Princeton Executive Center
4301 Route 1 South; Suite 220
Monmouth Junction, NJ 08852

LinkedIn YouTube
United Wealth Group LLC Home

United Wealth Group LLC

(732) 355-1050

 
Home NavigationMENU
  • About 
    • Mission Statement
    • Team
    • Products & Services
    • Useful Links
    • About Guardian
    • Careers
    • United Wealth Group LLC Website Terms of Use
  • Strategies 
    • Living Confidently
    • Financial & Emotional Confidence Quiz
    • The Reality of Life
    • The Living Balance Sheet®
  • Resource Center 
    • Retirement
    • Estate
    • Investment
    • Insurance
    • Tax
    • Money
    • Lifestyle
    • Small Business Webinar Series
  • Tools 
    • Glossary
    • Tax Resources
  • Contact
Money

How to Spend Again After Saving

Katharine Hepburn famously said, “Without discipline, there is no life at all.” It’s certainly true with money: when people save, it brings life rewards. But sometimes after being on your best money behavior for a long time, you want to cut loose and spend. It can happen whether you’ve been saving to buy a home, rejoined the workforce or survived a global pandemic.

Experts call this desire to make up for lost time “revenge spending.”1 Like other acts of revenge, this kind of spending may feel cathartic in the moment, but it can lead to a hangover of remorse. Instead, use these simple ideas to spend again on life’s pleasures while staying grounded in your hard-earned discipline.

Make a Plan

Before you begin spending, take honest stock of your finances. What are your assets? Liabilities? Write down your long-term goals and consider what it will take to achieve them. Once you do so, you might find that basic protections, like a six-month emergency fund, a diversified portfolio, and income protection, end up taking precedence. If you’re not sure how to make a financial plan, consider meeting with a financial professional — they can help you get started.

Review Your Budget

Once your long-term plan is in place, review your current spending habits. Know your numbers: housing, childcare, car payments, groceries, services, subscriptions — everything you spend money on. If these expenses are covered, start thinking about what you want from your spending. Are you aching for an adventure? Is it time for new living room furniture? Do you just want to see friends in person at new restaurants and live shows?

Include a Splurge Fund

Budgeting a set amount toward specific spending can help make your “revenge” into a “reward.” You’ll still get the joy of earning a new experience or product, but be less likely to overdo it. Create a “splurge fund” as a gift to yourself for the hard work of saving. Whether it’s $50 or $15,000, just make sure it’s money you can spend without getting into trouble. (Try these tips for spending for maximum happiness.)

Slow Down Your Spending

Remember the mind-money connection. Almost everyone has spending triggers, and it’s easy to get carried away after not spending for a while. To short circuit your triggers, build delays into your spending. For example, if you want to buy something outside of your spending plan, set a rule that you have to wait 48-hours before making the purchase. For mobile and online shopping, remove your card from one-click payment features. If you have to physically get up to get your card, you’ll have time to consider your spending priorities.

Honor Your New Spending Priorities

When you feel ready to spend again after a long period of discipline, start by acknowledging how you’ve changed. If your old spending habits were stressful, this can be a new beginning. For example, maybe after a year of not traveling to weddings, you realize that you don’t want to attend every event. Or perhaps you don’t need to make trips to the hair salon as often as you used to. If the practice of saving money led to new insights about how you want to spend, embrace them.

Now is the time to reset your savings priorities, so you can spend responsibility now and build your long-term future.

 

 

Brought to you by The Guardian Network © 2021. The Guardian Life Insurance Company of America®, New York, NY

2021-123085 Exp. 6/2023

SOURCES:

1Americans look forward to ‘revenge spending’ after a year inside—here’s how to make the most of it, CNBC, June 2, 2021

Share |
 

Related Content

The Cost of Procrastination

The Cost of Procrastination

Procrastination can be costly. When you get a late start, it may be difficult to make up for lost time.

Money Matters: Why it Pays to be Financially Responsible

Money Matters: Why it Pays to be Financially Responsible

Responsible money management is often a foreign concept to teens that is complicated and confusing. Yet, if they learn how to save and be financially responsible early, they can protect themselves in the future.

What Is My Current Cash Flow?

What Is My Current Cash Flow?

Assess whether you are running “in the black” or “in the red” each month.

 

Have A Question About This Topic?









Thank you! Oops!

Check the background of your financial professional on FINRA's BrokerCheck.

The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. Please consult legal or tax professionals for specific information regarding your individual situation. Some of this material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named representative, broker - dealer, state - or SEC - registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.

We take protecting your data and privacy very seriously. As of January 1, 2020 the California Consumer Privacy Act (CCPA) suggests the following link as an extra measure to safeguard your data: Do not sell my personal information.

Copyright 2022 FMG Suite.

This website is intended for general public use. By providing this content, Park Avenue Securities LLC is not undertaking to provide investment advice or a recommendation for any specific individual or situation, or to otherwise act in a fiduciary capacity. Please contact a financial representative for guidance and information that is specific to your individual situation.

Nick Saleem

Securities products offered through Park Avenue Securities LLC (PAS), member FINRA, SIPC.OSJ: 355 Lexington Avenue, 9 Fl., New York, NY 10017, Phone # 212-541-8800. PAS is a wholly owned subsidiary of Guardian Life Insurance Company of America® (Guardian), New York, NY. United Wealth Group LLC is not an affiliate or subsidiary of PAS or Guardian. AR Insurance License #2973673. CA Insurance License #0H03588. 

Asghar Kazim

Securities products and advisory services offered through Park Avenue Securities LLC (PAS), member FINRA, SIPC. OSJ: 355 Lexington Avenue, 9th Floor, New York, N Y 10017- 6603, Phone # 212-541-8800. PAS is a wholly owned subsidiary of The Guardian Life Insurance Company of America® (Guardian), New York, NY.  United Wealth Group LLC is not an affiliate or subsidiary of PAS or Guardian. California Insurance License # 0C53306.  AR Insurance License #703269.

This Forbes award is not issued or endorsed by Guardian or its subsidiaries.
Important Disclosures

Online Terms of Use

Online Privacy Statement

2021-126035  exp 8/30/23

Contact

United Wealth Group LLC
Office: (732) 355-1050
Fax: (732) 355-1051

Princeton Executive Center
4301 Route 1 South; Suite 220
Monmouth Junction, NJ 08852

FINRA Series 6, 7, 24, 63 & 65

akazim@unitedwealthllc.com

LinkedIn YouTube

Quick Links

  • Retirement
  • Investment
  • Estate
  • Insurance
  • Tax
  • Money
  • Lifestyle
  • All Articles
  • All Videos
  • All Calculators
  • All Presentations