web analytics
September 23, 2014 / 28 Elul, 5774
At a Glance
Blogs
Sponsored Post
Meir Panim with Soldiers 5774 Roundup: Year of Relief and Service for Israel’s Needy

Meir Panim implements programs that serve Israel’s neediest populations with respect and dignity. Meir Panim also coordinated care packages for families in the South during the Gaza War.



Overspending

broke

Often one spouse accuses the other of being an over-spender. But what exactly is “overspending”? This definition changes from family to family; for one, going out to eat on a weekly basis may be within their means, while even a periodic coffee may be stretching the resources of another couple. So how does a family determine whether they can afford to eat out?

One cannot “overspend” if there isn’t a budget that defines spending limits. A budget can help reduce friction between spouses who have different spending patterns. If both partners agree to create and abide by a budget, then the one spouse is no longer the “bad cop” that regulates his or her partner’s spending habits.

Spending as an emotional issue

People spend money for a variety of reasons. Some expenses, like groceries and utilities, are a necessity, while others are discretionary. However, even within fixed expenses there is usually room to cut back. Does Shabbat dinner need to be an expensive cut of meat accompanied by costly wine, or will chicken and grape juice suffice?

Examine your fiscal habits. Do you have an idea of how much your monthly expenses are? Where do you spend money? Do you charge or pay in cash? Do you have financial goals that are important to you, and if so, are you actively working to achieve them? How would you feel if your spending habits changed? How would that change affect your spouse/family?

Consider the doctor who tells an overweight patient that unless he lost a considerable amount of weight, he would face serious illness. Chances are, the patient would diet and exercise. So why is there a discrepancy when a financial adviser recommends a fiscal diet and an exercise program of spending within a budget?

Very often, financial issues mask other problems within a relationship. Therefore, creating a budget is not only a good tool to monitor spending, but it can also help improve family harmony.

About the Author: Douglas Goldstein, CFP®, is the director of Profile Investment Services, Ltd, a financial planning and investment services firm located in Jerusalem. He specializes in working with clients who live outside of the United States and want to maintain a U.S. brokerage account. Doug’s newest book, co-authored with Susan Polgar, about how using chess strategies to improve your finances, Rich As A King can be purchased at www.richasaking.com. He is a licensed financial professional both in the U.S. and Israel. Securities offered through Portfolio Resources Group, Inc., Member FINRA, SIPC, MSRB, SIFMA, FSI. Accounts held at Pershing LLC., Member NYSE/SIPC, a subsidiary of The Bank of New York Mellon Corporation. Neither Profile nor PRG gives tax or legal advice. Before immigrating to Israel, it is advisable to consult with a tax attorney who is knowledgeable about Israeli law. Contact at doug@profile-financial.com


If you don't see your comment after publishing it, refresh the page.

Our comments section is intended for meaningful responses and debates in a civilized manner. We ask that you respect the fact that we are a religious Jewish website and avoid inappropriate language at all cost.

If you promote any foreign religions, gods or messiahs, lies about Israel, anti-Semitism, or advocate violence (except against terrorists), your permission to comment may be revoked.

No Responses to “Overspending”

Comments are closed.

SocialTwist Tell-a-Friend

Current Top Story
NY rally against Met Opera's 'Death of Klinghoffer' opera. Sept. 22, 2014.
New York City Site of Huge Rally Against Met’s Klinghoffer Opera
Latest Blogs Stories
soldiers[1]

Here is your chance to show your appreciation to the IDF!

IDF Unetaneh Tokef

This video of IDF soldiers singing one of the most powerful prayers Jews say on the holiest day of the year is simply amazing!

Jordana

When I think back to one year ago it actually feels like a lifetime ago; I was truly another person.

eretz-israel-struck

To continue meriting the Promised Land, Jews must consider & always improve upon their own behavior.

Though the Talmud doesn’t give instructions, Metzitza has always been done B’Peh – by oral suction.

ISIS and Hamas are cut from the same cloth. Obama should listen to Netanyahu.

Last night I attended the big festive celebration of ten years of Menachem Begin Heritage Center and Museum. Security was tight, almost like at a foreign airport, because both Prime Minister Binyamin Netanyahu and President Ruby Rivlin were to be there. And yes, they were and yes they spoke. Officially the evening was a tribute […]

Hamas’ tunnels were destroyed as were plans for their unparalleled terror attacks on Rosh Hashana.

Grandmaster Michael Adams talks about life as a professional chess player.

The Jewish Press stressed the possible ramifications of such a breach of Israeli political protocol

Why some countries are more economically successful than others? Tune in for the answer…

If not scared by God be scared by man; Hopefully ethics will integrate into lives for proper reasons

Smear campaigns by people with agendas other than justice do not faze him; He does what is right.

Countries like Turkey, Europe and even the US have proven fertile ground for recruiting terrorists

How many times have you heard anti-semites spew words like Israel are Nazis, or what you are doing to the Arabs is worse that what the Nazis did to the Jews?!…

My blog, Israpundit, was hacked, and I had to move to a new domain…

More Articles from Doug Goldstein, CFP®
Doug Goldstein

Grandmaster Michael Adams talks about life as a professional chess player.

Doug Goldstein

Why some countries are more economically successful than others? Tune in for the answer…

Why is an IRA a worthwhile account for retirement? And how can you use it to the best advantage?

How do you reach the top of your profession, and are you always aware of your own talents?

How has the sudden growth in modern technology affected world economy and future employment levels?

Learn about Monte Carlo-not the place but simulator forbuilding a financial plan.

This week’s podcast discusses the need for transparency in international business dealings.

Life after 50? You better believe it! Tips on how to prepare and enjoy life after retirement.

Printed from: http://www.jewishpress.com/blogs/goldstein-on-gelt/overspending/2013/08/01/

Scan this QR code to visit this page online: