Spending and Saving Tips: Avoid “Everest” Buying

When someone asked the famous English mountaineer George Leigh Mallory why he was going to try to climb Everest, he responded: “Because it is there.” Well, if you’re like most of my clients, you could probably respond the same when asked why you buy something. Do you really need it? Or are you buying it because “it’s there”? If you’re going to survive and thrive in the new economic age, you’re going to have to stop this “Everest” buying. From now on, simply wanting something isn’t sufficient reason to buy it; you must need it as well.

Believe me: I’m not an ascetic urging repentance and self-denial. I’m just suggesting a more thoughtful approach to spending. I’m willing to define “need” rather broadly, certainly encompassing more than just subsistence. Let me give you an example.

No one “needs” a magazine to survive. However, they can be informative and entertaining. I think it’s fine to buy a magazine…but only when you’ve finished reading all your other magazines. In other words, when you “need” a new magazine. Just because The New Yorker publishes an issue a week doesn’t mean you have to subscribe. And just because you spot a new issue on the newsstands doesn’t mean you have to buy it. Buy an issue only when you’re done with all the magazines piled on the floor in the bathroom and “need” a new one to read.

This same approach must be applied to all your purchases. Buy a new winter coat, or stereo, or briefcase, or whatever, only when your old one no longer fits, can no longer be cleaned, or is beyond repair. If you follow this strategy, the natural result will be savvy shopping and utilitarian buying.