[HHM]

i really don't understand why so many people say that using cash rather than credit cards makes them spend less money.

for me, using cash means no accountability. there is no record i can look at a month later and say "gosh, i can't believe i spent so much money on this." if i use credit cards or debit cards, i know i'll see later what i've done, which brings some discipline with it.

but it seems that i am in a tiny minority.

Well, when you use cash with an envelope style budgeting system, it awakens you to the limits of what you have.

If you budget $400 for groceries, and if you find that you have already spent that cash by week 3 of the month, someone is going on a diet

But to be fair, I don't use a cash system, I use a rewards/miles style credit credit card and simply pay it off each month. That bill is rather painful since I put ALL my expenses on it.

[RuthCB]

LOL - I don't care how good a cook you are, "couple of steaks and a nice bottle of wine" isn't going to be $25.00. Unless that is all you eat, just steak and wine.

[justbroke]

LOL - I don't care how good a cook you are, "couple of steaks and a nice bottle of wine" isn't going to be $25.00. Unless that is all you eat, just steak and wine.

Wait... a "nice" bottle of wine is $25 by itself. I just bought ONE 1.5lb ribeye for $12.99. I haven't even added the cost for energy (dealing with my electric stove) and ingredients. Add some broccoli and some even a potato and multiply by 2... and I'm seeing $50 to have an equivalent $100 dinner.

Anyhow, the real lesson is in the "need" to go out to eat all the time. Unfortunately, we turned in to a "dine out" society which put many people to work by creating these "small business" franchises. Now, we are all told to stay home and eat...

I digress...

[WhatMoney]

LOL - I don't care how good a cook you are, "couple of steaks and a nice bottle of wine" isn't going to be $25.00. Unless that is all you eat, just steak and wine.

No problem - I could fix a steak dinner for 2 for less than $25 without thinking.

2 - 3/4 lb New York or T-bone steaks @ $7/lb (Safeway Price today):
$10.50

Fresh Veggie (broccoli, asparagus, green beans)
$1.00

2 Large Red potatoes:
$1.20

Romaine Leaf Salad w/ fresh tomatoes:
$2.50 (tomatoes out of season here)

French or Sourdough bread - freshly baked loaf.
$1.30

Sageland Wash. State 2007 Cabernet Sauvignon (Columbia Crest Grand Estates Cab, Syrah and Merlot also in same price range):
$7.00

Total $23.50

I could save on the steak with ribeye's on sale and find several great $5 -$7 French or Italian wines at Trader Joe's. And I'd consider a fresh Salmon steak instead for around $6/lb.

Any bottle of wine that costs over $15 is not worth it. And I've been collecting and drinking red table wines for 40 years...
I buy my wines by the case at 10% above distributors cost, btw - which is about 35% off retail.