Save
Ways to save money: What is the 30-day rule?
One of the things that ruin a good saving plan is when a person is faced with an item that they really want to buy even if it isn’t a part of their budget. When this happens, some people with weaker resolve tend to forget their budget and allow themselves to buy on impulse.
Ways to save money: What is the 30-day rule?
One of the things that ruin a good saving plan is when a person is faced with an item that they really want to buy even if it isn’t a part of their budget. When this happens, some people with weaker resolve tend to forget their budget and allow themselves to buy on impulse.
To address this, many recommend implementing the 30-day rule.
What is the 30-day rule?
The 30-day rule is a way to save money by delaying gratification and forcing yourself to stop impulse purchases. It also helps you make smart spending decisions by forcing you to be rational when you feel the urge to spend.
The rule requires you to give yourself 30 days to think about pushing through a purchase you want but may not need – even when you have enough money in your savings account.
For instance, you may consider buying the latest phone model to replace your three-year-old phone after a visit to the shops. However, the specific model that caught your eye is retailing at almost $1,000.
You may be tempted to buy the phone right away, especially if the salesperson tells you that they have limited stocks left, but the 30-day rule demands that you stop and do the following things:
- Leave the store but remember what the item is, how much it costs and, if applicable, the details or specifications. Add the date you found the item and if there were any discounts available from the store.
- Note down all the details you remember about the item on a piece of paper and place this note somewhere you can see when you get home.
- Think about whether you really need the specific item and if it’s worth the price for the next 30 days.
- Search for alternatives to the item and better deals from other stores.
If you still want the item after 30 days, then you can go for it. However, you should only buy it using cash or your debit account.
Don’t use a credit card unless there is a good deal (i.e. zero interest, rebates or mileage points) and you can pay off the amount in full with each billing cycle.
The advantage to following the 30-day rule is that, since searching for alternatives and better deals are a part of the process, you may be able to find a better item at a lower price or the same item with a better deal at another store.
It also allows you to settle your thoughts and, with consistent practice, it can help kill the urge for impulse buying.
Explore Nest Egg for more ideas on how to spend smart.
About the author
About the author
Expenses
Price no longer the prime factor for energy bills
Many Australians are intrigued but unconvinced when it comes to greening their energy bill. ...Read more
Expenses
1 in 2 Aussie pet owners spends on their pets more than themselves
Does owning a pet eat into your monthly budget? You’re not alone. ...Read more
Expenses
The real reason Sydney’s petrol prices are so high
Sydney fuel prices may seem like they’re soaring, but a recent study indicates that they may be cheaper than you think. ...Read more
Expenses
Morrison backs big pharma, turns back to developing countries
Big pharma is currently fighting to maintain intellectual property protections over COVID-19 vaccines, with Australia refusing to act despite having no pharmaceutical companies. ...Read more
Expenses
Half-price flight scheme launches today
Aussies are being offered half-price flights as the government looks to spur domestic travel to regions it has defined as key to economic recovery. ...Read more
Expenses
Insurance prices rise despite payout falls
The COVID-19 pandemic has seen insurer payouts fall by $500 million, but Australian consumers are continuing to pay more, the consumer watchdog has revealed. ...Read more
Expenses
CBA cops civil proceedings for overcharged interest
ASIC has commenced civil penalty proceedings in the Federal Court against the Commonwealth Bank over the bank charging an interest rate on business overdraft accounts that was substantially higher tha...Read more
Expenses
What are the top 10 most expensive cities in the world?
Logistical issues and currency fluctuations caused by the COVID-19 pandemic has seen the most expensive cities in the world drastically change, new research has revealed. ...Read more
Wrapping up an eventful 2021
Listen now
What Omicron means for property, and are units right for first-time buyers? What is equity crowdfunding? Are industry super funds tapping into member funds to save their skins?
Listen now
Will housing affordability improve in 2022? Will buy now, pay later become the norm? Why are Aussies staying in failing super products?
Listen now
Who really benefits from crypto ETFs? How will the RBA respond to rising inflation? Could a mandate help address unpaid super?
Listen now
Expenses
Price no longer the prime factor for energy bills
Many Australians are intrigued but unconvinced when it comes to greening their energy bill. ...Read more
Expenses
1 in 2 Aussie pet owners spends on their pets more than themselves
Does owning a pet eat into your monthly budget? You’re not alone. ...Read more
Expenses
The real reason Sydney’s petrol prices are so high
Sydney fuel prices may seem like they’re soaring, but a recent study indicates that they may be cheaper than you think. ...Read more
Expenses
Morrison backs big pharma, turns back to developing countries
Big pharma is currently fighting to maintain intellectual property protections over COVID-19 vaccines, with Australia refusing to act despite having no pharmaceutical companies. ...Read more
Expenses
Half-price flight scheme launches today
Aussies are being offered half-price flights as the government looks to spur domestic travel to regions it has defined as key to economic recovery. ...Read more
Expenses
Insurance prices rise despite payout falls
The COVID-19 pandemic has seen insurer payouts fall by $500 million, but Australian consumers are continuing to pay more, the consumer watchdog has revealed. ...Read more
Expenses
CBA cops civil proceedings for overcharged interest
ASIC has commenced civil penalty proceedings in the Federal Court against the Commonwealth Bank over the bank charging an interest rate on business overdraft accounts that was substantially higher tha...Read more
Expenses
What are the top 10 most expensive cities in the world?
Logistical issues and currency fluctuations caused by the COVID-19 pandemic has seen the most expensive cities in the world drastically change, new research has revealed. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
