Somewhere you do not spend excessively
Various studies suggest that this problem of overspending can be overcome through practical strategy and emotional understanding. One more thing you should know.
How do you cut your expenses and where do you save money? Today we will tell you where and how you are overspending. We you overspending (overspending) Will explain the full story and psychology of. So if you spend more than you need and often worry about money, go through stress then you are not the only such person in the world. Many people in the world are troubled by this problem of overspending. Various studies suggest that this problem of overspending can be overcome through practical strategy and emotional understanding. One more thing you should know. Overspending does not only mean extravagance, but it also has to do with spending more than the means available to the people.
Indians spend 66% of their money
These expenses are usually incurred by people during an accidental event such as job loss or health emergency. According to a report by Finology, people in India save 34 percent of their earnings, while they spend 66 percent.
About 11 percent of people spend as much as they earn. At the same time, one out of every six people is regularly overspending. According to a study, people’s expenditure does not increase suddenly but it increases gradually and the interesting thing is that often they do not know on which item they are spending more than necessary.
Overspending is fueled by media, advertising and social pressure
For those people who are not able to make a decision while making a purchase, that is, they are unable to decide what they should and should not buy, it becomes difficult for them to control their uncontrollable expenses. We have talked about the problem of overspending, now let us understand the reasons for this overspending.
In addition to overspending, media, advertising and social pressure also lead to overspending. Also, the marketing strategy of companies also makes the consumers feel that things are running out, you will buy them or else they will not be available again. Or they will try to convince you that this is the lowest price of the goods, so if you want to save money then buy them now. Especially in online shopping, you’ll often see the words “almost sold out” or “last few pieces remaining” under the images of the products, meaning this item is about to run out and only the last few pieces are left.
Social media is also the reason for overspending
E-commerce companies also make customers realize that they are saving a lot of money by buying in the sale through email or app notifications. On the other hand, talking about social pressure, there is social pressure on people to go to restaurants, eat, go on vacation with family and friends.
When people see other people hanging out or eating and drinking on social media platforms such as Facebook and Instagram, they are motivated to do so themselves, their family members pressurize it, even if pockets allow it, or Do not give People think that spending money will bring happiness, and if you spend it, a social status will be maintained.
Now if we have told you the problem and its reasons, then we will also tell you its solution. So listen carefully to these words of ours.
1. Pay with cash, when paying with cards, we do not know how much money is being deducted and how much is left in the account. Because of this we spend carelessly.
2. Make a diary of your expenses. With this, you will know how much money is being spent on which item and where it is necessary to spend and where it is not necessary.
3. If you are going out shopping, then make a budget in advance. Meaning, decide how much goods to buy and in any case the limit of expenditure will not be exceeded.
4. Make serving balls. That means how much money to save in a month. For this, as soon as the salary comes, put a part of it in a separate savings account and then spend the rest.