8 phrases people who are bad with money tend to use to excuse their spending habits

If someone’s constantly broke, you might assume they’re bad with money. If they’re always shopping, you might guess they struggle with saving.

Ah, the simplicity of financial stereotypes.

But let’s be real, understanding someone’s financial habits isn’t always that straightforward. The world of personal finance is as complex and nuanced as the human mind itself, often requiring us to listen beyond what’s simply being said.

Interestingly, some people are quite adept at picking up on these financial faux pas, and you’ll find they often share a common trait: they’re keenly attuned to the phrases people use to justify their spending habits.

These phrases might not only help you understand others better but also make you rethink your own financial habits.

1) “I deserve it”

Spending money can be as emotional as it gets.

When you’re feeling down, a little retail therapy might seem like just the thing to lift your spirits. On the flip side, when you’re riding high on a wave of success, what better way to celebrate than with a lavish gift to yourself?

But the phrase “I deserve it” is often a mask for deeper feelings we might not want to confront. It’s a way of justifying spending that isn’t truly necessary or even beneficial in the long run.

People who are bad with money tend to use this phrase quite often. It’s their way of avoiding feelings of guilt or anxiety tied to their spending habits.

On the surface, it appears as a simple reward system. But dig a bit deeper, and you’ll find it’s often a sign of emotional spending, which can quickly spiral out of control if not checked.

So, if you catch yourself saying “I deserve it” every time you’re about to swipe your card, it might be time to stop and reassess your financial habits.

2) “It’s on sale”

As someone who’s been through my fair share of financial ups and downs, I can’t tell you how many times I’ve fallen into the “it’s on sale” trap.

I remember this one time when I spotted a pair of designer shoes on sale. Now, I didn’t need new shoes, but the “50% off” sign was just too enticing. So I justified the purchase by telling myself, “It’s on sale, it’s such a good deal.”

But here’s the thing: a good deal isn’t really a good deal if you weren’t planning to buy it in the first place. In reality, all I did was spend money I hadn’t planned on spending, on something I didn’t really need.

The phrase “it’s on sale” is often used by people who are bad with money as an excuse to make unnecessary purchases.

They see a discount and feel compelled to take advantage of it, even when it’s something they wouldn’t normally buy at full price.

Watch out for this phrase – it can be a slippery slope to overspending and financial distress.

3) “I’ll start saving next month”

Procrastination is a common human trait, and it can creep into our financial habits as well. The phrase “I’ll start saving next month” is a classic example of this.

The reality is, there’s always going to be a next month, and there’s always going to be a new reason or excuse to put off saving. Whether it’s a friend’s birthday, a sudden car repair, or the latest gadget you just can’t resist, there will always be something.

According to a study by Bankrate, 20% of American adults don’t save any of their annual income at all. And one of the reasons behind this could be the tendency to keep pushing back the start date of their saving habits.

Remember, there’s no better time to start saving than now. Don’t fall into the trap of deferring your financial goals to an elusive ‘next month’.

4) “I can always make more money”

The phrase “I can always make more money” might sound like a confident mantra, but it can be a dangerous mindset when it comes to managing your finances.

This kind of thinking often stems from a belief that money is an infinite resource. It dismisses the importance of saving and budgeting, encouraging reckless spending instead.

Sure, making more money is always possible. But it’s not guaranteed. Plus, relying on future earnings to justify current spending can lead to a cycle of debt that’s hard to escape from.

So, if you find yourself using this phrase to excuse your spending habits, it might be time to reassess your financial strategy and start taking steps towards a more sustainable and responsible approach to managing your money.

5) “I need this”

I’ve been guilty of saying “I need this” when, in reality, what I’m looking at is far from a necessity. It’s easy to blur the lines between wants and needs, especially when you’re staring at something you really, really want.

But here’s what I’ve learned: Justifying every purchase as a ‘need’ is a quick route to financial instability. It’s a subtle way of giving yourself permission to buy things without considering whether they are truly necessary or if you can afford them.

For me, learning to differentiate between wants and needs was a crucial step towards improving my financial habits. And it’s something I’d encourage everyone to consciously practice.

After all, recognizing the difference can help curb impulsive buying and lead to better money management.

6) “It’s just a small purchase”

Here’s something that might surprise you: the phrase “It’s just a small purchase” can be just as damaging to your finances as splurging on big-ticket items.

Small, seemingly insignificant purchases have a way of adding up without us realizing it. A daily latte, a new book every week, those cute socks you found online – they all seem harmless on their own. But when you start adding them together, you’ll find they can make a significant dent in your budget.

The danger of this phrase lies in its power to make us overlook the cumulative impact of our spending habits.

Remember, every little bit counts when it comes to financial management, and those ‘small’ purchases can add up to big money over time.

7) “I’m young, I should enjoy my money now”

The phrase “I’m young, I should enjoy my money now” is often used as an excuse to spend freely and avoid saving. It’s based on the assumption that there’s plenty of time to worry about finances in the future.

While it’s important to enjoy your life and money, using youth as an excuse to avoid financial responsibility can set you on a path of financial instability.

Delaying saving and investing means missing out on the power of compound interest, which can significantly boost your wealth over time.

Balancing enjoyment today with financial security for tomorrow is crucial. Remember, being young is not a free pass to ignore your financial future.

8) “Money is meant to be spent”

While it’s true that money is a means to an end, the phrase “money is meant to be spent” can lead to unhealthy spending habits if not balanced with a sense of financial responsibility.

Sure, money is a tool that allows us to buy goods, experiences, and even a sense of security. But it’s also a resource that needs careful management. It’s not just about spending; it’s also about saving, investing, and planning for the future.

Using this phrase as an excuse to spend freely can lead to financial strain and stress down the line. Remember, money might be meant to be spent, but it’s also meant to be managed wisely.

Reflecting on spending habits

As we journey through this exploration of phrases, hopefully, you’ve been prompted to reflect on your own financial habits.

Recognizing these phrases isn’t about inducing guilt or shame. On the contrary, it’s an invitation to become more mindful about our relationship with money.

It’s about understanding that often, our spending habits are not just about money but are deeply intertwined with our emotions and perceptions.

Being cognizant of these phrases doesn’t make you a frugal person; it makes you a financially aware one. And financial awareness is the first step towards better money management.

As the great Warren Buffett once said, “Do not save what is left after spending; instead, spend what is left after saving.” It’s a simple yet powerful shift in perspective that can transform our financial health.

So, as you navigate through your financial journey, remember to listen to the words you use around money. They might just be the key to unlocking a healthier financial future.