How to curb 'doom spending' in difficult times

None of us are unfamiliar to the idea of retail therapy. Our bank balance may be low, but we spend in the hopes that it will take away from our anxiety or sadness.

Doom spending is the new retail therapy

Enter doom spending. It is a financial behaviour where people make impulsive or excessive purchases as a way to cope with stress, uncertainty, or feelings of doom about the future, like during economic downturns, climate crises, or personal anxiety.

It's similar to doomscrolling, but instead of endlessly consuming bad news, you're spending money to feel better (temporarily) in the face of that negativity.

It happens to the best of us for a number of reasons. It could be a form of emotional escape from anxiety or lack of control. It acts as a short-term reward or dopamine hit to counter fear or sadness. Spending alse give us sense of preparedness, like buying things you might need

How to avoid doom spending:

1. Pause before purchasing

If you're on a website and you're adding products to your cart, try to give yourself a 24-hour rule. If you still want the item after a day, reassess whether it's a want or a need.

2. Track your spending triggers

Notice patterns that lead you to make random purchases which you end up regretting or not using. Are you more likely to spend when you’re anxious, lonely, or reading bad news? If so, try to take time away from triggers. Replace those habits with a comforting book, a walk, or even a light read on your Kindle.

3. Set intentional budgets

Build in a small “fun” or “comfort” budget. This allows controlled indulgence without guilt or excess. You can go over budget once in a while, but if it happens more often than not, you need to start being more mindful of your habits.

4. Limit exposure to temptation

Unsubscribe from marketing emails, mute shopping influencers, and delete shopping apps if needed.

6. Talk about it

If doom spending is causing financial stress, talk to a financial advisor or therapist. Emotional spending often masks deeper issues.

While doom spending might bring temporary emotional relief, it can lead to debt, financial stress, and lingering guilt if left unchecked. It's important to make mindful purchases instead of getting swept up in the urge to stockpile every possible item.