Speaker 1: She's on the Money. She's on the Money.
Speaker 2: Hello, and welcome to She's on the Money, the podcast
Speaker 2: for millennials who want financial freedom. Impulse spending that sneaky
Speaker 2: little habit that's crept into your routine and even though
Speaker 2: you know it's sabotaging your larger financial goals, you still
Speaker 2: can't quite seem to quit it. Well, stress no more, friends,
Speaker 2: because today we're going to talk through our five foolproof
Speaker 2: ways to help you stop impulse spending once and for all.
Speaker 2: My name is Georgia King, and joining me as always
Speaker 2: is Victoria Devine v.
Speaker 3: Georgia King.
Speaker 2: Hello, my girl. Hello, this chat has come at a
Speaker 2: very interesting time time. Indeed, two things to point out.
Speaker 2: Retail is back open for our Melbourne and Sydney listeners.
Speaker 3: Money win or not money win, that's just a life win.
Speaker 3: I'm just really excited about it being yet a little
Speaker 3: bit more normal.
Speaker 2: One hundred. It feels normal already, don't you think?
Speaker 3: Have you been shopping yet?
Speaker 2: No, neither of you.
Speaker 3: Just the idea that I can is exall enough for
Speaker 3: me exactly.
Speaker 2: The other point, though, V, that I wanted to touch
Speaker 2: on was after pay announcing that they will be infiltrating
Speaker 2: the hospitality sector.
Speaker 3: They will be, and I've been rather what would you say,
Speaker 3: Georgia so opinionated both of those things on the internet
Speaker 3: this week about that, and I feel like it's for
Speaker 3: good reason. I feel like I've obviously been quite skeptical
Speaker 3: of buy now, pay later for a long time, and
Speaker 3: I guess, to preface this part of the chat, I
Speaker 3: don't think by now, pay later is terrible. I think
Speaker 3: it's actually very cool tool. Like when you write down
Speaker 3: exactly what it is, it's essentially a reverse layby, and
Speaker 3: if you go, oh, v, I really wanted to pay
Speaker 3: for a holiday, or I really wanted to pay for
Speaker 3: this thing I really wanted, it kind of makes a
Speaker 3: lot of sense. And I guess that's the draw card
Speaker 3: to so many people, because you know, you don't have
Speaker 3: to pay interest. You can pay it off in installments,
Speaker 3: so you don't get it up front. And I'm sure,
Speaker 3: actually not even I'm sure, George, I know for certain
Speaker 3: there are a lot of people in our community that
Speaker 3: use it as a really solid cash flow tool that
Speaker 3: is really productive for their financial situations. And this week
Speaker 3: that has been brought up a number of times because
Speaker 3: of how vocal. I've been on it, but I just
Speaker 3: feel like hospitality is one step too far, Like it
Speaker 3: is just look, it is just a bit too much
Speaker 3: and a little bit predatory from me.
Speaker 2: So they're basically saying, v that you can now like
Speaker 2: order your palma and pot and then pay later. That's
Speaker 2: that's the gist. Yet it's like restaurants and bars and
Speaker 2: I don't know the clubs. I'm not sure.
Speaker 3: Yeah, And I know that this is a bit topical
Speaker 3: because obviously this is a luxury and if it's in
Speaker 3: line with your values and all of that other stuff.
Speaker 3: And you know, Dave Ramsey, who's a very big financial
Speaker 3: guru in the US, I guess, has been crucified historically
Speaker 3: for saying things like, if you're in debt, you shouldn't
Speaker 3: be going out to eat at restaurants. And I don't
Speaker 3: believe in that. I don't subscribe to that at all.
Speaker 3: I think it's about, you know, actually paying off your
Speaker 3: debt but living at the same time and having good
Speaker 3: balance in your life. But the idea that when you're
Speaker 3: in a compromised position, you've had a few too many
Speaker 3: bevraginos George, and you're wanting to shout the girls a
Speaker 3: few espresso martinis like that adds up. And I did
Speaker 3: the maths on my Instagram stories over the weekend, and
Speaker 3: it's just it's honestly terrifying. And at the end of
Speaker 3: the day, what's an average espressi in the city, George,
Speaker 3: Like twenty bucks?
Speaker 2: Oh girl, at least twenty at least.
Speaker 3: So if we did that and you've got four friends,
Speaker 3: which is four more than I have, that's eighty bucks
Speaker 3: for a round of espresso martinis. And if you're in
Speaker 3: your early twenties, it wouldn't be you know, a miss
Speaker 3: to say that you've done that four times in a month,
Speaker 3: times that by every week of the year. That's an
Speaker 3: additional four one hundred and sixty dollars that you're, you know,
Speaker 3: tapping in a way that maybe you wouldn't have if
Speaker 3: you'd just taken out your debit card, because in the
Speaker 3: back of your mind you knew maybe there's only fifty
Speaker 3: bucks on there and you're not going to do the
Speaker 3: round of espresso martini. So I'm not saying that that's
Speaker 3: what it is. I just feel like this is a
Speaker 3: step too far, and it's just it's a lot, George.
Speaker 2: I feel like you're being quite generous to the buy now,
Speaker 2: pay later providers, because remember before we jumped on the mics,
Speaker 2: you were telling me about.
Speaker 3: Oh, how much debt there was?
Speaker 2: Yeah, yeah, yeah, And that's.
Speaker 3: Look it is. I think I'm being a little bit
Speaker 3: more reserved on this because I just don't want people
Speaker 3: to think that I think that they're awful and I do,
Speaker 3: you know what summary I do, But I don't want
Speaker 3: you guys to think that I just don't have this
Speaker 3: ability to see the flip side of the argument, whereas
Speaker 3: I genuinely believe I can sit on both sides of
Speaker 3: that and go, no, I can see it's really really good,
Speaker 3: but on the flip side, I can see how predatory
Speaker 3: it is and how bad it is. And any business
Speaker 3: that markets to you Georgia and says oh, don't stress
Speaker 3: now is taking advantage of future you exactly, like they
Speaker 3: are absolutely taking advantage of future you. And to say
Speaker 3: don't worry about it or don't worry about drinks, like
Speaker 3: that's that's crazy talk. Like to me, it just seems
Speaker 3: like they're making it sound like, oh, no, you deserve it,
Speaker 3: and I get it, you do, Like it's not about that.
Speaker 3: It's more about Yeah, there's another one that's come out
Speaker 3: as well, George. It's called payoh, And I probably shouldn't
Speaker 3: be naming names, but I feel like it's just one
Speaker 3: of those things that, you know, we should be talking
Speaker 3: about this, and if they're putting themselves out there and
Speaker 3: exactly the same way we do, you know, people should
Speaker 3: be able to talk about this openly and honestly. But
Speaker 3: someone commented on one of their posts and said, why
Speaker 3: do we need to pay for food later as well now,
Speaker 3: like kind of laughing as a joke, and this company replied, Hi,
Speaker 3: they're payos for those days where you feel like going
Speaker 3: for another cocktail but not having to worry about the bill,
Speaker 3: Like should we seem not to be worried aboutout the
Speaker 3: bill like we are. It just feels like that's misleading,
Speaker 3: and we've seen it with after pay before. It was
Speaker 3: like that advertising Georgia they came out with a while
Speaker 3: ago that you I think you pointed it out or
Speaker 3: someone in the Facebook group posted it and it said
Speaker 3: brokef but strongly support treating yourself and I was like,
Speaker 3: that is not good. But I feel like that wasn't
Speaker 3: the one that you posted in our group chat was it.
