We’re all likely guilty of making a Starbucks or Dunkin’ run when we didn’t intend to and adding a bag of sweets or pint of ice cream that we didn’t need during our routine grocery shopping. Later we find ourselves wondering why we made that choice. Why did we justify that $7 coffee right after complaining about the $3 gallon of gas?
Understanding why we make these decisions can help us better check in with ourselves and take charge of our finances and indulgences rather than letting them take charge over us.
Why Do We Justify the $7 Coffee?
Seven dollars may not seem like a lot of money. Compared to mortgages, vehicle repairs and the monthly grocery bill, it might seem like a trivial amount. But constant indulgence can (and will) add up. Say your favorite drink was only $5. If you were to purchase the drink every day, it would cost over $1,800 in one year. Only twice a week and you’d still be out $520.
So why do we justify it? In an interview with NPR, Deloitte researcher Lupine Skelly said, “we thought originally that this was about escaping reality, but what we found is that it’s really about people seeking out a purchase that brings them comfort.”
When people feel that they have done something or are planning to do something difficult, such as completing a large project at home or work, indulging in a treat feels like a deserved reward. In the same interview, Geoff Tomaino, assistant professor of marketing at the University of Florida, said that people feel that “it’s OK to still spend money on [indulgences] because your mental health and your feeling of just doing well can take priority over your bank account.”
However, this type of mindset may cause trouble — and fast. When we allow ourselves to indulge too often, based on the idea that we deserve it, it may take away from our senses of financial freedom and security. Spending money on treats can take away from working toward financial goals such as home or car purchases, or even fulfilling experiences such as vacations and trips to see family.
Indulgences Aren’t Always Bad
Though we have discussed why we choose to indulge and how that behavior can be detrimental, it’s important to remember that indulgences can be okay in moderation. The occasional treat can be good and help us to celebrate life.
Whether it’s getting a big promotion at work, meeting up with a friend you haven’t seen in a while or running a half marathon for the first time, treating ourselves has a place and time. The goal isn’t to never grab a specialty coffee or an extra dessert — it’s to create a mindful way of living that eliminates the guilt around your choices when you do choose to indulge.
Shifting Your Mindset Toward Financial Freedom
While treating yourself might not always be a negative financial decision, it’s important to identify goals and evaluate your decisions based on more than just emotional factors. It can also be helpful to replace the treat that will end up costing more than you’d like with something less expensive.
Searching for your favorite Starbucks drink recipe and making it at home before you start the day can help you satisfy a craving without the price tag. Keeping healthy snacks that you truly enjoy such as fruit or cheese and crackers at work can help you make better decisions rather than grabbing a sweet treat during your lunch break.
Becoming more mindful may not always be the easiest or most fun task, but it can help you to become a more satisfied, financially free individual — one step at a time.
