When it comes to spending money, people have many, different opinions. Some believe that you should only invest in experiences because you’ll keep the memories from them for a lifetime. Others may disagree and say that you should buy more luxurious products because they can give you a hedge against inflation. Meanwhile, the seasoned investor will look at the two and shake their head, because why aren’t they trading bonds and stocks instead?
But no matter how different our opinions are, at the end of the day, we spend our money however we want. The key is just to keep things in moderation – don’t overspend, in other words. You can book as many flight tickets as you want, but don’t sacrifice your electricity for a month, or your mortgage payment.
If you really want to splurge on something extraordinary, consider these things at least once in your life:(But if your financial situation will allow you to splurge on them again and again, then, by all means, do so.)
1. A Pet
Surprised that an animal is the first thing on this list? Buying a pet is like buying happiness, and a 2011 study has proven that. The study has found that pet-owners had higher self-esteem, more exercise, and less fear of relationships than non-pet-owners.
But more importantly, investing in a pet allows you to save shelter dogs and cats, or prevent them from entering the shelter in the first place. Roughly 3.3 million dogs and 3.2 million cats enter animal shelters in the U.S. every year, owing to neglectful owners.
A pet can cost you$1,270 in the first year, and that figure will increase as the animals grow. Still, it’s significantly cheaper than raising a child. So if you want to unleash your parental instincts without conceiving, consider a furbaby.
2. High-end Appliances
Apart from bragging rights, high-end appliances will also increase the efficiency of your home. Wealthy individuals may not be as impressed with it as low-income individuals are, but don’t let social class matters deter you from buying that flat-screen TV, or front-load washer and dryer. A survey has shown that low-income earners tend to prefer material investments over experiential ones, and that’s a not bad thing at all. Material possessions like high-end appliances are more practical if you earn less, since you can actually use them, and witness it making your life easier.
If you’re feeling grateful and generous, giving back is the best way to spend your money. Giving, even with the little you have, can multiply your blessings in ways you never thought possible.
It doesn’t matter if you are religious or not. Spending money on others can give you greater happiness, according to researchers from the University of British Columbia and Harvard School of Business. So even if you only have a dime to spare, give it nonetheless. It’ll make you feel happy, fulfilled, and even more grateful for all the blessings you already have.
If you’d rather invest in experiences than material things, then you’re probably a frequent traveler. Consider places with diverse cultures and traditions, like Asian and African countries. The language barrier will hone your communication skills, and give you the chance to also learn to speak a different language. And of course, exposing yourself to new places lets you see things from the locals’ perspective, giving you lessons no classroom can offer.
5. Designer Jewelry
The insanely high prices in jewelry auctions may sound unreasonable to you, but the investors actually know what they are doing. When you own a very rare piece of jewelry, you can sell it for an even higher price in the future. Like real estate, designer jewelry prices also appreciate over time.
But other than the monetary value, jewelry can also hold priceless sentimental value, especially if it’s given as a gift. So if you wish to surprise your girlfriend or wife on Valentine’s Day, check out custom luxury earrings for women; yes, rings and necklaces are overrated, and it’s time for earrings to shine more!
6. Designer Bags
Bag collection videos have been popular on Youtube for a few years now, which is a good thing because it influences more people to invest in designer bags. Hermes, Chanel, Louis Vuitton, YSL, and more, retain their value and never go out of style. That’s why you’d find vintage luxury bags and notice that they still look trendy today.
Designer bags also win in functionality. Their material doesn’t wear off easily or suffer the effects of age or impact. Of course, you have to take good care of them to maintain their pristine quality, but in any case, a good designer bag can turn into cash in times of urgent needs.
If you’re looking for a sign to splurge on an experience or a material possession, this is it. As long as you’ll remain financially secure after spending your money, you are 100% ready to invest in yourself.