Money Values: never regret a splurge ever again

A while back I created a page about things I splurge on.  But then I thought it would be just as important to delineate things I don't splurge on.  After all this is a money blog and I focus on wise spending.  Everyone has different money values, and there is no way I would tell someone what exactly they should spend their hard earned cash on.  But, remember that you can and should draw a line between splurges on random stuff and smart spending based on your values.  This will help you spend wisely and stop regretting those impulse buys (you may even have less!).

Write down your budget categories or "money values" on a piece of paper or take these "money values" and rank them:

• Entertainment 
• Outdoor Activities/Sports
• Social/Friends 
• Family/Significant Other
• Pets
• Clothes/Accessories
• Personcal Care/Spa
• Accommodations/Living Space
• Retirement & Savings
• Travel
• Education
• Philanthropy

Another version of this exercise is given in the book "Putting money in its place" by Ken Rouse, using these key words:

• Achievement
• Adventure
• Aesthetics and culture
• Authority/Power
• Financial security
• Friendship/Love
• Health
• Independence
• Integrity
• Philanthropy
• Recreation
• Service
• Spiritual growth
• Wisdom
• Work

Either way pick 5-10 and rank them. Use this information to guide future purchasing decisions! It's as simple as that!

Personally, that ranking translates to my drawing a line and deciding to spend less on these items:

• Personal care (make-up, massages, etc.)
• Basics (Clothes)
• Food / Dining out
• TV
• Concerts

because these items don't reflect my money values.  I'd rather spend money on anything social (making new friends, hanging out with old friends, going out), traveling, and a tiny bit of learning! Though on occasion I spend money on probably all the categories - that's why it's a ranking.

Of course money values change, just like people change as they grow older.  So revisit when necessary!

Spending money on a concert of sorts, but it was cheap and it counts as "hanging out with old friends"

I spent allll my savings

So it's been a year since I wrote a blog post...time flies I tell you. What have I been doing this whole time? Well work got crazy busy, I saved a lot of $, and then I decided to go to grad school...

Now I'm 3 weeks into grad school getting my MBA and I want to document this experience and regurgitate all the great lessons I'm learning inside and outside the classroom. Of course I'll keep this as money related as possible.

First lesson: quitting your job and going back to school means being poor. very poor.  And, I need to get used to it. All that savings slowly shrinking away.  The good thing is, tuition is paid and I only owe my mother a fraction of the total tuition.  Somehow through my AmeriCorps stipend, my IDA savings, my regular savings, a scholarship and a little bonus from my aunt I managed to bring the tuition down dramatically.  However, now I'm attending school in one of the most expensive cities in the world with no income and not a lot of savings.  My solution: learn how to invest over night and generate tons income. I can do it, right? ;)