Speaker 2: No, it wasn't. Firstly, I hate them using the young
Speaker 2: people's language. Brokf don't touch it. That's that's rude.
Speaker 3: Georgia says, it's rude, so you should stop.
Speaker 2: It's just I'm not enough to pay fan as you
Speaker 2: might be able to tell. But the billboard I saw
Speaker 2: a v said stop paying money to use money.
Speaker 3: What No, you're using your own money and it's a
Speaker 3: slippery slope that you could easily trip down and find
Speaker 3: yourself owing more money. And an interesting statistic Georgia that
Speaker 3: I looked up because I was like, no, I'm going
Speaker 3: to look into this and actually read their annual report
Speaker 3: last year they made sixty eight point eight million dollars
Speaker 3: Georgia on late fees alone. Like that wasn't their profit.
Speaker 3: That was just on late fees. So if people are like,
Speaker 3: oh my gosh, I'm so good at it, congratulations, genuinely,
Speaker 3: I'm so proud of you. And as I've said before,
Speaker 3: it is a great tool in theory, and it is
Speaker 3: a great tool for people who are able to control
Speaker 3: themselves and have really good self discipline. But that's not
Speaker 3: actually the majority, and a lot of people who have
Speaker 3: problems with impulsiveness or you know, we had that whole
Speaker 3: episode Georgia on neurodivergence and how that can impact your
Speaker 3: spending and how you know, even being on there autism
Speaker 3: spectrum can do it. Like these people are at more
Speaker 3: risk because of tools like this and for it to
Speaker 3: be even more accessible. It just it sits really incorrectly
Speaker 3: with me.
Speaker 2: I suppose Well, they're also just praying on the like
Speaker 2: instant gratification culture that we've created, right like this just
Speaker 2: can you imagine our parents getting involved with this. They'd
Speaker 2: be like, no, say first and then go out for
Speaker 2: the fancy chicken parmesana, you know what I mean, Like, yeah, yes,
Speaker 2: it's very much looking at our generation and targeting our generation,
Speaker 2: which is not cool.
Speaker 3: Yeah, And I just feel like it's one of those
Speaker 3: things where you know, you and I talk about it
Speaker 3: and I would really like to acknowledge our privilege here
Speaker 3: because you know, we're using examples like a palma like
Speaker 3: that to me is a luxury, Like I don't really
Speaker 3: eat palmas, but it's an absolute luxury at the end
Speaker 3: of the day. Like you and I are looking at
Speaker 3: this and going, Okay, hospitality this means going out for dinner.
Speaker 3: That's a luxury thing, so kind of makes sense. But
Speaker 3: the reality is is there are actually a lot of
Speaker 3: people that aren't able to put food on the table
Speaker 3: at the moment. And I'm not, i guess, criticizing them
Speaker 3: if they go and use this for that reason, but
Speaker 3: I would assume that that type of person or somebody
Speaker 3: who's in the situation where you unfortunately just can't feed
Speaker 3: your family that week. Like I'm not saying I get it,
Speaker 3: because I've never been in that situation. But if you're
Speaker 3: going to put groceries on after pay, because that's how
Speaker 3: you're putting food on the table this week, go do it.
Speaker 3: Please never feel bad about that situation. But that doesn't mean, Okay,
Speaker 3: I can't put food on the table. I'm going to
Speaker 3: go and you know, take my kids out for dinner
Speaker 3: at a five star restaurant and you know, get a
Speaker 3: few cocktails and live my best life because it's future
Speaker 3: me's problem. Like that's what I'm talking about here. I'm
Speaker 3: not talking about people who can't afford food. And there's
Speaker 3: obviously a really big issue surrounding that at the moment.
Speaker 3: And George will probably get into that in another podcast
Speaker 3: in the nearish future, especially with Christmas coming up. But
Speaker 3: I just think that this is such a slippery slope,
Speaker 3: like where does it stop? Like this is just enabling
Speaker 3: people who are into gambling, who are into alcohol to
Speaker 3: make different decisions. And I think it would be a
Speaker 3: miss of me to say, like if I've had a
Speaker 3: few champagnes, like if I was hypothetically, you know, celebrating
Speaker 3: my engagement that maybe or maybe didn't happen recently. No,
Speaker 3: But like I am more likely to make bad financial decisions.
Speaker 3: And that's why I'm such an advocate of a really
Speaker 3: solid budget cash flow plan so that you can't muck
Speaker 3: up and you can't go into a whole heap of
Speaker 3: debt and you don't, you know, dip into your savings
Speaker 3: and then the next day wake up feeling a little
Speaker 3: bit dusty but also a bit upset with yourself because
Speaker 3: you've compromised your future financial goals. Like I am such
Speaker 3: an advocate of really good systems, and somehow if after
Speaker 3: pay or any buy now pay later system works for you, fantastic,
Speaker 3: But that, from my perspective, is absolutely not the majority.
Speaker 3: And as Glenn James would say, if you've budgeted for it,
Speaker 3: Why did you need to enough to pay because you
Speaker 3: already would have had the money in your account, wouldn't.
Speaker 2: You exactly exactly right?
Speaker 3: So ah yeah, it just feels like a really slippery slope.
Speaker 3: And I just don't want people to start normalizing these things.
Speaker 3: And it is becoming so normal right Like after pay
Speaker 3: is everywhere, like it's in our supermarkets, it's literally out
Speaker 3: for dinner, it's following us everywhere Georgia. I know that
Speaker 3: on zip pay you can actually add that to your
Speaker 3: Apple wallet, so you can just tap on zippay and go,
Speaker 3: and it just it feels crazy.
Speaker 2: My only question then, V would be like what about
Speaker 2: when people say yeah, but like people just put their
Speaker 2: food on credit cards anyway, Like what's the difference there?
Speaker 1: Ah?
Speaker 3: Yes, And I touched on this online this week as well,
Speaker 3: and I feel like you're right, you could just put
Speaker 3: it on credit. Do I support you doing that if
Speaker 3: you're already in debt? Absolutely not. I don't think you
Speaker 3: should be putting cocktails on credit at all for any reason.
Speaker 3: But I think the important thing to really understand here
Speaker 3: is that credit cards enough to pay are really different.
Speaker 3: The accessibility of these two things are very different. A
Speaker 3: credit card is regulated here in Australia. If Georgia you
Speaker 3: woke up tomorrow morning you said, you know what, I
Speaker 3: want a credit card. You have to go apply for that.
Speaker 3: You have to go and submit an application, and they'll say, gee,
Speaker 3: so nice. How long have you worked for shees on
Speaker 3: the money? How much money do you earn? What do
Speaker 3: you do you know, what does your cash flow look like?
Speaker 3: And then they might go all right, Ge, we reckon,
Speaker 3: We'll give you a thousand dollar credit card, or hey, Ge,
Speaker 3: you know it might be a bougie credit card. We
Speaker 3: can offer you a fifteen thousand dollar maximum. And that
Speaker 3: decision has been made based on your credit score and
Speaker 3: based on whether you have existing debt. And I can
Speaker 3: bet my bottom dollar that if you were up to
Speaker 3: your eyeballs in debt, especially after this Royal Commission, and
Speaker 3: you went for another credit card, they'd be like, oh, Ge,
Speaker 3: no decline. You'd be like, oh that sucks, I can't
Speaker 3: access that. Buy now, pay later doesn't have any of
Speaker 3: that regulation. In fact, here in Australia it is not
Speaker 3: regulated in the same way that a credit card is.
