Money Monday!

Furgency noun

fur·​gen·​cy | \ ˈfər-jən(t)-sē

Definition: This is a term I use to describe False urgency which is the sudden and intense desire to make a financial move just because you now have cash to do it. 

Related:  furgent

Examples:

1. John and Jane used all of their inheritance due to furgency and conjured spending emergencies where they didn’t really exist.
2. When it came time to retire, the Johnsons were happy they were able to resist furgency throughout their lives. They balanced plenty of good life experiences while still socking away money for retirement
3. When Johnny was on the Amazon App, he found many ways to convince himself to buy a fancy and expensive ergonomic chair. After deciding to wait a day before purchasing, he realized the purchase was more furgent than urgent and could wait or not be purchased at all.

The antidote for furgency:

• If you start to sense a strong need to buy something, take a step back. Time may help you be honest with yourself, and evaluate the need for the purchase.
• Lindsay and I evaluate each major purchase to determine the trade-offs that may need to be made as a result of our decisions. For example, we would love to have a beach house one day. We would also like to do a lot of other things like remodel our master bathroom.  One of our bathroom renovation ideas is much more expensive than the other. We realize money spent on the project will delay our beach house purchase; which helps us determine whether or not it’s really that important.
• Keep an eye on scarcity. I find that people use scarcity to convince themselves that something must be bought immediately. For example, it’s easy to convince one’s self that a certain house is “the one”.  For anyone who has purchased a house, you may have experienced the “the one that got away” led you to a home with a better overall fit for you.
• Notice the retail therapy effect. Furgency can be a side effect of stress.  A little retail therapy isn’t bad all of the time, but keep in mind these key points as you evaluate your potential purchases.

 

 

 

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