How do YOU justify spending your hard earned dollars?

forever saving on 19/03/2014 - 13:43

Recently I've been wanting to buy a brand new computer with the latest tech. However I keep feeling guilty about it since my computer still works it's just annoyingly slow. I want to be smart about my spending and have held off temptations of buying a new one for about 6 months.

My parents would never buy something new until the current item was completely broken and non functioning. Probably to save money and also because they came from a culture where they weren't given this luxury.
On the other hand I've seen some OzBargainer's comments saying this is their 5th or 6th set of earphones that they have bought and haven't used.

So what I want to know is how other OzBargainers justify a purchase or not purchasing something that isn't a neccessity.

  • Do you buy yourself things as a reward for hardwork?
  • Do you buy yourself a birthday gift? Christmas gift?
  • Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5)
  • Do you convince yourself you somehow need this item in order to buy it guilt free?
  • Do you buy anything on OzBargain if it's cheap enough?
  • Do you wait for a sale and use the cheapness as the reason to buy?

Share!

General Discussion

Comments

  • scrimshaw on 19/03/2014 - 13:52
    +8

    I usually write a wish list. From top to bottom, I list the items in order of importance.

    If I'm going to university and I know that I need a device to take notes on, I'd probably put it on the very top spot above all my other wants: I know I could do with a nicer smartphone, a pair of headphones and a smartwatch, but actually writing this list down lets me prioritize on which is more important. I need that tablet/or laptop so I can actually do my academic stuff and write papers without having to loan a laptop.

    However, you may have other goals that are bigger and further away —eg I need a car to meet certain criterias for employment.

    The other questions you have to ask yourself is:

    1. Will this gadget save me time by having and using it?
    2. Will this gadget improve the quality of my work or play?
    3. Will this gadget make some aspect of my life easier/simpler/more elegant?

    If there is a resounding YES to all three questions, and if it is high enough in your list, then it's a justifiable purchase.

    And if you have a slow computer, consider just upgrading the hard drive to an SSD. A 128GB SSD is enough for most people and it only costs $100.

    • forever saving on 19/03/2014 - 14:16

      Very responsible. Don't know too much about SSD but I'll look into it.

      • ESEMCE on 19/03/2014 - 14:44
        +2

        What are your computer specs and what do you do with it?
        We extended the life of my wife's Core2Duo with an SSD. Only used for Browsing/Youtube, Photos and the occasional game.
        It's made a HUGE difference.
        The disadvantage of SSD is that it's limited storage if you own a laptop… My wife's has 2 drive bays though, so we kept the HDD in the second Bay and use that for Storage (ie Photos and Steam Library).

        • forever saving on 19/03/2014 - 15:23

          Graphic design/gaming/browsing
          It's an i5 Core Duo 2.7GHz
          1 TB drive
          2GB RAM
          Windows 7 32 bit (thinking of reformatting to Windows 8)
          I'm not sure if there's space for an SSD, but if there is I'd definitely get one.

        • ESEMCE on 19/03/2014 - 15:41
          +11

          Put some more RAM in there!
          Especially if you're doing Graphic Design!

        • IdLikeToBeATree on 19/03/2014 - 15:42

          And make sure to upgrade to 64 bit windows. That pc shouldn't really be slow but it is definitely lacking RAM

        • hellbound on 19/03/2014 - 15:44
          +1

          Assume you mean an i5. Depdning on the gaming that should still be fine, but add another 4GB of RAM in there if you can and upgrade to a 64-bit OS. Iirc your win 7 license will work with the 64-bit version of the same edition. If it still feels slow then look at an SSD.

        • forever saving on 19/03/2014 - 16:03

          Do you need a 64 bit CPU in order to use a 64bit OS?

        • hellbound on 19/03/2014 - 16:15
          +1

          Yes, but all i5's are 64-bit

        • Eivad on 19/03/2014 - 16:56
          +1

          If it's a desktop PC, there's definitely room to fit more than 1 hard drive. Even Mini-ITX systems (which can be really tiny) will have space for 2 or more - especially as SSDs are tiny as hell)

        • mskeggs on 19/03/2014 - 21:54
          +1

          And you can get a sled to hold a drive to replace an optical drive in a laptop for about $10.

        • scrimshaw on 19/03/2014 - 21:58
          +1

          http://www.ebay.com.au/itm/Brand-New-Universal-9-5mm-SATA-to…

          this'll fit if you have a DVD bay that is 9.5mm high. this is for laptops that have a DVD drive, obviously.

        • forever saving on 21/03/2014 - 09:33

          Probably going to buy a new one with SSD. I need to live life on the edge.

