There was a recent article written by Sherri Richards about learning when to say yes or no to spending money on certain things.
One of the statements that stuck out to me was
“Racking up credit card debt on unnecessary purchases means you’re pretending to be someone you’re not. It means you haven’t learned to live within your means, and to distinguish your wants from your needs.”
There may be some circumstances when expenses come up and you think it is necessary to charge them on your credit card. This is a reason why it is important to have an emergency fund to cover unexpected expenses. If you do put it on your credit card, do everything you can to pay it off as soon as you can to save on interest charges.
If you find yourself putting everyday costs on your credit card or carrying a balance from month to month it may be time to sit down and look at your spending or increasing your income. If you continue to spend more than you can afford each month you may quickly get into financial trouble. Also, if you can’t afford to pay the entire balance, pay more than the minimum amount requested. In many cases the minimum payment barely covers the interest charges. If you continue to only pay the minimum payment it will take you years to pay off the balance and you will pay considerably more for the items than the original costs.
Even though it is important to save money it is also important to spend money, just consider what you are considering spending money on and if it is worth the cost to you.
Just like dieting, if you restrict yourself too much, you may get frustrated and give up.