I am an extreme saver. I constantly do stupid things to save money (25 Examples of My Extreme Cheapness), and I often hesitate to spend money on something other than investments and the necessities. Thankfully though, I have learned that saving money isn’t everything. In fact, sometimes it’s not even healthy and can turn into a bit of a scarcity-minded disease. At certain times in life you just need to have fun and spend money!
Of course, this means that you first need to get rid of those stupid debts and actually build up a savings account….
Top Reasons to Have Fun and Spend Money
Given that I’m an extreme saver, I don’t think I’ve ever written a post quite like this. Kind of liberating actually! Sometimes you really do just need to have fun and spend money for all of the reasons listed below.
I constantly see co-workers that are broke, buy new cars, and then are high-fived by their friends…”You deserve it!” This is absolutely NOT what I’m talking about here.
If you want to spend money instead of saving it, then I would assume that you’ve worked hard at digging your way out of debt for at least a year or two and are now finding yourself in a much better position to spend money than you would have been just a few years ago. The purchase shouldn’t put you in tight spot, and should be reasonable considering both your bank account and your income.
Liz and I got married in July, spent only $500 on our honeymoon, and then did nothing but pad our savings for the next 6 months. By the time January rolled around, we decided that it was a good idea to spend a couple thousand bucks on a vacation to Sanibel Island!
2) You Actually Have the Money
PR Newswire reports that 52% of millennials go into credit card debt to take a vacation. In other words, they never had enough money to take a vacation in the first place (and had no business going). If you want to take a vacation, I suggest that you have zero consumer debt (no credit card debt, student loans, or car loans) and 6 month’s worth of expenses in the bank. Beyond that, if you have the cash to take the trip, then by all means, take your trip, have fun and spend money!
3) It’s Good For You
I listen to Dave Ramsey podcasts quite often. During one of his shows, a elderly man called in and was happy to report that he had saved up $1.5 million during his lifetime. He and Dave celebrated for a moment, and then shortly after the man asked his question:
“I realize that I have more money than most, but my wife wants to take a cruise that’ll cost us $4,000. After a lifetime of saving, it makes me extremely nervous to spend that much money. Should we take the trip?”
Dave’s response….”Dude, you have $1.5 million. Find a better cruise line and spend $8,000!”
After saving, and saving, and saving…..and saving…. it can be hard to spend money! Not only that, it can be downright paralyzing! But, what’s the use of saving for all those years if you’re never going to have fun and spend money? As an extreme saver, I understand that saving money can be fun, but spending it is fun too! AND, you’ll actually have something to talk about for a change! 😉
Instead of buying a bunch of stuff, Liz and I believe that our money is much better spent on relationships and memories – in other words, vacations! Just last week, we were on the shelly beaches of Sanibel and Fort Meyers, hand in hand and talking about whatever came to our minds. We kayaked in the mangroves of Tropical Bay and saw dolphins playing throughout our entire vacation stay. Thanks to this vacation, we’re more relaxed and more in love with each other than ever.
If you have the ability to have fun and spend money, I suggest you make some great memories in the process.
When you have fun and spend money, what do you splurge on?
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.