        • Jackson on 22/03/2014 - 19:58
          +2

          What mug sold you and i5with only 2gb ram? Sheesh 2gb is barely enough for Windowns these days. Maybe you should consider Linux and the Gimp over the bloat that adobe provides people? Could be the way to go if your graphic design work isn't for the workplace and they make you use adobe products

        • RJK on 23/03/2014 - 16:26

          i5 with 2gb RAM? What a bizarre build.

          Shove in some RAM, 3-4gb is a good amount for general use and you need more for graphic design.

          Secondly put on an SSD, and reinstall Windows with the 64bit edition. No doubt you've got lots of things running which has slowed it down.

          Thirdly, convert the DVD bay into a spare HDD bay for your old 1TB drive.

  • blitz on 19/03/2014 - 13:53
    +2

    What else will I do with my money?

    • forever saving on 19/03/2014 - 14:19
      -3

      Think you misunderstand sir. Thanks for stopping by.

      • blitz on 19/03/2014 - 14:38
        +11

        Appreciate the condescension. Seriously, if you don't spend the money, what will you do with it?

        • forever saving on 19/03/2014 - 15:16
          +6

          It's about how you spend it. I could go spend my money on a sportscar because I want it. But do I really need one? What I'm asking is how people reason with themselves on this decision making process. Isn't that a fair question?

        • nikey2k27 on 22/03/2014 - 08:41

          Also enjoy your life. i know rich people never spent any money they never happy. enjoy your life Save money but also enjoy spent a bit to.

        • nobro25 on 23/03/2014 - 13:29

          I Had that mentality when I was 12. Now I'm 24. Been always using my parents car. Last year I bought a brand new sports car. I don't need it but when you started working and have been saving up I felt I had some spending power. Most people buy the car for travel. I bought it for the experience.

          The idea is to use the time you try to save money to make money. You end up with more money in the long and won't have to worry about spending too much.

  • zelda707 on 19/03/2014 - 14:43
    +1

    Usually for the cheaper stuff it's

    "It's only ___ hours of work then i can get____". And then the price seems reasonable :)

    • mskeggs on 19/03/2014 - 21:55

      And vice versa, e.g. a new house with a bigger mortgage means I have to work 4 years longer.

      • lplau on 20/03/2014 - 09:32
        +1

        You can also equate it with:

        "I work in the CBD, a new house with a smaller mortgage usually means further away from CBD, if I buy a house with a bigger mortgage it will be more expensive but I do not have to waste 1hr return traveling in everyday…. hence I save <insert hourly rate> per day"

  • Ughhh on 19/03/2014 - 14:47

    How much do you love it, how much do you need it and can you afford it?
    If the new computer will increase your productivity, I say it's a good investment.
    Time is money!

  • evol on 19/03/2014 - 15:00
    +23 
    public static void shouldIBuyIt() {
 if(item.IsUseful == true && item.DoIWantIt == true && item.GoodValue == true && item.WillMakeMeHappy == true){
   buyItem();
 } 
 else {
   campOzbargainUntilItemOnSpecial();
 }
}

    We all die in the end and money isn't really useful once you're dead. So make the most of it and have a happy enjoyable life* :)

    (*just be responsible and don't go into debt. Set goals, plan things out properly etc.)

    • scrimshaw on 19/03/2014 - 18:43
      +9

      (*just be responsible and don't go into debt. Set goals, plan things out properly etc.)

      And always, always have a rainy day fund. Life is full of the unexpected. Don't be this guy.

    • ChatCPT on 24/03/2014 - 00:14
      +1

      So many positive votes. Shows how many IT peeps on OZB

  • battler on 19/03/2014 - 15:33

    ^ this.
    get some enjoyment out of it NOW.

  • bluedufflecoat on 19/03/2014 - 17:00

    •Do you buy yourself things as a reward for hardwork?
    No.

    •Do you buy yourself a birthday gift? Christmas gift?
    Maybe.

    •Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5)
    Only if the older version is giving me lots of trouble.

    •Do you convince yourself you somehow need this item in order to buy it guilt free?
    See Q3? :) No, not really.

    •Do you buy anything on OzBargain if it's cheap enough?
    Yes. Eneloops, anyone?

    •Do you wait for a sale and use the cheapness as the reason to buy?
    Yes. Especially nice baby/toddler clothes.

  • lord henry on 19/03/2014 - 19:16
    +2

    I purchase something if the anticipated happiness from product I am looking at exceeds the cost (including opportunity cost - which is all the other things I could use the money on otherwise).

