What are the Four Questions to ask before making any purchase.
We are in a World of tentations, instant gratifications, we want everything like yesterday but before going crazy about any purchase, we may ask ourselves some crucials questions. Let see the Four main ones that i come up with.
1- Can I purchase with my own money?
If mr. Credit Card is not far that means you cannot afford it…
- Pay check to pay check! Doesn’t help to be in this situation, close to 75% of peoples generating a income are living this way, crazy when you think about it. (Source Wikipedia)
- Credit Card slave:It always a issue to have Credit Card debt, at the end your not the winner but again we could have a debate on this (good debt, purchase a duplex, generating income property, stocks…).
- Student Loans:Get rid of it, as fast as possible!
- Too high of a car payment: Older car,smaller payment or none.
2- Will it enhance my life?
If there is no purpose there is no adding value.
- Belongings—Everything i own, add value to my life. Example: My car to go to work but let’s say you have 2 other cars collecting dusts, at that point there is no value to have extra vehicules.
- Change of Situation—This will always happen and how to react to it… Your car broke down (Time to change the car or to repair the car ?).
- Tomorrow– When purchasing something today will it be a good fit for you and your family tomorrow.
3-Is there other options?
Before spending any money, “do i have the choice?”.
Always ask yourself this question so you know how to handle a certain situation…You could be going to a nice restaurant and you know already your budget is 100$ but you decide anyway to had to your meal a extra glass of wine and some filet mignon instead of a regular steak.Voila, you just exploded your bill on a emotional decision intead of a rational one.
There is nothing wrong in spending extra money but are you ready for it…
Sometime i do feel, we are running after troubles, why not say: “Mmmm, can i afford the extra expenses because i know this 30$ could be put toward a oil change for the car this week!”
In our modern days, we should know exactly by the cents, how much we are spending , how do we spend it and if there is another options to help us purchase a certain item or to not purchase. Always be ready to ask this question and you’ll be better off at the end.
4- Live without it?
How to realise you don’t need it…
There is simple way to know if you really need it or you just want it… When you need something it is related to a feeling that will help you achieve a small goal (my car broke down, i have no choice to fix it) compare to, i really like this watch but in reality you already have 5 watches at home. This is where we have to be careful.
To know the difference between the two and to focus on the “Want” feeling… Once you understand when your going to the store or you need to spend any money and you have to make this crucial purchase ,ask yourself. “Do i WANT it or do i NEED it?”.
If it takes too long to answer the question, you should just go and wait 7 days and in that time frame you should realise if this object will bring you value or it is just a instant gratification purchase that don’t make sense. If you purchase a item with the right intention it will be welcome in your Life with good spirit compare to a purchase base on bad energy.
Stay true to yourself and you will win!