How to spend smartly?

Here it is important to understand that it requires research and time to find attractive deals.

December 16, 2014 12:09 IST | India Infoline News Service
There is an invisible line between spending money and saving money. There are many people who wonder how spending money can lead to saving money. Well, it can as when you spent wisely you spend less and if you spend less you save money. The need is to understand that somewhere both the terms are connected and have a substantial impact on personal wealth.
Here it is important to understand that it requires research and time to find attractive deals. They will never be served directly to customers, but customers have to take out time and hunt for it. However, once it starts, it comes into behavior leading the person to make wise purchasing decisions. So, let us check out some simple ways that can improve the spending decisions of people in the long run:
Pleasure or need: Before making any purchase, it is essential to understand the objective of spending money. Sometimes the purchase is a must and sometimes it is just optional. Therefore, before buying anything ask three questions, is it worth buying, is it a necessity, is it a convenience? If the answer to two questions is no, it is better to avoid the purchase at that moment. It will allow you with enough time to reconsider making that purchase.
Spending is not recreation: There are many people who consider shopping as a recreational alternative to boredom. They are tempted to buy the things just for shopping fun. It is vital to understand that shopping can never be an alternative to recreation. It can provide momentary pleasures but in the long run it leads to financial problems.
Lead, don’t follow: Never make a habit to blindly follow people who don't even think once before buying the product. The company of such people can even transform you into an impulsive buyer.
Look for generic options: Money can always be saved if you buy generic products as a replacement for branded products. Remember, quality doesn't stick to big names but cost does.
Think before you spend: it is ok to use both brain and heart while shopping. However, make sure that most of the times it is the brain that takes the decision.

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