    Easy :)

  • p1 ama on 19/03/2014 - 19:48

    To be honest, I buy whatever I will use. If I don't see myself using something on a regular basis, then I won't buy, because that is a waste, but if I see something that will replace something I have with something better or something that will fit into my daily life, then a buy is great.

    Do you buy yourself things as a reward for hardwork?
    Not really, I buy myself the things that I need.

    Do you buy yourself a birthday gift? Christmas gift?
    Not for myself, no.

    Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5)
    Yes, if I feel that the upgrade is worth the extra spent and if I can sell what I have for a good price.

    Do you convince yourself you somehow need this item in order to buy it guilt free?
    Not really, I either need it or I don't, I don't really have to convince myself.

    Do you buy anything on OzBargain if it's cheap enough?
    No, only if I need it. Sometimes I buy things that are cheap to use as gifts later on. E.g. I saw a mixer from Myer that was super cheap this morning. So I bought it to give to my mum for her birthday which is still months away.

    Do you wait for a sale and use the cheapness as the reason to buy?
    No, if I need something, then sometimes I will wait for a sale, but I won't buy something purely because it is on sale.

  • Cheshire Cat on 19/03/2014 - 19:54

    Do you buy yourself things as a reward for hardwork?
    No

    Do you buy yourself a birthday gift? Christmas gift?
    Not really….but we did buy a brand new family car that just happened to be delivered on my bday. So that was nice to pretend was my present to me :D

    Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5)
    PS3-PS4 absolutely. iPhone 4 - iPhone 5 absolutely not. I don't need the latest and greatest I just need functional for my purposes. My pc is 4 years old, tablet is 3, I haven't got the ps4 ….yet…….and my phone would still be an old Nokia if work didn't give me an equally old blackberry (god it sucks)

    Do you convince yourself you somehow need this item in order to buy it guilt free?
    No

    Do you buy anything on OzBargain if it's cheap enough?
    Not really…but I will buy fringe items I'm interested in acquiring. Like good kitchen items etc…did I need a rolling pin…no..but that nice Joseph and Joseph kitchen set that was 1/5th retail price delivered and is now actually cheaper than a dodgy woolies one…yeah I might as well get one now, the wife will certainly use it at some point.

    Do you wait for a sale and use the cheapness as the reason to buy?
    Not really as the reason to buy..but if I want something mundane that I don't need now I will generally wait for a good price.

    Basically we buy whatever we want, whenever we want, we don't have a separate savings account we just use our offset for all money and I'm sure most people think those behaviours are crazy. But my wife and I both grew up dirt poor. We saw our parents work hard to go from literally nothing to now being reasonably well off and have both worked hard our whole lives (since pre-teen years certainly) so I think we just generally have a good handle on the value of money, we aren't frivolous so we can comfortably just buy what we want when we want it…because we know we don't want EVERYTHING. We earn a good income and just make sure we have aligned our desires with our ability to earn, and adjust as required….we knew we wanted a very fancy honeymoon….so found a super deal and made sure we saved enough money for it beforehand.

    The one thing I will do is offset saving to justify a somewhat frivolous purchase. "If I pack my lunch today and don't buy it I can buy a new disney infinity figure guilt free" :)

    • JepunK on 20/03/2014 - 23:21
      +1

      After reading your comment…I can say…Welcome to Ozbargain

  • Natt on 19/03/2014 - 20:17
    +1

    OP thinks too much

    True story

    • forever saving on 20/03/2014 - 09:01
      +2

      I don't think you can't not think less thoughts than you are already thinking on a daily basis.. I think.

  • cloudy on 19/03/2014 - 20:28
    +1

    You can try setting targets, write down what u need to spend on, living, stuff that you can't avoid. Add on some social spending to maintain a life. After that, spend a portion and save a large portion of what's left over. With the spending portion, just spend on what you want, computers if u like, games etc etc, 5 pairs of headphones just coz ozbargain says it's cheap etc.

    Hope that helps.

    • lasertip on 20/03/2014 - 23:07

      Yup agreed, that's what I do

  • epicaricacy on 19/03/2014 - 21:04
    +1

    Simple answer.

    I don't. Why should I?

  • r3ckless on 19/03/2014 - 21:44

    i been wanting to upgrade a new laptop recently. my 3 year old laptop works flawlessly…. i am amazed/shocked.

    I been wanting a sony tablet cos its sexy. i dont see any benefit of a tablet… seriously. i have a samsung galaxy.. its just a bigger version and u cannot dial out….. tablets are waste of money

    /end rant

    • mskeggs on 19/03/2014 - 21:59

      I said the same thing until I got an old ipad from my wife.
      I use it a lot for quick browsing etc. and I have an iphone and a laptop.
      Turns out a tablet is the right device about 1/4th the time.

