The 30-day rule is a financial strategy to curb impulsive spending on non-essential items. When you feel an urge to buy something, you should write it down and wait for 30 days.
Life is full of unnecessary expenses. Often, after buying something, we realize it was not needed. To reduce such spending, experts have introduced a rule: the 30-day rule.
What is the 30-day rule?
When you feel the urge to buy something non-essential, don't buy it immediately. Instead, write down the item's name, price, and the date you saw it. Then, wait for 30 days. If you still want the item after a month and it fits your budget, go ahead and buy it.
How is this rule effective?
As the gap between the desire to buy and the actual spending increases, the intensity of the urge decreases. During this period, your mind analyzes the emotional decision and helps you see the reality. This plays a significant role in protecting your wallet.
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How to follow the 30-day rule?
You can use this formula when you are about to make an unplanned purchase. This can prevent unnecessary spending. Write down the details of the item you want to buy (name, price, store, or website link). Then, set it aside.
After 30 days, take out that note again. Look at the product and ask yourself these questions:
1. Does this fit my budget?
Don't just look at the product's price; think about how this expense might affect your monthly budget or savings.
2. Can I get the same item for a lower price?
If you feel the purchase is necessary, check if you can buy it for a lower price. You might save some money if the same item is available for less in other stores or on online platforms.
3. Are there any upcoming offers or sales?
You can get good discounts during festivals, weekends, or special sales. Waiting a little longer might save you some money.
4. Is there a cheaper alternative?
Look beyond brand craze and consider other options. Many times, lower-priced items have the same quality as branded ones.
5. How long do I have to work for this item?
If an item costs Rs. 1,500, calculate how many extra hours you would need to work to afford it. Check if the item is worth that much of your effort.
With this calculation, even if you buy it after 30 days, it will be a worthy purchase. Otherwise, you will save money.
