Especially in the finance community, there is a stigma around spending money on things that you don’t need or won’t make you money.

You often hear “Well, you could have gotten this cheaper option.” or “How long will it take to break even?”

This second option specifically irks me as it assumes that the only reason you would buy something is to achieve some sort of financial gain.

Let’s cover a personal example of mine.

My Experience

I recently got a home espresso machine (see the beauty below), and I posted about it on social media.

Quickly, the most common response I got was “How long will it take for it to pay for itself?”

The answer is around 257 lattes.

Though I’m sure this was a mostly sarcastic or genuinely curious comment, it struck a chord to me.

I struggled to buy things that I didn’t see direct financial benefit in.

Most of the things I would comfortably spend money on would be things with obvious financial benefits.

The Problem

The issue I have with seeing purchases this way is that money is only seen as something that should be saved or grown, never spent.

Yes, saving and growing your wealth is essential for achieving financial goals.

But doing nothing but saving and growing is a shortcut to burnout, unhappiness, and giving up on your financial goals.

This old-school point of view makes me think of the idea of “I’d rather work 1 hour a day for 10 years than 5 hours a day for 1 year”.

The goal with our finances is to build long-term, sustainable habits, not to push ourselves to the limit.

We don’t have to villainize spending to reach our financial goals.

The Shift

Instead, the qualifier I use is to determine whether a purchase would provide value to my life.

This isn’t monetary value, but simply a positive impact.

Anything from saving time, to making you smile, to reducing friction in your daily life is valuable.

For me, the espresso machine makes me happy more than anything.

I love lattes and other espresso drinks, but would rarely get them to due to a high cost per drink, having to drive out of the way, and inconsistency day to day.

Now, I have one whenever I want for ~$0.60 each and it takes no more than 5 minutes.

Same goes for buying gifts.

No, you won’t gain any financial benefit from giving.

But the value of making someone else smile and building a relationship is valuable enough to make spending money worth it.

I find this view of spending money liberating and realistic than traditional mindsets around spending.

Before you go…

General advice is great, but personalized advice is truly powerful.

Schedule a FREE 1-on-1 introductory coaching call wth me to take the next step on your financial journey.

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