    • cloudy on 19/03/2014 - 22:00

      Here's my experience, which is completely different to urs.

      My dell laptop died within 2 years, slow as a dog and then decided the screen won't show anything. There goes $1k+.

      Bouht a ipad for general surfing and internet use, more than 2yrs old now, slower, but still going very very strong, couldn't be happier, can't justify upgrading just to play new games when it does the stock standard stuff perfectly fine. Plus, I believe there is some resale value, not that I'm selling. Can't say the same for my old laptop.

    • [Deactivated] on 20/03/2014 - 08:12

      I used to use a PC three to four hours a day however was given a10 inch tablet now I haven't so much a turned on my 8gb ram PC in 5 months it is so quick comfortable to use away from the prison of computer.

      You will be very surprised how much more convenient than PC or laptop they are to your day

  • fairtrade on 19/03/2014 - 23:11
    +4

    Interesting post. I think it's a case of nurture vs nature. The environment you are brought up in and the type of person you are (or your self identity) may determine how you justify a purchase or non-purchase.

    One of my parents came from a poor big family so I was brought up with a mentality of not wasting any food and stretching your dollar as far as you can.

    Do you buy yourself things as a reward for hardwork?
    No. Consumerism at its best.

    Do you buy yourself a birthday gift? Christmas gift?
    No. Consumerism at its best.

    Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5)
    No. Consumerism at its best.

    Do you convince yourself you somehow need this item in order to buy it guilt free?
    Yes. It's why anyone would buy anything.

    Do you buy anything on OzBargain if it's cheap enough?
    No. OzBargain I think is best for its freebies, which are conveniently ….. free.

    Do you wait for a sale and use the cheapness as the reason to buy?
    It depends. As someone earlier said, I find out if I will be using it regularly. I do this by writing what I need on a list and coming back to that list in a week or two. If by then I think I still need this product I may consider purchasing it and starting shopping around for a good price. Interesting article on buying "stuff" and storing it http://www.mutilatethemortgage.com/2014/02/01/the-new-storag…

    • Hoju on 20/03/2014 - 07:40
      +2

      +1 for that article link

      I definitely do that. We have no storage space so regularly buy things used then resell at the same price.
      Eg instead of hiring a bike trailer for a holiday at $35 a day, we bought a used one at $50 then resold it for the same price. Easy!

      • fairtrade on 20/03/2014 - 19:10

        ^Nice work! Another good article relevant to this topic is "Your Life Should be a Business". http://www.mutilatethemortgage.com/2014/03/09/your-life-shou… Basically it says we should run out personal finances like a business, making financials decisions rationally not emotionally. Very interesting article. Hope it helps forever saving.

  • Hoju on 20/03/2014 - 07:37
    +3

    Fair question. With kids and a mortgage there is technically always a better place to put my money.

    One thing I do is make extra money to buy the thing I want.

    Eg I fancied an iPhone but didn't need one. So I spent a month being snappy and buying iPhones cheap on eBay and selling for a profit on gumtree. After a month I had enough profit to get me and my wife an iPhone each without dipping into savings.

    Did the same thing to get us an iPad. But I could never justify putting the money into these things out of pocket.

    • wtfnodeal on 22/03/2014 - 00:47

      But saving up the profit from reselling on gumtree you will get bigger savings.

      • hahaboy on 22/03/2014 - 13:36
        +1

        But it's the rich dad poor dad mentality you are going with. He wanted the iphone, and instead of discounting himself from being able to buy it, he found a solution to get it without compromising on anything.

  • lplau on 20/03/2014 - 09:29

    I usually wait for sales then buy. Never buy at Full RRP.

    In regards to your issue above regarding the slow PC, if it is that slow, then I usually upgrade with the justification that it will save me time, hence save me money.

    The more time you waiting for it to load = money going bye bye.

    The more time you wait and get pissed off with the slowness = emotions which when emotions get involved the productivity goes down… therefore also money go bye bye.

    I usually use a cost vs benefit system when buying something.

    Note: I have 2 mortgages… so there is always somewhere the money should go. However this doesn't mean I have to sacrifice everything to put all my money into them.

