It’s all too easy to fall into the trap of lifestyle inflation these days. With the constant pressure to keep up with trends and portray a certain image on social media, we often find ourselves overspending and living beyond our means- all for things we truly don’t need.
This can lead to being “lifestyle poor,” with a “high” standard of living but little financial stability. It means barely getting by and near financial devastation, yet surrounded by a mountain of expensive “stuff.”
Identifying the purchases that contribute to lifestyle inflation is important to break this cycle and improve our financial well-being. Here are 14 common purchases you should avoid if you want to stop being lifestyle-poor.
1 . High-end designer clothing and accessories
While it may be tempting to splurge on luxury clothing items, the truth is that high-end fashion often comes with a hefty price tag. And for what? Clothing certainly won’t hold its value, and is the purchase worth status? (Hint: Ask your bank account.)
Instead of buying expensive designer labels, consider shopping at thrift stores or online consignment shops for quality pieces at a fraction of the cost.
2. Brand new cars
Buying a brand-new car can be a major drain on your finances. Not only do cars depreciate in value the moment you drive them off the lot, but they also come with additional expenses like insurance, maintenance, and gas. Instead of purchasing a new car, consider buying a used one or exploring other transportation options such as public transit or biking.
Plenty of affordable options won’t drain your bank account and still get you from point A to point B.
3. Expensive gym memberships
While staying physically fit is important, spending hundreds of dollars on a fancy gym membership (or training sessions) is unnecessary for most every month. Instead, look for more affordable fitness options such as home workouts or community fitness classes.
You can also take advantage of free outdoor activities like hiking, running, or cycling to stay active without breaking the bank.
4. High-priced beauty treatments
The beauty industry constantly pushes new products and treatments that promise flawless skin and hair. However, these treatments often have a hefty price tag and can add up quickly.
Instead of splurging on expensive beauty procedures, try home DIY solutions or more affordable products. Your wallet (and your skin) will thank you.
5. Costly vacations
Vacations can be a great way to recharge and explore new places, but they can also wreak havoc on our finances if we’re not careful. Instead of booking extravagant trips, try traveling during off-peak seasons or using points and rewards from credit cards to cover the costs.
You can also opt for more budget-friendly options like road trips or local staycations to save money while still getting a break from your daily routine.
6. Designer coffee
It’s no secret that coffee shops are expensive, especially if you constantly opt for specialty drinks with fancy flavors and toppings. Instead of spending $5 daily on a latte, invest in a coffee maker and make your own at home. This small change can save you hundreds of dollars per year!
7. Designer water
Similarly to designer coffee, purchasing expensive bottled water is not worth the cost when tap water is just as hydrating. Invest in a reusable water bottle and fill it with filtered tap water instead.
You can also save money by purchasing a filter for your tap or investing in a water filter pitcher.
8. Fine dining
While it’s nice to treat yourself to a fancy dinner every now and then, constantly eating out at expensive restaurants can quickly drain your bank account. Consider cooking at home more often and saving restaurant outings for special occasions.
You can also look for deals and discounts at your favorite restaurants to help save money while still enjoying a nice meal out.
9. Subscriptions
Subscription services have become all the rage, with options for everything from music and TV streaming to beauty products and meal kits. While these services may seem convenient, they can add up quickly and go unused if we’re not careful.
Take the time to evaluate your subscriptions. Only keep the ones you use frequently, and cancel any unused subscriptions to save money each month.
10. Expensive hobbies
Hobbies are a great way to relieve stress and have fun, but they can also become expensive if we’re not budget-conscious. Consider exploring more affordable hobby options, such as joining a community group or buying secondhand equipment.
You can also find creative ways to enjoy your hobbies without breaking the bank, such as swapping resources with friends or using free online tutorials.
11. Trendy technology
The latest gadgets and technology may seem appealing, but they often have a hefty price tag. Instead of constantly upgrading to the newest model, stick with what you have until it’s necessary to replace it.
You can also save money by purchasing refurbished or used devices rather than brand-new ones.
12. Luxury home decor
It’s easy to get caught up in the trend of constantly redecorating our homes with high-end furniture and accessories. However, this can quickly lead to overspending and accumulating unnecessary clutter.
Consider buying secondhand furniture or repurposing items you already have to give your home a new look without spending a fortune.
13. Impulse purchases
If we’re not careful, impulse buying can be a major drain on our finances. Before making a purchase, take a step back and evaluate whether it’s something you truly need or a spur-of-the-moment desire.
You can also create a budget and stick to it to help curb impulse purchases. This will save you money and prevent you from accumulating unnecessary items. Additionally, waiting 24 hours before purchasing can help you avoid impulsive buying decisions.
14. Status symbols
Ultimately, many people fall into the trap of trying to keep up with their peers by purchasing expensive status symbols like designer handbags, luxury cars, and flashy jewelry. However, these items often come at a high cost and don’t hold their value in the long run.
Instead of chasing after status symbols, focus on your own financial goals and priorities. This will save you money and keep you from getting caught up in the cycle of constantly needing to upgrade to the latest trends.
15 Primary Differences Between Being Wealthy and Rich (According to Dave Ramsey)
We’ve all daydreamed about hitting the jackpot and living like the 1%. But here’s the thing: True wealth is about a lot more than fancy cars and designer labels. It’s about rock-solid security and the freedom to call the shots in your life – something no lottery ticket can guarantee.
15 Primary Differences Between Being Wealthy and Rich (According to Dave Ramsey)
12 Culturally Acceptable Habits That Leave Americans Drowning in Debt
The average American household carries over $103,000 in debt, including mortgages, credit cards, and car loans. While there are various factors that contribute to this staggering number, there are also certain culturally acceptable habits that have played a major role in leaving America drowning in debt.
12 Culturally Acceptable Habits That Leave Americans Drowning in Debt
12 Traits of Unsuccessful People Who Never Do Anything with Their Lives
Scared of lagging behind or staying in the same position? Well, let’s talk about it! In this article, we’ll find 12 common traits of unsuccessful people who never do anything with their lives so that you won’t be one of them.
12 Traits of Unsuccessful People Who Never Do Anything with Their Lives
19 Common Money Rules That Are Ruining Your Financial Stability
Money rules guide how to earn, save, and spend, but some old ones have been passed down to us from generations that don’t work for us anymore. Since we are setting an example for the next generations, we must reevaluate these outdated money rules that should not be passed down to our children and replace them with new ones that align with modern financial realities.
19 Common Money Rules That Are Ruining Your Financial Stability
JayDee Vykoukal is a writer, author, mom, and Doctor of Physical Therapy. She has been writing about everything motherhood and health-related since 2018 when her first daughter was born, and she wanted to stay home. She loves to research new topics and fun facts with her kids to teach them about the world.
