Plan ahead or rash decision: You make the call

I heard a great piece of advice on the radio from a well known ministry leader who stated that you should never purchase anything you had not planned on buying! I am sure that you agree with me and you are thinking that is a great piece of advice. If you are reading in your home or the next time you are in your home, look around for a minute. How many items were purchased because of spur of the moment decisions?

What consideration do you give the purchases you make? Do you buy the name brand or the generic? Do you look for coupons? Do you compare prices once in the store? Do you purchase the smaller size so you do not throw away any unused portion? How do commercials influence your decision? How do you research your purchase if it is a major purchase?

I will not answer all of those questions in this post but you must ask those questions when making decisions. My desire would be to move you towards being more intentional in your spending decisions. I am writing is because ten years ago I needed desperately to listen to this advice. Even though I had the ability to use this thought process emotions would often get the best of me.

Emotional Purchases

How do stores encourage you to make emotional purchases? There are many ways but let's take a stroll through your local grocery or national chain "get everything here" store. As you think about the items in the store they are all neatly placed on shelves in their particular section of the store without big flashy signs to get your attention, right? Wrong! Items in these stores are not just specifically placed but strategically placed in special locations. Where are the new products? On the end of aisles called end caps. One of the most important features of end caps is you can see that brand new product, with the flashy new commerical, without even walking down an aisle.

Comparison Challenges

What other hindrances do we face when making purchases? Many stores have price comparisons between similar products. Unfortunately, many of these comparisons create a new challenge. For example, the brand name product will show a price per roll and the generic willshow a price per square foot.

The last several times I visited our local "get everything here" store I have watched people making decisions on a particular product. Every time, I have watched multiple individuals pick up the generic store brand even though the name brand is less expensive! Finally, I could not help myself and questioned a person I saw buying the generic instead of the name brand. Their response was "the generic is just as soft and was less expensive than the name brand." My next question was, "how did you come to the conclusion that the generic was less expensive?" With a questioning look on her face she pointed to the price sign and replied, "it costs less." I told her their price sign was a little misleading and proceeded to show her that the cost per square foot was less with the name brand than with the generic, store brand. Needless to say, she was very surprised.

Teaching Your Children

How does this apply to your children? Too often, kids only see their parents makingthe purchase, and they come to believe that dad has enough money to buyanything! If purchases are made whenever you or I see a desirable item, what message does that send our children? Our children need to see a buying plan that is well thought out. Whether buying groceries or an automobile our children need to learn and understand how and why we make these types of decisions.

While your children are young, let them help with the calculator to compare prices between brand name and generic groceries or products. As they mature include your children in the decision making process with bigger purchases, such as anautomobile purchase, to cultivate their knowledge. As parents it is our responsibility to grow and nurture our children's ability to make wise financial decisions.