Break Glass in case of DEALS

Today is Thanksgiving in America, which means ~~a chance to spend time with your closest loved ones~~ DEALS BABY DEALS.

I love a good deal.

I’ll watch interest rates and sales for years before buying a new car.

I’ll patiently wait months for the right kitchen table to show up on Facebook Marketplace.

I’ll even hold off on buying expensive groceries (like olive oil or allergy pills) until Kroger gives me a “Get $12 off when you buy $120 in a single transaction”.

But sales have a dark side too.

They often prompt people to spend more than they would have otherwise, purchase something they didn’t really need, or buy something earlier than anticipated.

And now that Black Friday sales kick off weeks before the actual day, it’s in our face like never before.

Thanks to e-commerce, there’s also no friction at all separating you from that sweet, new 65″ OLED Samsung 8K smart TV.

Our ~~ancestors~~ parents had to drive to 3 different stores, talk to a surly teenager to unlock a cabinet, wait in line, and write a check using pen and paper just to get a Nintendo 64.

With just 3 swipes of my thumb on a piece of magical glass that I walk around with in my pocket I can literally have a PS5 hand-delivered between 4am and 8am tomorrow morning thanks to Amazon.

Are sales great? Yes. Is it easier than ever to take advantage of them? Yes. Should you? Maybe.

Here are 5 questions to ask yourself before spending any money on Black Friday, Cyber Monday, or any other Hallmark holiday based on consumerism.

Consider this your holiday shopping season survival kit.

Did I already want this thing before I saw it on sale? If you’re only considering that new Ninja Air Fryer because you walked past it in Target and it’s 30% off, chances are you should skip it. Yes, you’re saving 30% if you buy it, but you’re also spending 70%.
Is there something else I want even more than this thing? There’s nothing wrong with a new couch for your apartment, but if what you really want is a house instead, reconsider your order of priorities.
Will I still want this thing in one month? What about in 10 years? All sorts of little trinkets and toys go on sale around the holidays. Chances are the novelty of them will wear off within a couple weeks and it will be forgotten about, donated, or thrown in the garbage.
Will this thing advance other goals I’m already working on in life? A new Apple Watch, ThermoFlask, or gym membership might perfectly fit with your habit of exercising more or your deeply held value of physical health. If so, buy it! But if you haven’t already established a habit or value, chances are good the thing won’t change you. Instead, work on the habit, and then buy the thing to advance it.
What’s the opportunity cost of buying this thing? A simple mental exercise is to compare what you are about to buy to your hourly wage or an investment you could make instead. For example, if you want to buy a new TV for $1,200 and you make $15 an hour, it’s useful to know you will need to work 80 hours to pay for it. Two full weeks. Considering time is finite, and you may want to do something besides work all day (like volunteer, read, or travel the country in an RV), you may decide it’s not worth it. Similarly, the opportunity cost of buying that $1,200 TV is the cost of NOT investing the money. Earning an average annual return of 8% means that $1,200 will be worth $12,000 in 30 years. You can’t delay buying everything just because you could invest the money instead, but there is a serious advantage in knowing these are the true costs of your purchases beyond just what they cost today.