Many people struggle with the decision of when to save and when to splurge. If you find yourself at a standstill often when trying to make this decision, there are a number of key factors to take into consideration. Yes, you can splurge every so often, but this depends on when and how often you save.

The costs of your daily life can be expensive. This becomes doubly true if you have a family to take care of. This means in order to have money for the extras (like that special hobo bag) you have to save on your day-to-day expenses. This means clipping coupons and seeing what’s on sale at the grocery store.

There is a way that that you can afford the extras, and that is by saving on your daily expenses. Cut costs in the simple ways. Before you know it, these pennies will turn into dollars! Once you have saved enough money for your designer purse, it is only a matter of deciding between hobo bags. Take the time to do your research, in order to find a purse that matches your wants and needs (this is applicable to all special buys).

Consider your partner before making any type of big financial purchase. Being part of a serious relationship, such as marriage, means that your finances are probably intertwined as well. When you are the one responsible for the finances, you are also responsible for consulting on big ticket items such as an expensive jewelry set.

Struggling with high interest debt can hinder your ability to splurge with a free conscience. This means that if you are in debt you need to get out of it before you consider splurging on anything. Debt is not your friend, and it will hinder your road to freedom. This is why getting out of debt should be your first priority.

On the other hand, if you are not in debt, that’s great news! Now, keep yourself on the debt free track. Do not splurge on a big ticket item through financing when you can save a little longer and pay in cash for it. This means the expensive gadget you want can wait a little longer.

How is your savings pulse? If you aren’t in debt, and are saving on your living expenses strike a balance between saving for the things you want and other long-term savings plans. For instance, make sure you have a retirement plan. Keep some away to help your kids with college.

Whatever your goal, having money tucked away is important. Save on your regular purchases in order to have money for the extras you want. Research your intended purchase before making it and always be conscience when you are spending and saving your money.