The Splurge vs Save List
Frugal Chic® 68: A simple exercise to stop swinging between overspending and deprivation.
A lot of people treat saving money like a fad diet.
They oscillate between two extremes. Buying everything in sight, then the guilt kicks in or they genuinely run out of money, so they enter a period of extreme restriction.
£0 spend, saying no to all plans, feeling miserable until payday comes.
The cycle begins again and they return to their old habits.
This happens because we often equate saving money with not buying anything. We convince ourselves that being “good with money” means depriving ourselves of everything we enjoy.
The savvier approach is to become Frugal Chic®.
You know exactly what you are willing to splurge on, what you are happy to save on and, most importantly, why.
In this issue:
Why extreme saving rarely creates lasting habits
The difference between being frugal and feeling deprived
How to create your own Splurge vs Save list
What your bank statement reveals about your real priorities
How to make your spending better reflect your values
Create your Splurge vs Save list
Open the Notes app on your phone and create two headings:
Underneath each heading, write ten things.
Your splurges should be the things that light you up. They add value to your life, making it easier and more enjoyable.
It could be:
Consistent Pilates classes
Going to the pub with your friends on a Friday
Travelling
High-quality shoes
An arguably unhealthy addiction to M&S cookies
I do not care what it is. There is no one-size-fits all. Yes, there’s obviously things that are negative to your health or probably a bad idea to consistently splurge on, but apart from that, think about what you consistently put your card down for without thought.
Your saves, on the other hand, are the things you either do not care about or actively resent spending money on.
It could be:
Taxis when public transport would have been fine
Trend-led clothes you only wear once
Food delivery because you forgot to plan dinner
Beauty treatments you no longer enjoy
Subscriptions you barely use
Maybe you kept getting lash extensions even though they irritated your eyes. Maybe you got a few takeaways that made you feel sluggish afterwards.
Your save list is not about cutting everything. It is about identifying the spending that gives you very little in return.
Once you have written your list, pin the note to the top of your phone.
Then we’ll look at how to actually measure value when making purchases.
