In this day and age, everyone is about showing off. Whether you are showing off your new home or your new car, chances are it’s been uploaded on social media already. Don’t get us wrong, we like expensive things just as much as the next person. However, keeping up with the Joneses may eventually lead you to some financial turmoil if you aren’t careful. Below you can discover why overspending on extravagant things may be better left in your dreams.
Huge purchases add stress to your life when you cannot technically afford them.
Yes, you may want to spend a ton of money on a vacation to Japan this spring, but can you afford it? Unless you answer was “100% yes” and you had no moment of hesitation, chances are you will be under a lot of pressure in the money department eventually for splurging on something that was not a necessity.
You could be spending on your priorities instead.
There are things in your life that cost money. Whether they are your kids or a hobby, they are things you enjoy(we hope) and you should truly use your money for many small purchases over time rather than emptying your bank account in one fell swoop.
Life is full of surprises (and not always the good kind).
As much as we wish it wasn’t the case, there are all kinds of things that go wrong out of nowhere in life and that usually cost money to repair. Get in a car accident and total your car but you just spent all of your savings on a bigger big screen television and surround sound system for your living room? What do you do now?
Being aware of the way big purchases affect your money situation is very important. If you fear that you are already in too deep and may soon be filing for bankruptcy, call the Law Offices of Loomis and Greene. We can help you get a handle on your debt!