  • [Deactivated] on 20/03/2014 - 09:29

    Do you buy yourself things as a reward for hardwork? No
    Do you buy yourself a birthday gift? Christmas gift? Yes (usually because I get birthday $$ to spend)
    Would you buy the upgraded version of a product? Yes, depending on the new features and the resale ability of the old product
    Do you convince yourself you somehow need this item in order to buy it guilt free? I usually convince myself that it is a bargain which wont come around again in a while, then buy it.
    Do you buy anything on OzBargain if it's cheap enough? Yes
    Do you wait for a sale and use the cheapness as the reason to buy? Yes

    Recent purchases of unnecessary stuff:
    - Speakers: Hated the sound of my old ones, got a new set for $229, down from $400. Took 1 month researching/waiting to buy them.
    - KB & Mouse: Popped up on an ebay deal and was a decent upgrade to what I had, and good value ($125, would have cost $~180 usually)

    Re the upgrading: It usually comes down to the cost of ownership when you sell the previous thing I have. EG: Harddrive: recently upgraded my 3yr old 60gb SSD to a 128gb SSD. $90 - $40 selling the old one = $50 for twice the space, and have a new drive which will hopefully not fail in the next 3 years, and avoiding the time and cost of having to spend 3 days without a PC if my HDD does fail from age. (I replace my 1TB non-ssd HDD every year)

    If you can sell your old one for more than half the cost of a new one, (phone, tablet, etc.. ) when it is half way through its life, then it usually makes sense to.

  • forever saving on 20/03/2014 - 09:34
    +2

    Some good answers here, very interesting read.
    Whenever I wanted something when I was younger. I had to justify it to my parents or they wouldn't get it for me. It was basically either you need it or you don't. I guess it shaped me to be more conscious about my consumer behaivour.

    Though, sometimes I hear voices that tell me to spend it all.

  • chukkii on 20/03/2014 - 10:16
    +2

    I think it's important to remember that money is important and all but don't focus too heavily on hoarding it.

    I often wonder if people who spend all/most of their money on expensive holidays and nice cars or whatever are idiots or are they the ones truly experiencing and living life?
    After all, what's the point to vast wealth if you're too old and frail to enjoy it? Also something to consider is: "Would I enjoy doing 'xyz' as much when I'm wealthier but 10 years older? Am I missing out on an amazing experience for the sake of hoarding money?"

    At the end of the day, wealth isn't something you can take with you when you die. It's better to have lived a happy life and spend your money responsibly (i.e not spending more than you can afford and instead save for something important like a house or a car) as opposed to waking up one day and realizing you can't re-buy your youth with money.

    Also to answer your question I would buy the SSD. I recently bought the 1TB Samsung SSD from amazon and it was 100% worth it (although to be fair I got to claim mine as a tax deduction)

    • forever saving on 21/03/2014 - 09:00

      I often wonder if people who spend all/most of their money on expensive holidays and nice cars or whatever are idiots or are they the ones truly experiencing and living life?

      This ^

      I imagine they enjoy what they have in the short term, but in the long term suffer. But whether or not they regret their past decisions is another matter.

  • onlyletters on 20/03/2014 - 10:19
    +1

    forever saving; in your case, you would only probably need to upgrade the motherboard and processor, no need to go all out and upgrade everything, then with the working motherboard and processor you can put it on ebay and try get some money back, well thats what i do, if you wait for it to die, it will be worth zilch..

    then maybe down the track, when you find a SSD bargain, you can jump on it, and upgrade progressively while selling the older working items.

  • Vallani on 20/03/2014 - 11:05
    +1

    I try not to buy on impulse. It's not always possible, but if I see something I really like/want when out shopping or on the internet, I will wait at least a day so I can think about it rationally. If after a day or so I still want it then I feel I am more able to justify it and will go for it. Of course, the purpose of 'time limited' deals is precisely to defeat thinking like this (ie. to create a sense of urgency and scarcity).

    • forever saving on 21/03/2014 - 09:02

      Of course, the purpose of 'time limited' deals is precisely to defeat thinking like this (ie. to create a sense of urgency and scarcity).

      Also advertising aims to make you want the latest and greatest.

  • JediJan on 20/03/2014 - 11:59
    +2

    For me it is a case of knowing I am up to date in all my bills, rent paid, my car has been maintained to the max and MOST IMPORTANTLY I do not owe anybody anything. If you have a debt to ANYONE .. that is whether paying interest or not I simply do not purchase anything other than what I need for survival.

    Seriously, if some people cannot get through Christmas year to year without dragging along with them increasing credit card debt then it is possibly the time for them to consider "cancelling Christmas." I don't mean not getting into the spirit of the occasion, just the headlong rush to drown oneself in enveloping debt for the "Christmas" excuse. If your family and friends cannot do without the luxury of gifts this year then they possibly are not worth having anyways.

  • dannyeei on 20/03/2014 - 14:14
    +2

    I divide the amount by time e.g if it costs $600 and I'll use it for 2 years on average 40 hours a week (average computer use I'm guessing) you realise how small a cost to make such a significant difference it is.