Speaker 3: And that is something that I would love to change.
Speaker 3: I think that you know, as I've said before, I
Speaker 3: believe that by now pay later does work for some people.
Speaker 3: Let's regulate it. Let's make sure that only the right
Speaker 3: people that aren't going to get into significant debt or
Speaker 3: that aren't already in significant debt, can not use that service,
Speaker 3: and that we are actually putting our community in a
Speaker 3: better position, because unfortunately, if we look at the stats,
Speaker 3: and you know, going back to that statistic that I
Speaker 3: gave you before, sixty eight point eight million dollars in
Speaker 3: late fees, Georgia, We've got a lot of educating to
Speaker 3: do to get people to use these products correctly. And
Speaker 3: until then, these companies are going to benefit significantly. And
Speaker 3: how do we know that that person who you know,
Speaker 3: maxed out all four of the credit cards they got
Speaker 3: approved for, found themselves denied for the next credit card
Speaker 3: and turned to after pay and then zip pay and
Speaker 3: then all the other pays because they're not regulated. Like
Speaker 3: it feels gross, Georgia, and it just feels like we
Speaker 3: are not doing the right thing by our community or
Speaker 3: putting them in the best possible position, which you know,
Speaker 3: I've kind of made our mission, George.
Speaker 2: Yeah, for sure. I wonder when they will introduce those regulations.
Speaker 3: I have no idea, and there are a lot of
Speaker 3: people advocating for this, and I would love to get
Speaker 3: behind it, you know, foot and tail and whatever else
Speaker 3: you say, because I just think that it's in the
Speaker 3: best interest of our community to have these things regulated.
Speaker 3: And I'm not saying you know, if you're listening along
Speaker 3: and you're like, do you know what they I'm really responsible. Congrats,
Speaker 3: Like I'm genuinely, really proud, and I hope that you know,
Speaker 3: I hope George and I have been a part of
Speaker 3: that journey to you being really financially stable and making
Speaker 3: good decisions and maybe using enough to pay correctly. But unfortunately,
Speaker 3: it's just not the case for most of our community.
Speaker 3: And you've got to remember, Georgia, most of our community
Speaker 3: are millennials and Gen X and you know, even younger now,
Speaker 3: which is terrifying. But we're in this position where we
Speaker 3: are the younger generation and we're the people that you know,
Speaker 3: are getting crucified for not being able to buy houses
Speaker 3: because we spent all our money on smashed avocado. Where
Speaker 3: that generation that was crucifying us as now created products
Speaker 3: that put us in a situation where we can now
Speaker 3: get in debt for a smashed avocado. Yeah, it just
Speaker 3: doesn't feel right.
Speaker 2: Not not happy about it. I think just save your
Speaker 2: money and then buy the things. You know, that's the
Speaker 2: old fashioned way of doing it.
Speaker 3: Solid advice from you there, George. Just save your money.
Speaker 3: I really like it.
Speaker 2: You know, it's simpler, there's less temptation.
Speaker 3: Look, there is less temptation. But I feel like there
Speaker 3: are probably enough minutes left in this podcast for us
Speaker 3: to actually talk about how we can minimize impulse spending
Speaker 3: and therefore save some money with some actual tips.
Speaker 2: Correct a monto. Yeah, well, okay, so back to impulse spending.
Speaker 3: The topic of today's show, not throwing off to.
Speaker 2: Pay under it.
Speaker 3: Okay, you know we're doing too so love.
Speaker 2: Why do we love impulse spending so much? Oh?
Speaker 3: Dopamine? It gives us the biggest hit of dopamine. It's
Speaker 3: all based on our emotions. It could often have a
Speaker 3: lot to do with our money stories, as we've discussed
Speaker 3: on the podcast before, and the vironment we put ourselves in,
Speaker 3: but also the environment we grew up in, and maybe
Speaker 3: our parents were impulse spenders. I can I don't know.
Speaker 3: I'm probably taking a bit of a stab in the
Speaker 3: dark here, George, your parent's probably really good little savers
Speaker 3: as well, And the apple doesn't ever fall that far
Speaker 3: from the tree more often than not. So if your
Speaker 3: parents were impulse spenders, you're more likely to probably spend
Speaker 3: your money pretty spontaneously. And if they were savers, you're
Speaker 3: very likely to be a pretty good saver. Because we
Speaker 3: were taught that and we became comfortable with that, and
Speaker 3: as a human we just like what's comfortable to us,
Speaker 3: and that's usually what we are most consistent with. So
Speaker 3: another reason why people tend to impulse shop is because
Speaker 3: of their emotional state. And I've been guilty of this
Speaker 3: so many times. If I've had a bit of a week,
Speaker 3: or if I'm not feeling incredible, oh well, don't know
Speaker 3: what I deserve any dress? Or I'm just going to
Speaker 3: go to Chadsden. I'm just going to go have a look.
Speaker 3: I'll just get myself out of the house. And you
Speaker 3: might be seeking distraction or a little bit of joy,
Speaker 3: And as I said, open plays into this, and that's
Speaker 3: you seeking that We've talked on the pod before about,
Speaker 3: you know, things that could replace dopamine. But the most
Speaker 3: important thing about understanding impulsive spending is understanding why you
Speaker 3: personally impulsively spend, because I might do it because I'm
Speaker 3: feeling a bit flat after a really big week of work,
Speaker 3: and Georgia you might do it for a completely different way,
Speaker 3: on a completely different thing that I'd be like, oh,
Speaker 3: I never spend money on that because I'm just not
Speaker 3: as cool as Georgia King like Magnada. Oh no, I'm
Speaker 3: just not cool enough, you know. So I just think
Speaker 3: that it's really important to understand that your story is
Speaker 3: your story alone, not somebody else's. And even though impulse
Speaker 3: spending in your head might sound like bags and shoes
Speaker 3: and you know, going in pulse spending and you know,
Speaker 3: coming home with a million shopping bags, it can also
Speaker 3: be additional spending while you're at the surface station and
Speaker 3: you just feel the need to pick up chocolate bars
Speaker 3: or you feel the need to grab an ice cream
Speaker 3: or some chips because you know, maybe that wasn't something
Speaker 3: you had as kid. Maybe that's you making yourself feel
Speaker 3: good about something. So sit down and go When do
Speaker 3: I feel like I impulsively need to spend money that
Speaker 3: I hadn't intended on spending. So it's not like the
Speaker 3: big shopping spree that you've been saving up for. That's
Speaker 3: not impulsive spending. Impulsive spending is spending that you just
Speaker 3: feel a little bit like you can't control, Like when
Speaker 3: you see Fredo Frogs on sale and you're like, oh,
Speaker 3: get that in my cart, Like why?
Speaker 2: True?
Speaker 3: I mean, Fredo Frogs are a good acquisition, I feel
Speaker 3: through a good bar, although they're not nearly as big
Speaker 3: as they used to be. Like I haven't eaten a
Speaker 3: Fretdo frog in years. But do you remember those Carameli
Speaker 3: Koala get a fundraisers Georgia and they were huge, And
Speaker 3: I remember the kids at school would bring the boxing
Speaker 3: in and they'd be like a dollar per Gigant or
Speaker 3: Carameli Koala. They do not exist anymore.
Speaker 2: It's it's horrible.
