Personal Finance: Saving Cost & Mitigating Repercussions

One of the things I've come to learn in life is that tailoring one's spending to save futuristic costs, often causes unknown repercussions. The disciplined human mind is tailored to spend less for more unless one gets to a stage in life where they don't care if they spend to achieve value, but spending to quell their satisfaction or desires.

One of the biggest bane when it comes to spending money is not knowing about the future. Because we cannot predict the outcome of the future, we cannot tell if we're spending rightly or spending wrongly.

Although a person who is deciding to spend above their budget for something that wasn't initially their plan would take solace in the fact that they're spending on longevity and quality

Reasons For Spending Less

Now, a person who is spending less for something less quality would take solace in the fact that they're spending less. Now, no one can blame themselves for choosing to buy cheap things. There are reasons why people choose to spend less.

some of the reasons are, not having enough money initially, having more expenditure, and trying to be too frugal. Why these reasons are justified, being "too human" when handling money is one of the reasons why we lose money even when this was the intention in the first place.

Now, what do I mean by being "too human"? Now there are some decisions we make about money that seems logical on the surface.

Spending: Logical & Sentimental Perspective

However in an actual sense, they're not logical, they're only sentimentally logical because human emotions are attached to them. This is why we try to spend right but end up spending amiss. The only way we can know whether we've spent rightly or wrongly is if we attain satisfaction and overall value over time.

However in other to derive satisfaction we often consider the present alone, instead of considering how our present decision might affect the future. However, not having enough money is why we do not consider the satisfaction we might derive in the future from our present expenditure.

Another thing is that we tend to live in the moment as the future isn't guaranteed, nevertheless, when people mostly don't plan for the future, it's out of the fear that they might not even see the future they're preparing for.

Satisfaction: Instant Or Futuristic Gratification?

The focal point of this post is that we can never predict if money is well spent by only attaining instant gratification. Because of scarcity, we cannot afford to spend on things that are ephemeral because our sources of income are limited.

At the end of the day, we make money mistakes because of doubt, uncertainty, and the inability to predict the future correctly. In reality, man can never attain that stage where they'll spend rightly and this is because our understanding differs.

No matter how knowledgeable we are, we'll continue to fail in areas where we have no experience unless we've managed to master it all. Our lives are too short to master every human experience that's out there.

The Learning Curve

This is why we cannot completely be right regarding something as money. However, we can cut ourselves some slack when we fail with decisions regarding money and this is because we can take positive when we see it as a learning curve rather than painful experience.

However, it's not completely possible to see all of our losses as experiences especially when there are financial consequences. That repercussion will linger.

All in all, we can never be too wise with spending money especially when our lack of knowledge makes us blindsided.

Interested in some more of my works?

Keying Into Sophistication & Exposure To Forestall Economic Revolution

Money: The Learning Curve & Translational Process

What Makes A Job Opportunity Lucrative?

Shopping Online & The Illusion Of Buying Cheap Things

The Humanistic Approach Towards Scarcity & Competition

Spending & Accumulating: The Low & High Point Of The Crypto Seasons.