    • forever saving on 21/03/2014 - 09:32

      Agreed. Works very well with mobile phone outright buys.

  • [Deactivated] on 20/03/2014 - 15:12
    +3

    How do YOU justify spending your hard earned dollars? You won't, your missus will. If you don't have a missus, you should keep it that way. (jk)

    In my younger days, I had much more time than $ I earn, so I often made decisions based on cost savings. e.g) Googleing hours for pirated software.
    These days, I don't have much time but relatively better cash flow so if spending $ can save hours of my time, I would rather spend $ for it.

    it's not exactly 1:1 ratio however your time is your money and vice versa.

    Tho It maybe comes with various momentum. For example, a faster computer will save your time and reduce frustration immediately however the money you saved by not purchasing new computer now may save x hours of work toward your mortgage repayment later.

    Hope this will give you some idea for your day to day decision making.

  • lolmao on 20/03/2014 - 16:56
    +2

    I save all my money but occasionally buy stuff stuff that i really want. I feel as long as I save a large proportion, then occasionally buying stuff is ok :)

  • jdesign on 20/03/2014 - 17:15

    • If you have more than enough money, go for it. Slow computer cuts productivity, little by little the time adds up.

    • I buy when i need it. if its just too slow i think you need it.

    • you can always find more money, so back to my previous points.

    At the end everyone of us have different financial circumstances. eg 10 years ago i wouldn't imagine buying things i am buying now, (i have a business that requires me to update equipment every few years). So you are your own judge for this :)

  • jaesen on 20/03/2014 - 17:34

    A new computer, even if it's a budget 600-700 dollar build, will last you a long time if you're not a person who feels like they're forced to upgrade when a new generation of parts are released. You'd be amazed at how small of an investment it is if you use it every day. You will save more time, be more efficient and be less stressed with a new PC over your old one.

  • knackers on 20/03/2014 - 18:18
    +1

    i take the Darryl Kerrigan approach

    • danyool on 22/03/2014 - 16:31

      you dug a hole?

  • Gdsamp on 20/03/2014 - 19:19
    +1

    Ozbargain has often left me buying something because I want it. I've bought 3 phones from here that I didn't really need which I've had to sell off because I didn't use them.

  • parisienne on 20/03/2014 - 21:55
    +1

    It is always worthwhile to spend (occasionally) at the end of a hard week and get something you want….otherwise,what's the point of working ? Bills,mortgage,kids,credit cards etc.etc,etc will always be there,so a reward at times is essential to feel that working is about getting things you want (as well as pay for things you need).I get myself something every pay,and it may be something as trivial as a new DVD to watch (i validate it by saying "it saves me from going to the movies,and i can re-use it many times over"),or something as lux as a weekend away with dinner out each night and a day at the salon (i validate that by thinking "i have had to put up with aholes all week,i have had to do complicated mathematical and physics equations at 3 AM,when everyone else is asleep…whilst doing a 13 hour shift.I DAMNWELL DESERVE TO CHILL ON THE BARRIER REEF FOR A FEW DAYS" That gives me the strength to get through such weeks without a rooftop and an AK47.Having said that,i always get the adult stuff sorted first,add to my savings THEN spend some "pocket money".

  • DarwinBoy on 20/03/2014 - 22:24

    What about gambling? Can an ozbargainer justify it here? I think pokies and horses are the worst way to burn money with absolutely no chance of getting ahead. I do the occasional ticket for 50 million but usually go by the rule if it takes me an hour to earn but 5 minutes to spend then it better be good.

    • forever saving on 21/03/2014 - 09:14

      Yeah gambling is a fast way to burn money. I only buy a ticket once in a while when the pot is huge.

      On another note, someone told me that the best chance to win is to play the Saturday lotto. Not the one that has a massive prizepool.

      • Cheshire Cat on 21/03/2014 - 12:39

        Lol. The someone who told you that wasn't very good at maths :p
        Now if they meant the chance to win on your own…then they'd have a point.

  • bargainbot12 on 20/03/2014 - 23:05
    +1

    Im currently 17 and working a bit, so I like to reward myself every 6 months. My birthday in June and Christmas time are the times I like to spend up a bit. I usually spend about 2% of my salary, every 6 months and only ever but the essentials for the rest of the year. If you really wanted to know I earned about 20K a year, but Im still at school.

