Home » spend money

5 Tips Green Arrow Can Use When Setting Spending Priorities

Green Arrow, once a billionaire, lost his entire fortune. On top of that, over time, he managed to lose sight of some of his important priorities, eventually having to turn himself over to the law after crossing a line or two.

Sometimes, it’s easy to lose site of our spending priorities. We, like Green Arrow, forget what we’re fighting for, and what we want. It’s important to set solid spending priorities, and then strive to stick with them. Otherwise, it’s too easy to spend money on things you don’t need — or even want — and end up in a poor financial situation. Here are 5 tips you can use to help you set spending priorities that work for you.

1. Know Yourself

Get to know yourself. Figure out what you like, and what you want out of life. Think about what you¬†want. Let’s be honest: Green Arrow started out as a Batman rip-off. You don’t want to make your life a rip-off of someone else’s. Don’t spend money on the same things everyone else is getting just because you think it might be cool. Instead, take the time to get to know yourself, and set your spending priorities based on your own needs and wants.

2. Figure Out What’s Important to You

Green Arrow found it important to crusade to help the less fortunate and fight the injustices he saw at street level. His spending priorities (if he had any money left) would probably focus on philanthropic works. Think about what’s important to you, from giving to charity, to saving for retirement, to going on vacation. Also, acknowledge what’s not important to you. There’s no point on spending money on a cable package if you rarely watch TV. Cut out the things in your life that aren’t that important to you.

3. Identify Your Obligations

Next, you need to identify your obligations. Do you have mortgage payments to make? Are you in debt? Do you need to buy school supplies for your children? Look at the financial obligations you have in your life. These are items that should be spending priorities — even if you find them somewhat cumbersome. Figure out what you need to pay off, and make your obligations priorities. If possible, you can work toward re-arranging your life and your spending so that, eventually, you discharge most of your obligations, and can focus on what’s truly important to you. But your obligations, no matter how onerous, need to be priorities.

4. Determine, Realistically, What You Can Spend Your Money On

When setting spending priorities, you have to be realistic. If you truly enjoy travel, and going to new places is important to you, it’s vital to recognize that, unless you’re as rich a Oliver Queen before he lost his billions, you can’t take a trip each month. Look at what’s important to you, and consider, realistically, what you can spend. Instead of expecting to take a trip every month, you can set aside a certain amount of money each month so that it adds up to more later; you can use that money to go on a trip. Be realistic. You can create a plan to make more money down the road, and work toward financial freedom. But you do need to avoid fantasizing your finances.

5. Acknowledge Your Time Frame

Finally, as you set your priorities, you need to acknowledge the time frames involved. If you won’t retire for another 20 years, you don’t need to try to have your nest egg completely built up in the next two years. You can arrange your spending so that the important items that occur sooner are taken care of first, while you work on long-term spending priorities in the background.

As you set your spending priorities, you will find that you are able to find clarity with your finances. Choices become easier to make. Remember your priorities, and spend according to what’s important. Cut out what isn’t as important, and you will feel a greater sense of contentment with your money, and with your choices.