Home » Financial Planning

4 Purchases to Hold Off On

21 August 2012 3 Comments

Guest Post by: Nadia Jones

Four Big Purchases Anyone in Their Twenties Should Hold Off On

Digging yourself into a financial rut is easier to do than you may think. After graduating college, landing a real-world job, and settling into a comfortable existence, many twenty-somethings start to waste their hard-earned money away penny by penny. Why, you may ask? Well, much of it stems from the excitement of reaching such a pivotal period in life, but most of it is has to do with the material objects society makes us believe we should have in our twenties. It can be difficult to separate the wants from the needs when you’re coming of age and embarking on an exciting new chapter in your life, but all the same, there is never an excuse for wasting money on things you simply don’t need. Here are four thing you should try to avoid buying – unless you absolutely have to – in your twenties.

A New Car

So maybe that car from college doesn’t look as pretty as it used to, but I bet it runs like a champ! Cars say a lot about a person – how much money they make, their sense of style, their interests – but no statement is more important than the one you make about the way you handle and spend your money. Remember, a vehicle is a vehicle. They’re all designed to be a mode of transportation, so unless you’re driving a car that is on the edge of breaking down in the middle of an abandoned road, I’d say wait as long as you possibly can before committing yourself to a new vehicle. If you don’t absolutely need it, then it’s not worth investing in.

A House

Believe it or not, the majority of individuals in the U.S. are renters. Purchasing a home may seem like a mature, adult decision to consider, but unless you’re at a point where you absolutely need to invest in a home, you probably shouldn’t. Homes values are currently unstable, and you probably don’t want to invest in something whose value is likely to depreciate. If you’re a single, twenty-something professional, go ahead and stick with renting. Unless you’re married with six kids and a dog, buying a home isn’t something you should ever feel obligated to do.

An Expensive Wedding

Falling in love is an enthralling experience. When you meet the person you want to marry, you’re often so awestruck that you’re willing to do anything and everything to make your partner happy. When it comes time to marry someone, however, you should be reasonable in the way you approach planning your nuptials. Not everybody will get married in their twenties, but if you decide to, remember this: a wedding is just one day out of your life. Is it really worth putting yourself in financial jeopardy for years to come all because of a one-day event?

New Furniture

Although it’s tempting to fill your apartment or loft with a ton of beautiful, new furniture, it’s a luxury you should probably avoid indulging in. There are a ton of used furniture stores, thrift stores, and consignment shops where you can track down some beautiful pieces in great condition that are much more affordable. Though the thought of something new is always more thrilling, you don’t want to bury yourself in debt for the sake of furniture. In fact, hold off on buying any new furniture until you purchase your first home. That may seem like an unreasonable time to wait, but trust me, you’ll be grateful that you waited to take on these liabilities until you were financially ready.

It’s easy to get yourself into a financial strain when you’re in your twenties, but you shouldn’t let societal expectations dictate what you should and should not purchase. If you can, avoid spending money on a new car, an expensive wedding, a home, or new furniture.

Nadia Jones is an education blogger for an online education website and a freelance writer on all things academia. Nadia uses the written word to share her knowledge on accredited online college education and the latest news in the educational world through http://www.onlinecollege.org. Though Nadia’s mind is always preoccupied with topics of education, she spends her downtime volunteering with middle school students and pitching for her adult softball team. She can be reached at nadia.jones5@gmail.com.

3 Comments »

  • diggy.p said:

    Welp, I already purchased the new car, but I will make sure to hold off on the others. The car already sets me back about $600 per month. I may look into refinancing the loan. I can't wait until the car is paid off! 3 more grueling and unnecessary years to go!

  • Terry Jones said:

    I'm a little doubtful, myself, about the 'New car' part. It actually depends on what you understand by that. If you mean a brand new car, then, yes. But if you just want to trade in a 15-years old rattletrap for a one that it 10 years younger, then it makes lots of sense. The problem is, the older the car, the more unpredictable it gets. At some point, you may realize that you spent more on the maintenance than the ride was actually worth.