Speaker 3: They're tiny. It's horrendous.
Speaker 2: I think we've spoken about that on the pod before, pars.
Speaker 3: Have we Well, it's because we're really heated about this
Speaker 3: and I'm still pressed bring them back.
Speaker 2: I feel like marketing probably plays into why we impulse
Speaker 2: spend as well.
Speaker 3: True es absolutely well, why do people spend so much
Speaker 3: money on marketing if not to get people to spend
Speaker 3: money on their product?
Speaker 2: That's up.
Speaker 3: Yeah, but brands are going to spend money on marketing
Speaker 3: Georgia because they want us to buy their product, so
Speaker 3: they're going to make it as attractive as possible, because otherwise,
Speaker 3: why would you spend any money on marketing at all? Like,
Speaker 3: I mean, there's legitimate roles for people to create these
Speaker 3: marketing campaigns to sell more of X, Y and Z.
Speaker 3: And I was watching a little while ago, because a
Speaker 3: few weeks ago, it was a few weeks probably a
Speaker 3: few months now because they all roll into one. Do
Speaker 3: you remember when Jess recommended mcmillions as a documentary that
Speaker 3: we should all want.
Speaker 2: Yeah, it rings about Yeah.
Speaker 3: So mcmillions is the story of McDonald's but the story
Speaker 3: of the McDonald's monopoly, see how that game existed for
Speaker 3: a really long time and the scam behind that. But
Speaker 3: while I was watching that, I learned a lot about
Speaker 3: why they do that. And it's not just because it's fun.
Speaker 3: It literally more than doubles their sales every single time
Speaker 3: they do monopoly, which is why they continue to do it.
Speaker 3: Because there's sales double. It's flawless for them. So if
Speaker 3: you're like, oh my gosh, like that makes sense, that's marketing.
Speaker 3: That's them getting you to spend more money. And that's
Speaker 3: the aim of business, right. We need to convince people
Speaker 3: to separate from their money. And you know what, marketing
Speaker 3: geniuses are pretty good at that. That's why the call
Speaker 3: marketing genius is precisely.
Speaker 2: I feel like sales as well, are really they suck
Speaker 2: you into an impulse spend.
Speaker 3: They absolutely do. So, you know, I think my favorite
Speaker 3: word of the week, a word of the month is
Speaker 3: slip pretty slope like it definitely is when it comes
Speaker 3: to spending. And that's why we want to create a
Speaker 3: really solid foundation for ourselves so that we understand our budget,
Speaker 3: we understand our cash flow, and create these solid bricks
Speaker 3: so that we don't end up on a slope. We're
Speaker 3: actually standing on solid ground and whenever we're making a decision,
Speaker 3: we go, okay, is this in the budget? Yes? No,
Speaker 3: why am I doing this? I understand it because you've
Speaker 3: got all those foundational skills below you so that you're
Speaker 3: not you know, tipped over when something you know, he
Speaker 3: pops up in his shiny and bright instead you go
Speaker 3: oooh they're sneaky, instead of here take my money.
Speaker 2: Yeah. Interesting. When I was reading for today's episode V,
Speaker 2: I found this thing that kept on coming up, and
Speaker 2: it was that milk is always at the back of
Speaker 2: the supermarket, which I've never thought about. But how many
Speaker 2: of us go to the supermarket purely for milk and bread?
Speaker 2: But we have to go we have to go right
Speaker 2: to the back, so that we're tempted to put all
Speaker 2: the other little bits and pieces in our trolley instead
Speaker 2: of just grabbing the milk and going. Yes, how smart
Speaker 2: is that.
Speaker 3: I hadn't even thought about the milk idea, but I
Speaker 3: did know that's why they put the lollies they check out. Yeah,
Speaker 3: there's always like kitkats or lollies, and they're never the
Speaker 3: ones on sale.
Speaker 2: Oh so true, smart cookies.
Speaker 3: I feel like that's the only place in the supermarket
Speaker 3: that I ever see a kinder surprise.
Speaker 2: I'm convinced speaking brilliant chocolates. Let's move on here. As
Speaker 2: we said before, impulse spending can be really tied to
Speaker 2: our money stories. But is it something that we can
Speaker 2: unlearn or are we stuck being impulse spenders for ever?
Speaker 3: Oh? Absolutely?
Speaker 2: Okay, okay, good.
Speaker 3: No old dogs can learn new tricks. In fact, old
Speaker 3: dogs are arguably always the cutest dogs, so like, there's
Speaker 3: no such thing as too late. And as I said before,
Speaker 3: I wasn't trying to be like, oh my gosh, you'll
Speaker 3: trea you so much like your parents. But the apple
Speaker 3: never falls far from the tree when it comes to
Speaker 3: our base behaviors and impulse, spending is going to come
Speaker 3: into that because it's what makes us feel comfortable, it's
Speaker 3: what makes us feel maybe a little bit more protected.
Speaker 3: It's something that we do for ourselves to boost our
Speaker 3: dopamine levels that makes us feel like we are better
Speaker 3: or that we are, you know, not as worse off
Speaker 3: as we actually are. So if you have a behavior,
Speaker 3: whether it is a spending behavior, or maybe you smoke,
Speaker 3: or maybe you drink too much, or maybe you just
Speaker 3: don't want to bite nails anymore, like any habit can
Speaker 3: be reformed. But the important thing is really identifying what
Speaker 3: that is, really identifying what those trees figs are. So
Speaker 3: if you're biting your nails because you're stressed, work out
Speaker 3: what you're stressed about. And the same goes for spending.
Speaker 3: Just because it involves money doesn't mean it should be
Speaker 3: looked at than any other habit changes and there are
Speaker 3: millions of ways to change habits, like if you google
Speaker 3: habit changing. There will be all these plans to change
Speaker 3: your habit in thirty days or change your habit in
Speaker 3: twenty one days, and you know, oh, six ways to
Speaker 3: stop doing this. But I could sit here and give
Speaker 3: you a million tips and be like, Okay, here's our
Speaker 3: top five tips to save money, or here's our top
Speaker 3: five tips to stop impulse purchasing. But the biggest tip, Georgia,
Speaker 3: would be understanding yourself and your money story and scrolling
Speaker 3: all the way back in your podcast app to our
Speaker 3: very first episode on Money Stories, and I feel like
Speaker 3: we're probably due for an updated Money Stories episode, Georgia.
Speaker 2: It was a couple of years ago, Yeah, it was.
Speaker 3: That's crazy to think. Do you know, if done nearly
Speaker 3: more than two hundred episodes, you is insane. Those numbers
Speaker 3: are crazy. But it's one of those things where if
Speaker 3: you really understand yourself and you understand what triggers you
Speaker 3: and what sets you on fire, like what makes you happy,
Speaker 3: you're going to be able to identify what those things
Speaker 3: are and stop them. And it doesn't mean you can't
Speaker 3: pick up the extra chocolate bar at the servo. That's
Speaker 3: what makes you really excited, and that's your like pick
Speaker 3: me up for the week. That's not what we're talking
Speaker 3: about here. What we're talking about is impulse spending that
Speaker 3: is impacting your savings and you're investing and your future
Speaker 3: goals and you don't actually want to be doing. And
Speaker 3: often there's an external trigger for that. It might be stress,
Speaker 3: it might be feeling lonely, it might be boredom. A
Speaker 3: lot of people are really bored and they jump online.
Speaker 3: How many packages did we all get during COVID?
Speaker 2: Too many?
