The following is a guest post by Hannah Navi of Billy’s Savings Club, an online savings solution. Billy specializes in price comparison for services like moving companies, which helps you save money.
It’s rather simple to throw away money (with or without realizing it) by getting products that you don’t really need. But as I was brooding over it, I realized that spending too much is a habit that is just as bad as wasting money. The difference between spending too much and wasting money is that overspending means spending more for something that you’d be buying anyway, while wasting cash also revolves around spending cash on items that are generally unneeded (even though they are often very nice). And so, I brooded for a long time about how we can avoid overspending and I’ve come up with the five following tips to help prevent that dilemma.
1. Consistently look for stores that will hit the price of their participants or at the very least, offer a price-match assurance. I’ve recently discovered that many companies actually do honor price match requests, even though they may not readily supply this service. Here are a few businesses that will top their rivals (or, at the very least, equal the cost) – Staples, Diapers.com, Bed Bath & Beyond, and Sears.
Some companies also provide price adjustments if the item you purchased goes on sale within 7-14 days. Keep an eye on costs to see if you’re eligible for a reimbursement at any of the following stores -
- Banana Republic
- Gymboree (within 7 days)
- Hollister
- J Crew (within 7 days)
- Kohls
- Old Navy
- Target (within 7 days)
2. Look for coupons, discounts or deals. The most sure-fire method to get a bargain is to frequently pursue it. One simple way to find a deal on almost any item is to Google it. Chances are you’ll track down deals on almost everything you’re looking to buy.
3. Wait for price cuts. Unless your desired item is price-fixed, chances are strong that it will go on sale at some occasion in the next couple weeks or months. Enjoy further discounts if you can double up discounts on the sale price.
4. Purchase a knockoff. I hate to say it, but having a name-brand doesn’t mean much these days. Getting a pricy designer or branded item will lead to overspending, when you can get an awesome look and superb quality with a good knockoff. The best part about purchasing a knockoff is that you can afford to replace it when the trends oscillate. The same things hold true for electronics, by the way — you may not want to buy the cheapest MP3 player, but there are an assortment of picks that can supply years of consistent service, even if they don’t have a little apple on the back.
5. Cut down on membership costs. Do you have a gold membership to the gym or a gold credit card that is running you money each month? Why not stop overextending by giving up costs that aren’t really critical. If you’re not taking advantage of that extra spa time or aren’t hitting your credit limit, you don’t really need these pricey upgrades, and moving to typical memberships can prevent you from overspending on a consistent basis.
Crystal’s Questions: How do you prevent overspending? Any tips you’d like to add?
I make a B-line to the clearance rack whenever I need to shop for anything at a department store – a frugal habit that has probably cut clothing expenses in half!
I shop out of season all the time. I love Eddie Bauer at the end of summer and winter. Since I haven’t gotten taller in about 23 years, it is no problem to buy something really cheap now to wear 6 months later. I never pay full price on anything.
I do most of my shopping online @ BlueFly and SmartBargains. Tons of deals there.
@Tim, I love the clearance rack at Kohl’s. Some of my favorite blouses cost $5-$10.
@Everyday Tips, I haven’t taken advantage of season sales simply since I can wear the same clothes year round here in Houston. The difference between January and July is a leather jacket…
@Henway, thanks for the suggestions! I haven’t heard of either of those sites yet…
Walmart also price matches. I used them this time last year when something was on sale and the other store was priced out of the item. The only catch is that they won’t do it at the register, (at least not in my store). I had to go to the service desk.
Pay cash and tell yourself not to impulse shop.
It’s really difficult to NOT impulse shop, we try to minimize our time in the store and get in and out quick. It’s a good thing my shopping stamina is only about 15 minutes and then I whine and we leave.
My favorite tip to prevent overspending is to buy in bulk. I just recently went on a road trip to NYC. I knew in advance of this trip so I decided that this would be my annual shopping spree for clothing.
I also have to add that I disagree with the knockoff tip. I refuse to wear knock offs. I like my quality clothing. I would rather buy a lesser known brand than to buy a knockoff of a popular brand.
Don’t buy new and only buy what you need.
Although you might pick up something real cheap on a clearance rack, ask yourself what else are you picking up that wasn’t on your list. I use to pick up things on clearance because they were so cheap only to get home and realize I had overlooked the fact that it didn’t fit me all that well or the fabric didn’t feel good.
Creating a clothing swap between friends is also a great alternative to acquiring a new wardrobe.
@First Gen, that is realy good to know to me since I do use Wal-Mart or Amazon for most electronics…
@retireby40, my shopping stamina is about half an hour, so I feel your pain.
@MD, unless Wal-Mart and Kohl’s carry knock-offs, I don’t own any either.
@Molly, I love that clothing swap idea but it doesn’t work for me. That’s the one downside to being 27 and almost all my friends being 40-50…way different body types.
I love ebay and amazon too. I am able to find great deals from time to time through those avenues. I just recently started using craigslist, and there are always great deals at some thrift shops, if you are not above that sort of thing. These are great points to help save some money, it just takes discipline.
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[...] 5 Tips to Prevent Overspending on Budgeting in the Fun Stuff highlights an often overlooked way of saving money – price matching. There’s even a list of stores that will match a price if an item goes on sale within 7-14 days of your purchase. Check out the comments as well. Some other good resources listed there. [...]
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