Lessons from tracking my spending
This year, I embarked on an experiment, borrowing a page from frugal livers' books: record every penny you spend.I planned to work less when I turned 60, and entering this transition, had only a hazy sense of exactly where my money went. I wanted to be more aware of what I consumed, especially for discretionary purchases, like clothes and accessories.
This year, I recorded the date, item, original price, and actual price for every personal expense, an illuminating activity.
My biggest expense so far: several thousand dollars to restyle a ring I had not worn for years. Absolutely worth it- I'm enjoying what sat in a box.
One of the sma
llest purchases: a vivid Indian cotton skirt picked up for $50 in a Buffalo boutique, bought because I hadn't packed enough for a trip. After my vacation, I went to Toronto's Little India and found this one, printed with peacock feathers and strewn with silver sequins, on sale for $20! At about eight months in, my observations so far:
1. I'm still a sucker for 50%-75% sales. A number of summer-sale tops went unworn. Seven Day Hypothesis: If you're not wearing an item (bought in season) within one week, it's better off left in the store.
I bought a few off-season items in the spring; if I don't wear them regularly this fall, that's another faux pas.
2. Care counts: I wrecked the most expensive garment, an Italian silk jersey skirt, when I machine-washed it on delicate (not in a bag, the fatal error) rather than dry clean or handwash, as the tag specified. Cost per wear, astronomical. Lesson, priceless.
3. Dry cleaning was a big ignored expense. I'm no longer willing to reflexively incur this expense so am more interested in clothes I can maintain myself.
4. My look/buy ratio has shifted from 1:1 to 8:1. In past years, my brain on shopping was conditioned to, "This is when I buy something." I had to re-program it to, "I am having fun looking." If there is something that interested me, left it to the next day, the allure usually vanishes. Sometimes I can't recall what it was.
5. I still love buying gifts. Can't wait till unsuspecting (and un-blog-reading) Birthday Girl Ruth opens the sweater with big blue fox cuffs that Mireille still had for sale at Thrill of the Find!Many months, my gift purchases were the biggest category. I don't spend for the sake of buying a lavish gift but if it's right, wrap it up!
6. I want my good-cause giving to be higher and am working on that. Several GFs and I have altered our holiday gift exchanges so I will have more to donate.
Anyone else tracking spending? Notice any shifts?
Comments
I also have an issue with my dry cleaning expense. I try to get more wear out of my clothes before I send them to the cleaners.
Food spending is another story and my weakness. I won't admit the price I paid for some fancy cheese recently.
Darla
I myself am spending MORE this year on pieces. I'm hoping this will cut down on the overaccumulation. But then I find treasures I hid away--like a vintage leopard jacket (not real, I hope--seems to be printed on hair calf). So: spend MORE on a few things. See what's hiding in closet.
I almost died when I read about your silk skirt. So awful. It's unfair, but only the nicest things attract ruin.
Oh, and yestereday, I typed bete noir and spent the day thinking of my French teachers chasing me with their red pens. LA bete. NOIRE. Feel better.
I was buying a pair of black wool pants in a friend's store, when he said "try on the jacket" I said "sure".
Now I'm obsessed by a thousand dollar jacket that's perfect in every way. Except that I wasn't shopping for a jacket, and that's a lot of money. Still it goes with the pants, it looks good with jeans, it's couture quality, and I look so good in it!!!
I tell myself I'd rather have it than several sale items which I would no doubt buy mindlessly over the season. I should keep track of every item of clothing I don't buy until I have the cost of the jacket covered!!
I've got donations that come off my credit card automatically each month. I don't miss the smaller amounts as much as making one big annual donation.
Point 3 is something I'm always aware of - I dry clean rarely, so my clothes have to machine wash.
Point 5 - your friends and family are very lucky, everything you've written about gift choice makes me envious!
ma: Ones' kids are always a tempting (and necessary) place to spend money! And you are lucky enough to have another generation too.
Belle: I can inflict intense damage in 10 minutes, maybe less! My haberdsher godfather recommended to airing and brushing
and said that most people over-dryclean.
Darla: Can you believe the price of great cheese? But cannot resist.
LPC: Thanks, it sounds anal but has been illuminating.
diverchic: Take me to lunch and I will show you my method- then we cna go to that new goldsmith you told me about.
Frugal: Your blog inspired me to do it, merci!
metscan: Don't have a ban on shopping. That's like a diet for me: becomes all I think about.
as they say, "What you resist, persists."
Northmoon: Sounds like a marvelous jacket. Please let us know what you do. I like your strategy of 'did not buy, have this instead'.
imogen: Gave her the sweater last evening; fit perfectly- she was ecstatic. Probably $500 value I got for $55- consignnment, never worn.
I love shopping as a looking expedition. Shopping expressly to buy leads to too many mistakes, at least for me. If I take time to look, I can buy when something really sticks. Of course sometimes I spend too long deciding and miss the opportunity. Oddly no matter how desperately I thought I wanted that thing, once the initial upset is over, I don't really remember it. I think this is my biggest lesson.
And I agree wholeheartedly that something worn and enjoyed is worth so much more than anything in a drawer.
Kristophine, that rule was a direct result of this experiment- thanks for the sympathy on the skirt.