It’s Only 5 Bucks

“It’s only five bucks…” until you check your bank statement. Small, seemingly harmless purchases can quietly drain hundreds of dollars from your budget every month. In fact, the average American spends around $150 a month on impulse buys which is nearly $1,800 a year, slipping away on coffee runs, app deals, and last-minute checkout splurges. If you’ve ever wondered why your wallet feels empty without a single “big” purchase to show for it, you’re not alone. This guide will show you how to spot those hidden budget-busters and take control of your spending, five dollars at a time.

Avoid Impulse Purchases

Many of us make impulse purchases because satisfaction seems only a swipe away. When you go shopping, take a list with you. Follow that list exactly. Don’t buy anything that’s not on the list. When temptation arises, wait a week before making the purchase. If you don’t satisfy your urge in the moment, chances are it’ll go away in a day or so. If the appeal is still there and you have room in your budget, make sure you track your purchase in your budget.

Only Use Your Credit Card for Essentials

Also, be sure to build those credit card purchases into your budget so you can pay off the balance every month too. If you’re going to use a credit card for buying essential items, use a card that offers rewards for your purchases.

Here’s a list of essential purchases:

• Groceries
• Paper products
• Shoes for your growing child
• Basic hygiene items

Here’s a list of non-essential purchases:

• Your morning Starbucks drive-thru trip
• An upgraded phone case
• $49 hydrating foundation from Sephora
• The BOGO accent pillows from Home Goods

Using your credit card for non-essential purchases will hurt later when you’re struggling to pay off your entire balance and meet your savings goals. By only using your credit card for purchases you need, you can ensure that these items will be in your budget already.

Delete Your Shopping Apps

This may seem too extreme of an idea but can really prevent small spending. Five minutes of scrolling here and 15 minutes in bed can result in several purchases you don’t need or don’t have room for in your budget. These few minutes create more opportunities for making impulse purchases. Instead of trying to overcome the temptation, get rid of the possibility entirely until you get your spending under control.

If you need some of these apps for essentials, place a time limit on how long you can use the app each day. By having a time limit, you’ll only have a few minutes to order what you absolutely need. There won’t be time for endless browsing.

How Long Can You Avoid Spending?

When you make something into a game, it becomes a fun thing to do and not a punishment. Put $40 in your wallet and don’t spend it. I often consider cash “free money,” since I don’t see it in my bank account. That only justifies me spending it and got me into the bad habit of making several small dollar purchases.

See how long you can go without spending the $40. When you do spend it, what did you buy with it? Track this in your monthly expenses so you hold yourself accountable.

It’s Only… $300?

The next time that little voice says, “It’s only…”, finish the thought with: “…but I worked hard for this money, and my financial security matters more.”

Take a look at your account history. How quickly did a few small splurges add up to $300? Challenge yourself to see how long you can go without spending that same $300 on impulse buys. Every dollar sitting in your savings is the result of your effort and discipline. Apply that same determination to your budget, and you’ll steadily build the financial cushion you deserve, five bucks at a time.