Speaker 3: Like during lockdown. Every night, I'd sit on the couch
Speaker 3: with my partner. It'd be Friday night, and I'd be
Speaker 3: alot and boos is wild and I'd often be watching
Speaker 3: Netflix and just flicking through the Iconic or flicking through
Speaker 3: the shop pop at. It didn't matter what I was
Speaker 3: up to. It was something to keep my mind entertained.
Speaker 3: And yeah, you can do some pretty good convincing on
Speaker 3: yourself after a glass of wine on the couch on
Speaker 3: a Friday night with it a dress is really cute,
Speaker 3: and then you definitely need it when you go back
Speaker 3: to what Georgia.
Speaker 2: Don't I know it? Don't I know it?
Speaker 3: But it's true? And I think that that's where you
Speaker 3: know we could get caught up in the really fluffy stuff,
Speaker 3: but deeply understanding yourself and how you work and maybe
Speaker 3: the dynamics of your relationships with not only your partner,
Speaker 3: but your friends and your family and even yourself. Like
Speaker 3: where do you impulse spend the most? Like what makes
Speaker 3: you do that? What types of stress is doing that?
Speaker 3: Are you impulse spending because you just had a really
Speaker 3: long week at work and you're like, I'm just going
Speaker 3: to blow all this off by heading to the shops.
Speaker 3: Or are you impulse spending because you're anxious or self
Speaker 3: conscious and you have a baby shower coming up and
Speaker 3: you don't know what to wear, so you go shopping
Speaker 3: and you buy a few different options, and that's what's
Speaker 3: making you feel a little bit more confident. We need
Speaker 3: to decipher exactly what that is, because it's not the
Speaker 3: same thing for everyonele.
Speaker 2: Body, Yeah, for sure. Kind of on the flip side
Speaker 2: of this, fee why why are other people so good
Speaker 2: at resisting an impulse spend? Like why how are some
Speaker 2: people so disciplined?
Speaker 3: Personality types, whether you're intrinsically or extrinsically motivated, whether you're
Speaker 3: super type A, and really like structure, it's completely different.
Speaker 3: As you guys know, I'm a pretty impulsive person myself,
Speaker 3: so I've had to implement this really rigid structure when
Speaker 3: it comes to my budget and cash flow because oh,
Speaker 3: sometimes I just really want something and I'm not this
Speaker 3: perfect financial person that you guys look at and go,
Speaker 3: oh my gosh, I wish I could budget and save
Speaker 3: like her. I've gotten to that point because I've taught
Speaker 3: myself to get to that point. But I got myself
Speaker 3: in some pretty good personal debt and I had a
Speaker 3: credit card for a while, and you know, it wasn't
Speaker 3: positive for me. And that's why if we go back
Speaker 3: to the conversation we had at the top of this podcast,
Speaker 3: Georgia about after pay, I guess it's why I'm so
Speaker 3: passionate about that as well, because I'm I know, if
Speaker 3: you'd said to twenty one year old Victoria, he's after pay,
Speaker 3: I'd be in thousands of dollars worth of debt with
Speaker 3: after pay, Yeah, for sure, guaranteed, Like there wouldn't have
Speaker 3: been any any way that wouldn't have happened. Like I
Speaker 3: was just not that educated when it came to finances.
Speaker 3: I was really impulsive, and you know what I kind
Speaker 3: of wanted to keep up with the Jones as always.
Speaker 2: Yeah, well interestingly V that kind of leads to our
Speaker 2: first tip for today. I feel like we should get
Speaker 2: into them.
Speaker 3: We absolutely should.
Speaker 2: So our first tip to stop impulse spending is of course,
Speaker 2: to limit our time on social media. So a little
Speaker 2: bit of a stat girl for you.
Speaker 3: Oh stack girl's been away.
Speaker 2: For a while, I know so INNG did some research
Speaker 2: in twenty nineteen which found that over a third of
Speaker 2: Aussie social shoppers are more likely to impulse by due
Speaker 2: to social media, and admit that they would spend less
Speaker 2: if they didn't see things they wanted in their feeds.
Speaker 2: So why do the socials play such a big role
Speaker 2: here and how can we like practically limit the impact
Speaker 2: that it has on us because we can't just say quit,
Speaker 2: No one's gonna do that. You do, though, well, I'm
Speaker 2: still I'm still on there.
Speaker 3: I think that you're really good at that because I
Speaker 3: think you've really identified what makes you happy and what
Speaker 3: sparks your joy and what doesn't. And I know ages
Speaker 3: ago you went through and just unfollowed everything that you
Speaker 3: thought was you know, maybe not sparking the joy that
Speaker 3: it should. And I'm really bad at that. I just
Speaker 3: follow a lot of things that maybe I shouldn't and that,
Speaker 3: you know, do make me feel like, oh, I want that.
Speaker 3: And I think that there's a lot of peer pressure
Speaker 3: and societal pressure, and you know what exposure comes into it.
Speaker 3: It's like when you see a really ugly pair of
Speaker 3: shoes Geogia, Like the amount of times I've seen an
Speaker 3: influencer wear what I would describe as a heinous pair
Speaker 3: of shoes, like, oh God, that is that? Ain't it? Whatever?
Speaker 2: That is?
Speaker 3: Ain't it? Then you start to see them everywhere, and
Speaker 3: then you start to know your favorite influence awares and
Speaker 3: then they're not so bad George. Then Tony Vanco comes
Speaker 3: out with a copy of them, and you're like, oh,
Speaker 3: they're more reasonable, they're more affordable. Maybe I do like them.
Speaker 3: And then your friend has them at dinner one night,
Speaker 3: and then they're in your wardrobe because you decided that
Speaker 3: you loved them so much, but you didn't really like
Speaker 3: them when you first saw them. And I feel like
Speaker 3: that's more common than you think it is. It happens
Speaker 3: to me. Not that I'm speaking from experience with that example,
Speaker 3: but it's one of those things where it's all about
Speaker 3: societal pressure and social norms and you know, feeling like
Speaker 3: you do need to keep up with the joneses in
Speaker 3: in a way, we've been exposed to this world online
Speaker 3: where it seems weird to wear the same thing twice.
Speaker 3: Like I've even caught myself in that moment where I'm like, oh,
Speaker 3: I'd love to upload that photo. Oh there's already pictures
Speaker 3: of me in that dress.
Speaker 2: On my fair.
Speaker 3: I hope people don't think it's the same event. I'm like,
Speaker 3: that's so silly. If I feel good in that dress,
Speaker 3: why am I not wearing it a million times? Isn't
Speaker 3: that why I bought the dress? So I think we
Speaker 3: really need to just have a think about why we're
Speaker 3: doing things and what that actually means. Because Instagram isn't reality.
Speaker 3: It's people's highlight reels. And I think that now more
Speaker 3: than ever, especially coming out of COVID, where you know,
Speaker 3: I think it was kind of limited because we didn't
Speaker 3: have the ability to go out and go shopping and
Speaker 3: share a lot of what people were buying or doing.
Speaker 3: Now we're making up for it, We're going to feel
Speaker 3: like we also need to be quote making up for
Speaker 3: a lost time, especially during covid And yeah, I think
Speaker 3: that taking a bit of a break from social media
Speaker 3: is not the worst thing. But I don't think deleting
Speaker 3: it and just going cold turkey is the best thing.
