Anyone sick of Charlie Sheen yet? I’ve watched with amazement at the media blitz on this troubled actor and at the rate that everyone, EVERYONE seems to be talking about it. I’ve got to admit it made me wonder, when did we embrace the crazy and forget common sense? Is following Charlie Sheen’s troubles as important as following the on-going struggle of so many Americans to put their financial lives together again? Of course not, but it can be a tantalizing distraction. Far too often that same attitude, giving in to the tempting impulse or distraction of the moment, has become a real problem when it comes to many people’s finances.
We need to turn away from the trend toward rash and impulsive buying that is evident in everything from small impulse purchases to buying expensive upgrades and a penchant for so-called retail therapy. Do it by taking a few minutes to write a prioritized shopping list of all the items you want, both large and small. When shopping, an impulse to purchase items not on the list should be considered a red flag and strictly avoided. Sleep on any decision before making a purchase. If you still want the item in the morning, look at your priority list and decide what you are willing to trade for it. It’s a simple, common sense approach that works as an antidote to this destructive tendency.
Let’s take this opportunity to turn away from bad habits and back to common sense. That’s one of the reasons I wrote Money Smart: to give hard working people some time-tested, common sense guidance on everything from spending to investing and creating financial freedom. Will we the American public always be fascinated by a celebrity meltdown? Probably, but we can also resist tempting distractions and embrace common sense to straighten out our financial lives.