This month, my essays will take a deep dive into what truly matters to us. Socrates said, “The unexamined life is not worth living.” Understanding what truly matters will help you establish goals, helping you become the person you want to be tomorrow.
Our spending habits are more than financial transactions; they are a part of our story of who we are. They reflect our values, priorities, and what we hold dear. If you want to know what truly matters, follow the money. Show Me the Money became a widely popular phrase from the 1996 movie Jerry Maguire. It was used to insist on seeing tangible financial results; it means seeing evidence that something is worth paying for. You will know what you value most if you follow the money and your spending habits.
In this essay, we will follow the money to define what is truly important in our lives. Where and how you spend your money says a lot about life priorities and about what matters to you. For now, we will take basic living expenses out of the equation, including basic housing, food, and transportation. Leaving our disposable money, money we can choose where and how to spend.
We may choose quality over quantity, emotional satisfaction, or mindful products that show care for social and environmental impacts. We may support charitable giving, social and community causes, or our church through disposable income. Our money could be used for investing in self-improvement, education, or books, or it could be used for health and wellness.
Our lives are fast-paced, and we live in a consumer-driven world. It is easy to make impulsive purchases. The checkout lines at the stores are shelved with impulse products. They know we have extra money, and they know we make impulse buys.
We can take responsibility and become more aware of our spending habits. We see our priorities in how we spend our disposable income and money after paying for the necessary needs. These expenses could include education, children, vacations, investing, or hobbies. Understanding and tracking where you spend your disposable income will help you see what truly matters.
Your wallet mirrors your values
Spending is an emotional experience driven by our needs, desires, and goals. Examining our motives can help us define what is truly important. Home, Sweet, Home – if you spend most of your money on making your home comfortable, this is a priority. You might invest in beautiful flooring and elegant curtains. You might have a large deck for grilling and flowers all around your home. A home may reflect security, stability, and a sense of accomplishment. For this person, home is what truly matters.
For another, traveling or moving around might be driven by adventure or excitement. Stability is likely not their motivator. The call of the unknown may matter most to the traveler, seeing the world and exploring different people and cultures.
So, what motivates your purchases?
Research has shown that people who spend more on experiences—like travel, concerts, or dining out—tend to be happier than those who spend their money on material goods. This might be because experiences often provide more lasting joy and create cherished memories.
What you spend your money on is a reflection of what you value. Once we step away from the necessities of life, what do we spend our money on? As we are unique individuals, this could be almost anything. If you value health, investing in a gym membership provides value to your goals. If you value education, you might invest in obtaining a college degree or a trade.
Social pressures also influenced our spending habits. We see the lifestyle of the rich and famous on social media and may feel a need to live that life. Social influencers tell you what to buy and how to live your life. For example, the pressure to have the latest smartphone or designer clothes can lead to unnecessary spending. Same with advertisements; with this luxury car you more. Finding your authentic life means letting go of those pressures and looking within to find yourself, your desires, and your life goals.
Aligning spending with values
The first step is to understand how your spending reflects what matters and then complete an audit of your finances. Then, look at your philosophy about expenditures. Intentional spending involves making deliberate financial decisions that reflect our values and goals. One of the first steps to aligning spending with values is to define our values and goals. Intentional spending empowers individuals by shifting their perspective on what is essential.
How to align your spending habits with your values
Develop a budget plan for the year. Allocate funds over the 12 months to make sure your financial resources are used to support your values and long-term goals.
Track your expenses, and regularly review where your money goes. You will see patterns and can adjust as needed.
Clarify your priorities by defining what is most important to you. Then, you can budget accordingly. Make conscious choices to make sure your spending aligns with your values.
Evaluate and reflect on your spending habits periodically. Our lives are constantly changing, and as we grow, what we value may change.
Aligning Your Wallet with Your Values: The Power of Value-Based Spending, by Erik Tozier
How Spending Habits Reflect Your Values, by The Art of Living Consciously
“Decide what you want, decide what you are willing to exchange for it. Establish your priorities and go to work.”
– H.L. Hunt
When looking at your priorities, examine the financial allocation of your funds and how you choose to spend your time; this is an indicator of your priorities. Your goals will reflect your priorities, such as obtaining a college degree, buying, and maintaining a beautiful home, or a personal investment in your appearance with stylish clothes. One person may prioritize their career and another their family. Many of our priorities may be based on our age; your priorities may change throughout your life.
Conclusion
Where and how we spend our money reflects what truly matters to us. By evaluating your spending habits, you can clarify your priorities. Do you travel a lot or buy healthy foods and exercise equipment? In my life, my money goes for technology, books, plants, and art supplies. I meet for lunch once a week to keep connected to my family, so this is a part of my budget expressly set aside for family.
Show me the money. We each have a money history that tells our story.
Next time you reach for your wallet or credit card, stop, and ask yourself, “Does this purchase reflect what truly matters?” If it does not, do you need to spend your limited funds on this item?
What do your spending habits say about you? You can start changing your financial habits by adopting a value-based spending approach. Understanding your financial choices can help you understand and align with your true self. Are there changes you can make?
Recommended Reading
Managing Priorities: How to Create Better Plans and Make Smarter Decisions, by Harry Max
The Soul of Money: Transforming Your Relationship with Money and Life, by Lynne Twist
What Really Matters: Stories that Invite Going Slowly and Taking Time, by Rev. Keith N. Kron and Rev. Barbara Child
The Art of Choosing, by Sheena Lyengar
Citations
Photo by Daniel Olah on Unsplash
Photo by Thought Catalog on Unsplash