Speaker 3: I think just muting people that you follow, that you
Speaker 3: know every time you see them you want to buy something,
Speaker 3: you don't have to unfollow them. Mute on Instagram is
Speaker 3: a beautiful feature.
Speaker 2: Don't be afraid to mute a friend. I've done it.
Speaker 3: No, is that why you didn't know about my Instagram
Speaker 3: post the other day?
Speaker 2: Okay, Jordan, No, no I truly noticed online?
Speaker 3: Ah is that what you tell me? No?
Speaker 2: But mute thing seriously is very very helpful because then
Speaker 2: you just don't see you don't see all of the junk.
Speaker 2: But then no one it's offended that you don't follow.
Speaker 3: Them exactly, And we all know how it feels to
Speaker 3: find that a friend is unfollowed us like that cuts deep.
Speaker 3: Don't do that unless you actually don't want to be
Speaker 3: their friend anymore.
Speaker 2: Yeah, don't go too savage on it, all right, So
Speaker 2: basically our tip there is just to mute and unfollow.
Speaker 3: Yeah, solid tip. But at the same time, I think
Speaker 3: understand what it is. Yes, restricting time on Instagram is
Speaker 3: a blessing. And did you know on iPhone you can
Speaker 3: do it? So Georgia, look at my screen.
Speaker 2: Yeah, I can see it. Yep. Time What does its
Speaker 2: time limit with a little little sand hourglass.
Speaker 3: Yeah, it says you've reached your time limit on TikTok
Speaker 3: for today, and you can press okay and it exits,
Speaker 3: or you can press ignore and it will offer you
Speaker 3: one more minute or another fifteen minutes. And this has
Speaker 3: been something that has been so good for my mental
Speaker 3: health recently. You can just do it through your settings.
Speaker 3: I think it's through It's not is it exces I
Speaker 3: think it might be accessibility or security or something. We'll
Speaker 3: put directions on the Instagram story today so that you
Speaker 3: guys can do it. But limiting my exposure to social
Speaker 3: media and really being aware of how much time I'm
Speaker 3: spending on it has been really powerful. I didn't realize
Speaker 3: how much time I was spending on it, and I
Speaker 3: then looked at you know how an iPhone gives you
Speaker 3: those triggers and says, oh, you've done this much screen
Speaker 3: time this week, and you're like, oh, I think I'm
Speaker 3: going to be sick. There's no way I spent that long.
Speaker 3: So I limited myself and this still feels like a lot, Georgia,
Speaker 3: But is this bad? I limited myself to one hour
Speaker 3: of Instagram or one hour of TikTok.
Speaker 2: Oh, no, that's good. That's for a day, No.
Speaker 3: But a whole day, like the idea. And obviously my
Speaker 3: screen time was significantly more than that. But the idea
Speaker 3: that I sit every day for one hour on TikTok
Speaker 3: blows my mind.
Speaker 2: I guess, yeah, that is kind of blows my mind.
Speaker 2: But like, you know, you're doing things. You're walking, you're
Speaker 2: on the toot, you're driving, kidding, you're not driving, yeah, but.
Speaker 3: No, but you know, yeah, I'm not driving. Okay, Georgia,
Speaker 3: that is not what we are doing. But it's one
Speaker 3: of those things that you just go. Actually, an hour
Speaker 3: is a really long time. Like I wouldn't go and
Speaker 3: just sit on the couch with absolutely no form of
Speaker 3: stimulation for one hour. I could not do it. It's
Speaker 3: not something I would But that hour would go so
Speaker 3: slow if that's the way I was doing it. But
Speaker 3: in our everyday life, it just flies by and you
Speaker 3: just don't realize it, and then my phone gives me
Speaker 3: a notification it says you've got five minutes of TikTok
Speaker 3: time left for today, and I'm always like, oh, okay,
Speaker 3: I get off then, And you know, it does add up,
Speaker 3: especially over a day, and an hour is a long
Speaker 3: period of time. So I think that even if you're
Speaker 3: not limiting yourself and you're being a little bit cheeky
Speaker 3: like I have been a lot of the time, I
Speaker 3: just hit that extra fifteen minutes, please.
Speaker 2: Extra little sneeze.
Speaker 3: Yes, but it's one of those things where I'm like, gosh,
Speaker 3: I'm doing this a lot. So I do like having
Speaker 3: that reminder, especially on TikTok, to be like, you've been
Speaker 3: doing this for a while, are you sure you're to
Speaker 3: keep doing this? And I can be like, you're right,
Speaker 3: I don't.
Speaker 2: Yeah. Yeah. Our second tip is a she's on the
Speaker 2: money classic, if I do say so myself, and it is,
Speaker 2: of course to put time between ourselves and our purchases.
Speaker 3: Oh yes, put twenty four hours at a minimum between
Speaker 3: you and your spending. And I feel like this is
Speaker 3: a good tip because we're not completely depriving ourselves with
Speaker 3: that purchase. We're just saying, my friend, let's just put
Speaker 3: it down if you want it tomorrow. You can have
Speaker 3: it tomorrow, and more often than not, you're going to
Speaker 3: not pick that back up or forget about it, or
Speaker 3: you'll add it to your cart and be like, oh,
Speaker 3: but I really want it. Okay, all right, Georgia. You
Speaker 3: can I know Nagnata is really expensive, put it in
Speaker 3: your cart, put it online, walk away twenty four hours,
Speaker 3: come back. If you still want to spend that money
Speaker 3: as desperately as you did, go for it. But I
Speaker 3: guarantee most of the time you won't want to do that.
Speaker 3: And if you can put more time in between that
Speaker 3: purchase than a day that's the minimum, then do that.
Speaker 3: Can it wait a week? Can it wait a month?
Speaker 3: If you really want that Nagmata jumper, George, can you
Speaker 3: wait until it goes on sale? Can you to have
Speaker 3: a look? Can you put it on your watch list?
Speaker 3: Is that an option? Do you actually need it? Have
Speaker 3: you gone through your wardrobe to check if it's necessary?
Speaker 3: Is it actually a purchase that you want to make
Speaker 3: or is it a purchase that you're just making because
Speaker 3: it's cute and it would look nice in your wardrobe.
Speaker 3: But maybe you have another financial goal that you want
Speaker 3: to achieve.
Speaker 2: So that kind of gives you more time to actually
Speaker 2: think through it rather than just acting on impulse, being
Speaker 2: like I want it now like it.
Speaker 3: Yeah, And it really takes the emotion out of the spending.
Speaker 3: Good jinks, Georgia. But it does take the emotion out
Speaker 3: of it. And we're not saying that you can't have it,
Speaker 3: you just can't have it yet. Yeah, And I think
Speaker 3: that that will make you feel a little bit more
Speaker 3: comfortable with not doing it. But at the same time,
Speaker 3: make sure that you're really thinking about a decision, because
Speaker 3: they all add up. How many times have you seen
Speaker 3: a forty dollars top and midlight it's only forty bucks?
Speaker 2: Yeah, quite, that's a lot of money.
Speaker 3: Yeah, do that twice a week and you're really close
Speaker 3: to four grand year in spending.
Speaker 2: Same as the espresso Martiniz exactly. Circle V. I think
Speaker 2: that is perfect place to end the first half of
Speaker 2: today's episode. But on the other side, we're going to
Speaker 2: talk through our final strategies to stop impulse spending. So
Speaker 2: please don't go anywhere, guys.
Speaker 3: I won't. I'll be right back after that.
