We’re all guilty at some point of dropping money on items that are considered “non-essentials.” And if we’re really being honest, and taking a hard look at our monthly spending, it’s not hard to see how much money we’re wasting. In fact, according to new research, the average American spends $1,497 a month on non-essential items.
What are these “non-essentials”?
Dining out, cable, streaming services, subscription boxes, and more can really add up. While at the moment it doesn’t seem like a lot of money… $1,500 a month adds up to almost $18,000 a year! That’s more than a million dollars over the course of an adult lifetime.
Yes, we could be millionaires. If we could just cut this superfluous spending!
“Treat Yourself”… Ocassionally!
There’s nothing wrong with the occasional treat, something that brings you happiness. For our mental health, we all need to find things that increase our happiness! But, a survey of 2,000 Americans reveals the average person does a little more treating than just occasionally!
Average American Monthly Spending
Results from the survey show the average American spends $20 on coffee, another $209 on dinners out, and $189 on drinks with friends.
On top of that, many are still paying around $91 per month for cable. Then you add on streaming services for around $23. And if you add in music streaming services, that’s $22. Additional apps add on about $23.
And then… there’s the gym! Which is great for your health, but can be costly. On average, Americans are spending around $70 on gym memberships and classes.
The same survey found we make an average of five impulsive purchases a month. That adds up to an average of about $109. And while we don’t put a lot of thought into that impulsive spending (especially if it’s on sale, right?), the majority of respondents in the survey admit there are important things they can’t afford.
Essential Versus Non-Essential
The study was commissioned by Ladder and conducted by OnePoll for National Life Insurance Day (May 2nd). When looking at Americans’ spending on essential versus non-essential items, the study found Americans could tweak their spending habits and be able to afford the essentials more easily.
Thoughts on Spending Habits
The survey asked respondents about their feelings around financial decisions. Not surprisingly, 70% believe they could make smarter decisions monthly. And 24% of them admitted to not having a budget.
Scroll down to see what we think we can’t afford, and a breakdown of our non-essential monthly spend. Plus, some ideas to help you save!
Source: SWNS Digital
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