Impulse spending

What It Means

Impulse spending is buying something in the moment, without having planned for it and without checkingChecking accountA bank or credit union account for everyday money going in and out, used by debit card, checks, transfers and direct deposit. See more whether it fits your budgetBudgetA plan for a set period, usually a month, that lists the money you expect to receive and how you'll spend or save it. See more. It can be as small as a snack grabbed at the register or as large as an unplanned online order worth hundreds of dollars. Any single purchase may be minor, and the cost adds up when the same kind of buy happens every week.

How It Sounds at Home

• "It was on sale, so I just grabbed it."
• "I didn't need it, but it was right there."
• "One-click checkout is dangerous."

The Breakdown

Worked example. Chris grabs something unplanned at a checkout or on a shopping app about three times a week, and it usually runs about $18.

If a waiting period meant skipping half of those buys, about $1,404 a year would stay in the account.

What the result means. One $18 purchase barely registers, which is why the habit is easy to miss. Seen as a yearly total, it can be weighed against something you care about more, like a trip or your emergency fundEmergency fundMoney set aside only for unplanned costs, like a car repair, a medical bill or a lost paycheck, kept where you can reach it quickly. See more target.

Ways to slow it down

• Write the item down and wait three days or a week before buying, the waiting period Experian suggests.
• Shop from a list, especially at the grocery store.
• Decide at the start of the month what you'll spend on treats and eating out, so small buys have a place in the plan.
• Notice when you're shopping to change a mood, and try something else first, like a walk or a call to a friend.

Good to Know

No official rule covers impulse spending, and Experian's guidance leans on a few practical habits: a waiting period between wanting something and buying it, a shopping list, and a realistic budget you can stick with. For spending driven by stress or a bad day, Experian suggests finding another way to handle the feeling, such as a walk, a call to a friend or a few minutes of mindfulnessMindfulnessPaying attention to what's happening in the present moment, such as your breath, your body, your thoughts and your surroundings. See more. If buying feels hard to stop, or it's causing debt or conflict at home, talking with a counselor or your doctor is a reasonable next step. The CFPB's youth financial education materials include an activity called "James resists impulse spending," which can open a family conversation about it.

Related Terms and Categories

• Discretionary spending

  Money spent on things you want rather than need, like eating out, entertainment and travel. In government, the spending Congress sets each year.

Household money and budgeting