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    How To Spend Money Wisely Skilled Finances

    How to Spend Money Wisely – 5 Tips To Spending Money

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    It’s easy to overspend without some thinking on how you should be spending money.

    Here are 5 tips on how to spend money wisely in a meaningful way.

    There’s so much talk on saving, investing, paying off debts but there is also the part where you buy stuff.

    But spending money still has a part in our money journey.

    Here are some tips on how you can spend money wisely.

    How To Spend Money Wisely Skilled Finances

    5 Tips to Spending Money Wisely

    Firstly, I want to give you permission to spend money.

    I know as money experts we always talk about saving money or cutting living expenses, but spending money still plays a part.

    We don’t push the narrative of depravity or extreme frugality of denying yourself of enjoyment and luxuries.

    These five tips to spending money wisely are largely giving you ideas on how to spend in a meaningful way.

    1. Spend Money On Valuable Experiences

    Life is meant to be lived.

    You can start putting your money towards new ventures and unlived experiences.

    An experience can be a nice staycation with your partner at a cabin that you hire for the weekend.

    You can go for wine tasting, dinner at a high end restaurant, or day at the spa.

    You may also look for outdoors events such as canoeing, quad biking, or mini golf.

    Or indoor events such as a concert, movie, or even a decent night out.

    The aim is to spend your money on experiences where you’ll build memories with those around you.

    One thing I’d advocate for is to keep a journal. This way you can keep a record of these experiences and what they mean to you.

    2. Spend Money On Valuable Items

    We all want things, and desire new items.

    In this instance I’m talking about things that bring you value, not necessarily that the item has high monetary value.

    You spend almost a third of your life sleeping, do you have a comfortable mattress or good quality sheets? 

    If you walk quite a bit for some fresh air or when doing a school run then a comfortable pair of trainers would be a good use of your spending money. 

    If you cook you could get a smart home device (like the Amazon Echo) where you can watch recipe videos or listen to music as you cook.

    What areas in your life could you start to upgrade or improve that will bring you and your family more value?

    3. Spend Money On Knowledge

    The beautiful thing about knowledge is that no one can take it away from you.

    Also, the benefits of knowledge often outweigh the cost of it.

    Imagine how much you can learn from a book that costs you £10 that will teach you about setting your financial future.

    Knowledge is such a key asset in life that can be used for your benefit and enrich your life that doesn’t always break the bank, and could even be leveraged to start making you extra money. 

    You can also pay to do a professional qualification that will enhance your expertise in your career, enabling you to demand a higher salary.

    Or you may do a course on a specific area which equips you to take massive action in your life.

    I believe knowledge is never a waste of money, only if you choose to do nothing with it.

    4. Spend Money On Others

    We often hear how good it is to spend time with our loved ones, or to put it in effort into relationships and friendships.

    Whilst that is so true, I’d like to add on that spending money on them is also rewarding, and this is much more appreciated when it is unexpected.

    This can be both materialistic gifts or experiences.

    You could pay for your child and their friends to go to the cinema or buy a friend a bag that you know they’ll love.

    Another option is to give money away to a charity of your choice or send some money to someone who you know is going through financial difficulties

    Giving may seem strange and out of context in the area of spending, but I’ve always found there’s more joy and fulfilment in giving than receiving.

    5. Spend Money On You

    What I’m referring to here is spending money on you, specifically your personal growth and development.

    This does include buying items or paying for experiences, but this is with the perspective of personal growth and development.

    You may buy yourself a journal so you can spend some time jotting down your thoughts on paper.

    You could also sign up to services like Audible that you can use towards the development and growth of you.

    This is a conscious effort to find items, experiences, or things that will go towards your personal development.

    There are so many benefits that you will get in your life, career and relationships as a result of your personal growth.

    6. Bonus Tip – Have A Budget

    This is probably the most important one of all. 

    Have a budget!

    Without a budget, you’re most likely spending more than you can afford to, and that is not the essence of these tips.

    Guilt-free spending is one of the many benefits to budgeting that you will reap in your life.

    Before you go off and spend a penny, ensure you have allocated your money in the right way to enable you to spend money wisely.

    Take Action

    These are the tips that have influenced my spending habits and now I am more fulfilled with how I spend my allocated guilt-free money.

    Share the tips that you like and are going to try to spend your money wisely from today.

    Check out our Ultimate Money Plan budgeting spreadsheet to get in control of your money and smash your financial goals

    Let us know how you’re getting along by getting in touch with us, we’d love to hear from you

    Knowledge is powerless without action

    Take action and take care

    Thando