    Do you buy yourself things as a reward for hardwork? YES
    Do you buy yourself a birthday gift? Christmas gift? YES
    Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5) I HAVE UPGRADED FROM 3GS, 4, and 4S, next 5
    Do you convince yourself you somehow need this item in order to buy it guilt free? YES
    Do you buy anything on OzBargain if it's cheap enough? NO,only if its less than $1 + Free Shipping, lol.
    Do you wait for a sale and use the cheapness as the reason to buy? NO

  • [Deactivated] on 20/03/2014 - 23:30
    +1

    Just a note - if you are working, you can claim the depreciation on your laptop as a tax deduction if you are buying it to do work related to your main employment. Eg if you buy a $750 laptop, you can claim deduction of $250 per year over next 3 years.

    If you are going overseas you can get the GST back 1/11 of the price if bought within 2 months of leaving on your trip (assuming it costs more than $300), you need to show TRS at the airport so need to hand carry.

    I liked the post above abt drawing a list of priorities up - if it's something that will save time and help you get your job / study done, think of it as an investment and go for it - the last thing you need is any reason to enjoy work/study even less.

    As for the non essential things - you need to have some budget however small to save up for things you want, it's important to have things to look forward to. Those nice to haves feel best when you are still hitting your savings targets.

    • forever saving on 21/03/2014 - 09:27

      I'm generally just a good saver. I definitely agree, everyone needs to have things to look forward to.

      • scrimshaw on 21/03/2014 - 12:15
        +1

        You should also master the art of selling. Use Ebay and Gumtree. I've always managed to sell most of my stuff and get roughly 60 to 80 percent of the original $ back. Sometimes I even earn a small profit selling old electronics!

        Laptops are depreciating assets, as are mobile phones and computer parts. I find it's a good idea to sell them off as soon as you no longer need it, otherwise it will become harder to sell.

        • forever saving on 21/03/2014 - 13:46

          Definitely, I think I am a bit lazy in that department and that's something that could reduce the cost of buying new stuff.

  • porsche26c on 21/03/2014 - 09:42

    i would do like most people said and just upgrade. if it aint broke no need to buy a new one.
    pop in a SSD for $130 and 4gb of ram $50 (these days - i bought it when $20) and you will see a huge improvement. even think about win8 as much faster.

    my justification when i spend big - its based on my income for a wk. also if it aint going to cause issues in 10 yrs time and help your productivity go up esp. since this is a practical item - just do it but dont go silly and buy overpriced crap.
    stay away from HP - it will fail

  • [Deactivated] on 21/03/2014 - 12:05

    I look at the use value of things, exchange value is a secondary and it becomes a question of affordability. Use value to me is how much time and labour it would save for me.

  • [Deactivated] on 21/03/2014 - 13:14

    Try this advice from The Checkout. https://www.youtube.com/watch?v=uPmUgvXztog

    • forever saving on 21/03/2014 - 13:45

      Will have a look when I get home.

  • cdaddy on 21/03/2014 - 13:59

    Work hard play hard

  • MementoMori on 21/03/2014 - 15:15

    No no no…

    The REAL question is… do you buy items to get that temporary squirt of feel good chemicals in your head, that temporary self esteem boost which wears off shortly and you just end up with less money and/or another Quell Fire Blanket in your pile of freebies…

    Humans are tuned to scarcity and our brains reward us by feeling good when we 'acquire' stuff, even if the stuff is junk we don't need. The trick is to be conscious of this mechanism and resist the temptation… argh… I can't… it's too powerful!!!!! :)

  • xyron on 21/03/2014 - 17:11
    +1

    I buy almost all of my gear second-hand. That way, I can sell it again for the same price, if not more, than I paid for it.

    I set up my i7 2600/HD 6950x2 computer back in 2011. I bought every single item in it second hand, except the SSD. If I sold it today, I reckon I would get very close what I paid for it.

    Same with my car - bought it for about $4000 less than average market value, and if I sold it, I am confident I could get more for it than I paid. I have done this for about 19 cars since first obtaining my drivers' licence in 2006, and only made a real loss on a handful of them.

    Buying items new (save for super bargains on OzBargain) is a recipe for money to be pissed against the wall. Never enter an investment you can't easily get out of. :)

  • morpheu on 21/03/2014 - 22:29

    Your cash ain't worth a thing if you don't spend it!
    Marcus Kincaid, Borderlands

  • Gina Rinehart on 22/03/2014 - 01:59

    I used to never spend money when avoidable, but then realised that I was missing a lot of pleasures in life, so I started buying lunch every now and then and other social/more exciting things with my money than putting it in a high-interest bank account and being boring.

    I'd have to say the small investment is much nicer. Of course I still think about spending money carefully and I hate wasting money, but I just don't care if I "waste" a little here and there. There's no other way to say it, but "you only live once" so why be beige your whole life when you can be slightly better than beige?

