30-Day Rule
30 Day Rule
The 30-day rule is a simple strategy that has the power to help you control your spending and make solid financial choices. Here’s how it works:
• If you feel the urge to make a significant purchase of something that’s non-essential, whether it’s in a store or online, the rule says: Stop. Leave the store, or click away from the site.
• Write down what you wanted to buy, along with where it can be found, and its price. Date the document and then mark on your calendar when 30 days will have passed.
• Some people find this additional step helpful: Rather than just write down the amount of the discretionary purchase, you could put that amount of money into your savings account. Seeing your pumped-up savings account balance can potentially help you decide not to purchase something that’s an impulse buy.
• During the 30 days, you can think about whether you really need the item or, if it’s a “want” rather than a “need,” whether you want to spend discretionary funds from your bank account on it.
• After 30 days have passed, if you still wish to purchase the item, then you can potentially do so, knowing that it’s no longer an impulse buy. Rather, it’s likely to be a well thought-out and planned financial choice. It can also help your budget to compare prices with different vendors after you’ve made your decision to buy.