Someone once said, “Whoever said money can’t buy happiness simply didn’t know where to go shopping.” In fact, a “hot deal” can release the same amount of endorphins as sexual arousal in some shoppers. But there IS such a thing as too much shopping. And if you can’t spot the trends, you may end up in deep financial trouble.
Here are the 5 signs that you may be a shopaholic.
You’ve spent more on jewelry than you have on your retirement savings
Sure, gold can make a good investment, but not in the form of jewelry. If your bling is worth more than your retirement saving account, than you have serious problems ahead.
It’s easy to open an IRA with an investment service like Motif Investing. You should put away 10%-15% of your net income towards your retirement savings, but even putting less is better than nothing!
You have any type of credit card debt
The average American household has over $15,000 in credit card debt. Sometimes people face challenges that make debt unavoidable, but taking on credit card debt so you can buy more stuff is just about as bad of an idea as you can have.
If you have any type of credit card debt then using a debt consolidation service like Prosper.com can help get you out of debt and reduce your payment by thousands of dollars. You can always check your rate within minutes to see what your rate will be (checking will not show up on your credit score).
You own more shoes than you do stocks
Buying shoes may be the ultimate vice for some shoppers. And at $50-$250 per pair, a closet full of shoes means a closet full of wasted money. Many people don’t realize that for that same money they could own a portfolio of stocks that will actually build their wealth over time.
A new service called Loyal3.com lets anyone buy stock in one of 300 quality companies for as little as $10 per stock and no trading fees. So for the cost of a pair of shoes, you could actually own a diversified portfolio of stocks.
You care more about Black Friday deals than you do about saving on common household expenses.
Black Friday is like crack to shopping junkies. Consumers spend months scouting their purchases, often waiting in line for hours to save a few hundred bucks on things they don’t need. If people realized they could spend a lot less time and save a lot more money by doing some comparison shopping on common household expenses like car insurance or mortgage payments, they would skip the lines and still save hundreds.
You hide purchases from your spouse
If you have to hide your purchases from a spouse, chances are you have a shopping problem. A good relationship should support the wants and needs of each spouse, but if you are spending money you and your spouse don’t have and then hiding it, it’s time to seek help.
Everyone loves shopping and it can be hard to buy stuff you don’t need. But understanding that the future you would be better off if you invested in yourself instead of things you don’t need could be just what you need to break your shopping habit.