Spending Money Wisely: Indulgences that Pay Dividends
If you're working on being more frugal with your money, it may seem like the only option is a strict budget that prevents you from buying anything new.
At Mattress Firm, we've heard plenty of complaints about this — but "budgeting" doesn't have to be a bad word. Monitoring your spending is a good habit, no matter where your income falls.
One of the first things you'll learn to keep an eye on in budgeting is "splurge purchases." But it's not always so easy: we're here to explain the difference between buying new items without thinking about how they affect your overall budget and investing in items that will ultimately pay for themselves — and could even save money — in the long run.
While it's wise to be on the lookout for ways to curb your spending habits, there are some items that are simply worth the splurge, even when you're on a budget.
Spending that is Worth the Splurge
When deciding where to spend and where to save, consider these indulgences... that could actually yield big-time savings in the long run:
- Education – By investing in yourself and your career, an education is a splurge that's destined to pay back ten-fold. Studies show that among millennials, those with college degrees actually make an average of $17,500 more each year than those with only a high school degree.
- Sleep – While a mattress may seem like a splurge, it's actually an investment in your well-being. You'll spend more than one-third of your life in bed. It's up to you whether to spend those hours tossing and turning, or resting up for the next day. Sure, we may be biased, but if you stop by your nearest Mattress Firm location, we'll even help you identify the perfect mattress for you. What's even better? Your budget stretches further at Mattress Firm, so you can enjoy the mattress you deserve, at an unbeatable price.
- Direct flights – Booking a flight with a layover may seem like an easy way to save a few bucks on airfare, but delays and missed connections can add stress and frustration to your vacation that aren't worth it in the end. Spending the extra fare for a direct flight is worth it and will eliminate a headache later. Still feeling guilty? Make up for the indulgence by carefully researching your trip — sites like Hopper and Trivago let you compare different travel sites and fares, to make sure you're getting the best deal.
- Experiences – Research shows that we are happier when we invest money in experiences instead of things. With this school of thought, things like concert tickets, cooking classes and vacations are actually worth it because of how they contribute to your overall mood and happiness level. Looking for a good way to keep your experience-purchases in check? Try using bargain sites like Groupon or Living Social. You can browse tons of activities — from beach vacations to art classes — without fear of overpaying.
No matter how you choose to spend your money, make sure the investment is worth it. Stretching your budget further means getting the highest value without paying more than you need to. If you're ever feeling queasy about a purchase, a good rule of thumb is to sleep on it.