Do you ever ask yourself, am I spending too much money? Read on to know the 4 clear signs of spending too much money and what you can do to curb your spending.
4 Clear Signs You’re Spending Too Much Money
1. You often dip into your savings
Actually, withdrawing some money from your savings is not a problem. But, we have to look at the cases one by one, Jagoans. For example, you are dealing with an emergency. You have an emergency fund but it's not enough to cover the emergency. So, you are forced to dip into your savings. This is okay.
However, if you often withdraw money from your savings to buy groceries, this is a sign that you may be spending more than you should. In fact, you already have a budget for your groceries, but it's still not enough.
2. You're not saving like you used to
Saving is a good habit that needs to be cultivated. If you haven't been saving like you used to, then this could also be a sign that you're spending too much money. You are spending so much that you don’t have enough left to be saved.
3. You often buy the same thing
Jagoans, you can take a look at the things you have. Are there certain things that are in excess? For example, you have t-shirt A and after looking in the closet, you have it in 3 different colors. If so, you are actually spending money on unnecessary purchases. Do you really need the same t-shirt in 3 different colors?
4. You use a credit card more than a debit card
Transactions using a credit card can break the bank if not controlled properly. This is because credit card payments are made after you make purchases. So, even though you only have little money left in your account, the credit card doesn't tell you to stop making purchases.
It is a clear sign that you are spending too much money. Especially if you use a credit card to buy something that can actually be paid for with a debit card, such as lunch and groceries.
It’s Time to Curb Your Spending
The first key to curb your spending lies in discipline. Even though you are consistent in making a budget, if you are not disciplined, you can be tempted to make unnecessary purchases and withdraw money from savings, for example.
Next, you can start saving automatically. This way, the money will go into savings before being used for other purposes. But, back to the first key, you must maintain discipline to avoid draining your savings. You can use the Autosave feature for every Saving Pocket that you have created in the Jago application.
Another way, you can lock your money in a secure place. By locking money for a certain period, you can more easily resist the temptations that come your way. For this, you can use Jago’s Locked Pocket. Besides being effective in curbing spending, the Locked Pocket also offers interest up to 4% p.a.* as a reward for locking your money.
Finally, let's always choose to complete a transaction with a debit card. To transact comfortably and within reasonable limits, you can use the Jago Visa Debit Card. You can connect your Jago Visa Debit Card to a Spending Pocket. You can also set a limit on your debit card to ensure controlled spending.
With Jago, you can manage finances and expenses more easily, practically and of course jago. You can download the Jago application here if you don't have it yet.
*Interest rate can change at any time in accordance with BI interest rates & LPS policy