Speaker 2: Yeah, cool, Sam, Straight back into it V with our
Speaker 2: third tip to stop impulse spending. So this one is
Speaker 2: to actually make room in our budget for indulgent spends
Speaker 2: and to give ourselves permission to buy things from time
Speaker 2: to time. I love this rule. How does this help
Speaker 2: us talk me through?
Speaker 3: Yes? Yes, genius right, it's a rule because it stops
Speaker 3: you binge spending. It stops you from restricting yourself time
Speaker 3: and time again and then throwing your budget completely out
Speaker 3: of the window and just going wild. And we all
Speaker 3: know that can happen. But also having guilt about spendings
Speaker 3: are really good thing, like feeling bad about spending because
Speaker 3: you're like, no, Victoria said, I need a budget and
Speaker 3: cash flow plan and I've done this and I need
Speaker 3: to stick to it because they're the rules. Like, yes,
Speaker 3: be in your budget. There should be luxuries. There should
Speaker 3: be things that make you feel alive. There should be
Speaker 3: things that make your heart seeing. There should be things
Speaker 3: that are you know, gifted to other people. There should
Speaker 3: be charities, There should be lots of other things if
Speaker 3: it's you know, within your financial capabilities. Obviously we're not
Speaker 3: saying that everybody has to do everything, but if you
Speaker 3: can find some space in your budget to actually be
Speaker 3: logical and reasonable, you're going to stick to it. If
Speaker 3: I said to you, Georgia, are like, Okay, you're going
Speaker 3: on a really restrictive budget because we're saving for a
Speaker 3: house for you. You're not allowed to spend, you're not allowed
Speaker 3: to go out, you're not allowed to do any of
Speaker 3: the things that you love that would become really bland,
Speaker 3: really dry, really boring really quick, and you're very likely
Speaker 3: to not stick to it.
Speaker 2: Consistent because it's not sustainable.
Speaker 3: Yeah, it's not sustainable. Whereas if we said, Georgia, let's
Speaker 3: just be real about this. Let's look at your budge
Speaker 3: for the last twelve months. What have you spent? How
Speaker 3: often do you go out with your friends? How much
Speaker 3: money do you spend each month on you know, a
Speaker 3: couple of siders to have in the park. Let's be
Speaker 3: honest with our spending. Because a budget should not be restrictive.
Speaker 3: It actually should be reflective. It should be reflective of
Speaker 3: your genuine spending. It shouldn't be a tool that you
Speaker 3: sit down and go, oh my gosh, I did my budget.
Speaker 3: I'm so naughty. I spend X, Y and Z. It
Speaker 3: should be okay, how good is this? I have a
Speaker 3: very clear visual of what my spending looks like. That
Speaker 3: gives me the ability to have a conversation with myself
Speaker 3: about whether that's in line with my goals and values.
Speaker 3: And you might go, yeah, you know what, the last
Speaker 3: month was sick. I did a really good month. I had,
Speaker 3: you know, a nice balance with my friends and my family,
Speaker 3: and I also saved a bit. That's who I want
Speaker 3: to be. Or you might go, oh my gosh, I
Speaker 3: saved literally nothing. I cannot believe it, Like, I don't
Speaker 3: know how I went wrong here. It's not about crucifying yourself.
Speaker 3: It's about creating a plan that works for you. And
Speaker 3: I think that so many I'm a stick out here
Speaker 3: in the sand about budgets because we go yuck. I
Speaker 3: don't want to go on a diet because a budget
Speaker 3: is often seen as the diet of the finance world,
Speaker 3: and that is not it. It is a lifestyle change.
Speaker 3: We are the noom of the budgeting and finswim. I
Speaker 3: don't know it's like this. I don't actually know what
Speaker 3: it does, but I've heard it's the more sustainable dieting option.
Speaker 3: Let's move on from that probably terrible analogy.
Speaker 2: Ah, I thought it was bad things anyway, all right?
Speaker 2: They are fun, okay. Fourth tip HEREV is to implement
Speaker 2: spending strategies like using cash for a month. For example,
Speaker 2: I did do this. Do you remember, oh you did that?
Speaker 3: Yeah yeah, yeah yeah.
Speaker 2: I must have said it on the potty. But it
Speaker 2: was effective. But I don't really trust myself with cash
Speaker 2: because I feel like I would just lose it, because
Speaker 2: you know, I do lose my wallet. It can be silly.
Speaker 2: So what do you what do you think?
Speaker 3: I just feel like I haven't had cash in my
Speaker 3: hands very, very long time. It is not something like
Speaker 3: I just can't think of something that I would need
Speaker 3: cash for nowadays, especially after COVID, Like I just go
Speaker 3: to supermarket, I come home, I go out, I tap
Speaker 3: my card for takeaway, I come home. It's not very exciting.
Speaker 3: But that's a really good method of doing it. Any
Speaker 3: method that helps you put structure in place is a
Speaker 3: good method. I obviously have my Budget and cash Flow Masterclass,
Speaker 3: which I think is a really positive place to be.
Speaker 3: It's a really good structure that makes a lot of sense.
Speaker 3: I know know thousands of people have now done that.
Speaker 3: That's so cooled Georgia. Thousands of people have done our masters.
Speaker 3: But it's one of those things that I know that
Speaker 3: works but it might not work for you. You might
Speaker 3: not want a spreadsheet. You might actually want someone to
Speaker 3: help you get cash out put it in different envelopes,
Speaker 3: and that's what you've got to spend, and that will
Speaker 3: work for you. I've got clients who have gotten out
Speaker 3: of debt that way, really, and that makes sense because
Speaker 3: it works for them. This is not about what works
Speaker 3: for everybody. It's about what works for you. And tracking
Speaker 3: your spending is going to be a really good way
Speaker 3: of learning a lot about yourself. And if you don't
Speaker 3: want to take a hundred bucks out and you know
Speaker 3: have that in cash, maybe you just transfer one hundred
Speaker 3: dollars to your debit card and you don't transfer anymore
Speaker 3: that week, and you just really keep track of what
Speaker 3: you're spending then and there and see how far you
Speaker 3: can stretch that. So I don't think it's necessarily about
Speaker 3: you know, there's a right way and a wrong way,
Speaker 3: because there isn't. It's about finding a way that works
Speaker 3: for you and just giving yourself access to something that
Speaker 3: works and puts you in the best position.
Speaker 2: Yeah, for sure, I guess. Yeah. What I loved about
Speaker 2: the cash thing was just that you only had that
Speaker 2: to spend so you couldn't be tempted to then go
Speaker 2: and use your cards. So yeah, whatever works for you.
Speaker 2: I like that one.
Speaker 3: Yeah, And I've also got a friend actually who does
Speaker 3: a no spend week every single month of the year.
Speaker 3: You spend week, Yeah, a no spend week, not month,
Speaker 3: like it's just one week, and that feels more palatable.
Speaker 3: But Georgia, that adds up to twelve weeks in the
Speaker 3: entire year that she's not spend anything beyond obviously her
Speaker 3: you know, absolutely must have a central spending and that's
Speaker 3: kind of cool. It's very cool, like maintenance for her budget.
