Does Paying With Cash Make Us Spend Differently?This post may contain affiliate links. Please see my disclosure policy for more details.
“You spend more when you pay with plastic.” It’s a statement that I’ve heard quite often, and is perfect for today’s conversation of whether paying with cash makes us spend differently.
I’ll be the first to admit that I pay with my card most of the time; it’s just easier. But a few days ago, I found myself with the option to pay with cash or my card…
I was on my way to grab a meal at a fast food restaurant. I placed my order and then reached into my purse for payment. I always have my card, but this time I also had cash. That’s when the quagmire began. I wrestled for a few minutes (okay, it was probably only a few seconds) and finally decided to pay with my card. After all, I didn’t want to give up my cash.
Maybe it’s just me, but when I have a $20 bill, I’m very protective of what I’m going to spend it on. If it’s an item that’s only $1, I’m definitely not breaking my $20 bill because it’s not worth it. Please tell me that someone else relates with me!?!
Have you ever shopped with cash at the grocery store? I’ve been there and I can promise you that you’ll definitely think twice about what you put in your buggy! Even when following a budget, it’s much easier to pay with cards over cash. There’s always a bit of wiggle room when paying with your card, but not with cash. I can only imagine how utterly embarrassing it would be to not having enough cash at the register (especially knowing that you would have had enough if you’d paid with your card).
If you’ve never shopped with cash, I highly encourage you to give it shot. I guarantee you’ll spend your hard earned money a lot differently and will think twice about what you purchase.
What are your thoughts? Do you think paying with cash makes us spend differently?