#78 - Are Impulse Purchases Wrecking Your Finances? A YNAB Study Finds Out

Everyone spends on impulse from time to time, even the most staunch adherents to frugality. According to a new study funded by YNAB, 94% of Americans admit to impulse spending. It's common nowadays to "treat yo'self" after a hard day, for instance. But is impulse spending a bad thing? Not necessarily! If your spending is aligned with your values and priorities, then spending should be fun. It should bring you joy. And with a good spending plan, it doesn't have to wreck your finances either!   Ben and Ernie explore the YNAB study that asked various questions about impulse purchases, including the various reasons it happens: emotional support, fear of missing out (FOMO), dining out, and seasonal influences (like Christmas). By understanding the nature of impulse spending, you can plan for it and set aside some money for indulgances, so you don't miss the money when other bills come due. Ben and Ernie also offer some tips for experienced YNAB'ers struggling with overspending in their categories due to impulse spending.   The YNAB Study: https://www.ynab.com/blog/impulsebuying   How to Make Your Budget More Fun by Ben Barlowe: https://www.ynab.com/blog/spontaneity-plan-yours-today     Share your YNAB wins with Ben and Ernie! [email protected]   Follow Budget Nerds on YouTube: https://www.youtube.com/channel/UCuIUGmbCDklkDCDm-cQqv2g