  • [Deactivated] on 22/03/2014 - 08:59
    +2

    1) Do I want it? Tick

    2) Can I afford it? Tick

    3) Is there something else I want even more? … Cross

    4) Will it be sitting in a closet within a year, never to be used again? … Cross

    5) Buy it

    Not that complicated

  • hahaboy on 22/03/2014 - 13:27

    I like your username OP. It explains the original question too :P

  • dqtl74 on 22/03/2014 - 16:43

    Some very interesting reads here. Reminds me of a thread a while back about the lengths OzBargainers go to to save some money. There were a few very questionable practices but if you really want to see the depths of how far people are willing to go, search for "Extreme Cheapskates" on YouTube.

  • Shwayne on 22/03/2014 - 18:25

    Write down what you want, and date it.

    Keep revisiting it, amending and changing particular accessories as you go, also update the date if you make large modifications (increases) to the price. (E.g. you're buying a Plasma, and all of a sudden you want the highest end model.)

    Come ONE month from the last large amendment you still want it, work out if it's actually financially feasible for you to buy this thing you're set on.

    You'll find a lot of the time you no longer care about it, or that you can live without it.

    Also don't create situations where you have to speed this decision up, i.e. if your fridge breaks, it's not a 'great opportunity to look into nuclear fusion fridges', it's just time to buy another fridge.

    You could look into 'nuclear fusion fridges' when your fridge is perfectly fine, and decide that you want a 'nuclear fusion fridge' next. Follow the same process above and then pend on a good reason to replace your fridge. (If it breaks at a later date, you know exactly what upgrade to replace it with.)

    OR just buy the upgrade, you don't have to wait for things to break, but it's normally a good time to replace things.

    This isn't the case with computers though, as unlike fridges, you can donate your computer or keep parts.

  • morpheu on 22/03/2014 - 23:09

    Do you buy yourself things as a reward for hardwork?

    hell yeah! I work hard for my money, and i want to enjoy myself now while i can, having a mountain of money in the bank is useless if you're crippled/too old etc to spend it such as going on holidays

    Do you buy yourself a birthday gift? Christmas gift?

    yes, and yes(helloooo secret santa!) i don't always trust other people's gift choices, but i know exactly what i want!

    Would you buy the upgraded version of a product? (iPhone 4 -> iPhone 5)

    only if it was a significant upgrade or way better value, what do they say about 80% of people only use about 20% of a smartphone's advanced features?

    Do you convince yourself you somehow need this item in order to buy it guilt free?

    guilt? what guilt?! ;)
    if you were to listen to your conscience everytime you wanted to buy something non essential you would only buy like a bus ticket to get around and one set of clothes!

    Do you buy anything on OzBargain if it's cheap enough?

    only if i can make use of it now or near future, the exception being if i find something cheap enough for me to buy and resell at a worthwhile profit

    Do you wait for a sale and use the cheapness as the reason to buy?

    so you're saying price is the only reason to buy? see above

  • nailsforlunch on 23/03/2014 - 01:27
    -1

    Your laptop = extremely slow
    New laptop = possibly 2 times faster or more.

    New laptop = Lots of time saved
    Time = Money

    Therefore buy laptop = save money.

    • RJK on 23/03/2014 - 16:30

      If it wasn't slow to begin with, just clean it up if you know how, or reinstall Windows.

      I just did up an old Dell from 2008 that was crawlingly slow:

      1/ SSD $55
      2/ Reinstall Windows (1hr)

      Now it's faster for general use than a new non-SSD laptop.

  • Hotdogs on 23/03/2014 - 23:17

    if its something that you know you will use alot its worth having quality. you get extra value because you use it alot.

    bad purchases are made when you think you will use something but you dont.

  • mini2 on 24/03/2014 - 15:18

    Pretty simple.

    *** IS IT ON SALE?????? ***
    Is it tax deductible?
    Can I use it on my investment properties?
    Will my family benefit from this purchase?
    Will this save me $$$ and/or time?
    Are the benefits of owning this tangible?
    Breakeven period?
    Is it cheaper to rent/borrow it off a mate?
    Should I just be a cheapskate, buy it, use it then refund it? (if possible)
    Benefits - is it one off or goes forever till it breaks?
    How often do I use it?
    Should I buy an even more expensive version (if available) so I won't have buyer's remorse needing to flog it off on eBay and upgrade further down the track?

  • JepunK on 28/03/2014 - 22:43

    I spent my hard earned dollar signing up for the news deal + $40 Rebel GC…

    but the GC never came….

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