Speaker 3: She's always like, oh, I pick a week and then
Speaker 3: that's my week. You know, she's got events that week
Speaker 3: might change. She blocks it out in her calendar just
Speaker 3: as like I'm busy this week kind of thing, not
Speaker 3: so she doesn't do anything during that time, but just
Speaker 3: so she knows it's coming up. And I just think
Speaker 3: that's a really cool way of doing it and maybe
Speaker 3: managing it on a smaller scale. Because earlier this UG,
Speaker 3: a couple of us from the team we did that
Speaker 3: no spend month, and oh my gosh, that was so hard,
Speaker 3: and I think that a week I could do a week,
Speaker 3: I could do a week something that could be a
Speaker 3: really good way of maintaining our budget. Yeah, maybe we
Speaker 3: should get a little crew together for the next twelve
Speaker 3: months and see if we can all commit.
Speaker 2: It like that anyway, because yeah, I'm getting ahead of it.
Speaker 2: And it adds up to three months in total for
Speaker 2: the year that you haven't spent. Like it's that's twelve weeks.
Speaker 2: That's an entire semester of university. Like, that's a lot
Speaker 2: of time. You could learn a lot of stuff or
Speaker 2: say a lot of money, exactly right, love that. Okay,
Speaker 2: let's head into our fifth and final tip for the day,
Speaker 2: which is to think about our purchases in different ways.
Speaker 2: So the first way is to consider cost per wear,
Speaker 2: and the second thing I have, yeah, is thinking about
Speaker 2: how many hours of work it will actually take you
Speaker 2: to pay your desired item off. It's good, isn't it.
Speaker 3: Yeah, that one's a really powerful one. Like calculate what
Speaker 3: your hourly rate is even if you have a full
Speaker 3: time job and you're like, okay, calculated it's like twenty
Speaker 3: five dollars or twenty six dollars an hour. Are you
Speaker 3: willing to part with three hours of work for that
Speaker 3: top Georgia King. Maybe you're not, or maybe like that
Speaker 3: is so worth it, I'll work over time like that
Speaker 3: could be something that's really valuable to you. But really
Speaker 3: contextualizing things proves to be a rather effective method in
Speaker 3: helping you see that money means a lot more than
Speaker 3: just trading it for goods and services.
Speaker 2: And it kind of like, yeah, it brings that mindfulness
Speaker 2: right that stops you in your tracks.
Speaker 3: Yeah, And I think the cost per wear, as you
Speaker 3: bring it up, is really important, like how often am
Speaker 3: I actually going to wear this? Like a cost per
Speaker 3: wear on a dress that you're going to wear to
Speaker 3: a friend's birthday party might be three hundred dollars because
Speaker 3: the dress was three hundred dollars. Yeah, but if you're like, oh,
Speaker 3: actually I could wear this to my friend's birthday, and
Speaker 3: then also I could wear this to work and I
Speaker 3: actually really love this dress and I'm probably going to
Speaker 3: wear it or something that I do and have. I
Speaker 3: think I only really talked about this in the first season,
Speaker 3: but I have recently re implemented this because the plan
Speaker 3: is as of twenty twenty two, I will hopefully be
Speaker 3: back in the office Baby Steps, but I've been really
Speaker 3: thinking about it because I get excited about fashion, but
Speaker 3: it's reformulating my capsule wardrobe. And I will only add
Speaker 3: something to my wardrobe if it goes with a minimum
Speaker 3: of five paces. So if it's the top, it needs
Speaker 3: to go with five pomes. If it's a dress, you know,
Speaker 3: I need to have five different ways that I could
Speaker 3: potentially style it. If it's a bottom, yeah, it needs
Speaker 3: to go with five tops. So for me, that has
Speaker 3: meant that I have a very specific color palette because obviously,
Speaker 3: you know things go together, and I think it's absolutely
Speaker 3: no secret that that's probably white, baby pink, and but
Speaker 3: it's one of those things that's really helped me because
Speaker 3: even if I love it and I'm in the shop
Speaker 3: and I did this recently online and I was on
Speaker 3: Queues website and I was like, Oh, that top is
Speaker 3: so cool, and then I was like, I'm never gonna
Speaker 3: wear it. Yeah, I'm never gonna wear it. I might
Speaker 3: wear it once because I know that it's cute, but
Speaker 3: it would take a lot for me to actually style
Speaker 3: that piece because it was a little bit outside of
Speaker 3: the scope of my usual style. And I'm not saying
Speaker 3: don't change your style, but I would have had to
Speaker 3: significantly change the way I was dressing, and maybe the
Speaker 3: shoes I had weren't perfect for it. So we need
Speaker 3: to just have a good think about whether it's actually
Speaker 3: a good purchase or we just a romanticizing that purchase
Speaker 3: because it just would make us feel.
Speaker 2: Real exactly and like everything looks good on the models,
Speaker 2: you know.
Speaker 3: Oh my gosh, does it ever? And COVID's really really
Speaker 3: highlighted that for me.
Speaker 2: All right, V I think we're done special mentions of course,
Speaker 2: to unsubscribing from marketing emails, writing lists before you.
Speaker 3: Have got the chese on the money right now, that's
Speaker 3: like hardly ever marketing. It's usually George's random ramblings and
Speaker 3: recommendations of Michael Boubla and Froze and prawns.
Speaker 2: They are They're getting weird by the day. But that's so.
Speaker 2: Did we forget anything else budgeting?
Speaker 3: I don't believe.
Speaker 2: So.
Speaker 3: I think impulse spending is something that we've all been
Speaker 3: guilty of at some point, and the best way to
Speaker 3: actually curb impulse spending is really understanding ourselves and what
Speaker 3: triggers that for us and what makes us feel like
Speaker 3: we want to impulse spend. So I know, for me,
Speaker 3: it's feeling really flat, it's having a bad week at work,
Speaker 3: or you know, something not going my way and you know,
Speaker 3: feeling a bit blair about it, and then I'll go
Speaker 3: shopping because that'll make me feel a bit better. And
Speaker 3: I don't do that nearly as much as I used to,
Speaker 3: but I do sometimes say to a couple of girlfriends, like,
Speaker 3: I'd love to go shopping this weekend because I know
Speaker 3: I've had a bit of a look week, you know,
Speaker 3: whereas other people might be doing that to celebrate, like
Speaker 3: you might have had a really great week at work
Speaker 3: and you deserve a new X y Z. So I
Speaker 3: think that we really need do you know what, Georgia.
Speaker 3: We don't just need to. We owe it to ourselves
Speaker 3: to understand ourselves deeply enough to know what our triggers
Speaker 3: are in every point of life.
Speaker 2: I think that's the perfect place to leave it fee
Speaker 2: all right.
Speaker 3: Well as always, just before we head off, we'd like
Speaker 3: to acknowledge and pay respect to Australia's Aboriginal and torrest
Speaker 3: Right islander people's. They're the traditional custodians of the lands,
Speaker 3: the waterways and the sky's all across Australia. We thank
Speaker 3: you for sharing and for caring for the land on
Speaker 3: which we are able to learn. We pay respects to
Speaker 3: elders past and present, and we share our friendship and
Speaker 3: our kindness.
Speaker 2: And remember, guys, that the advice shared on Cheese on
Speaker 2: the money is general in nature and does not consider
Speaker 2: out your individual circumstances. She's on the money exists pulling
Speaker 2: for educational purposes and should not be relied upon to
Speaker 2: make an investment or a financial decision. And we promise
Speaker 2: Victoria Divine is an authorized representative of Australia Pacific Funds
Speaker 2: Management Proprietary Limited ABN three four one three two four
Speaker 2: six three AT two five seven AFSL three three nine
Speaker 2: one five one. We'll see you on Friday next week.
Speaker 2: Bye bye