5 Whys or How to Stop Spending Too Much? 

How much do you spend on a regular shopping trip? Do you always follow the list and only buy what you really need? Are you sure? What if I tell you that there is a very cool technique, thanks to which you can make almost any decision, especially financial ones. It is even taught to the staff in global corporations so that they can produce solid choices, so be sure – it can help your budget!

And if you think that this technology is applicable only in large corporations, I will give an example of using it in personal or family finances!

Let’s imagine the following situation: you were planning to spend some money on a new fitness mat for your yoga classes, so you went to the mall to get one. And the first thing you saw – sales signs! So many sports goods for a reduced price were luring visitors’ attention, and people strive to buy skis, tents, or other inventory for almost half the price! But let’s talk statistics here: around 80% of those people will never use the gear they’ve bought. They just fell the victims of emotions and thought they would buy this now and start going for sports later, using this purchase as a motivation. But it is not how things work in real life. You first need to be motivated to do something and only then buy equipment for it. Yes, sometimes such decisions can be confusing, and it is hard to distinguish whether you really need a particular thing or not. And that’s where the 5 whys technique comes along.

Personal recommendation: try to use it not only for big spendings, like tech, sports equipment, etc. but even for groceries from time to time – it can help you to avoid buying unhealthy and unnecessary products that you don’t need and only buy because of impact or good marketing.

5 Whys Technique   

So, let me show you how the 5 whys can reduce your expenses, and to make it easier for you, I will use a simple example.

For instance, you also found yourself on sale, and now you are making a hard decision “to buy or not to buy” a new model of a fitness wristband. You think “yes” because you got such strong arguments like it has better functions than your current one, it is waterproof, the color is cool, and you worked hard to treat yourself, and so on and so force. And the major pro argument is a 50% discount! So, it looks like you must buy it, right? But you are asking yourself the wrong questions. Now try again with the 5 whys technique:     

• Why do you want to buy this fitness wristband?
• Because I want to stand out among my peers.
• Why do you want to stand out among your peers?
• Because I want to draw attention to myself.
• Why do you want to draw attention to yourself?
• Because I feel insecure when I am not in the center of attention.
• Why do you feel that way?
• Because I feel like not fitting in.
• Why do you want to fit in?
• Because I don’t feel like being myself is enough to have true friends.

And that’s not about a new fitness wristband, isn’t it? After all, you just strive to use new cool stuff to blend in among people you don’t even really like, so what’s the point? When you get to the 5th “why?” you will always find out the real problem. So better spend that money on something you will really enjoy, or even better – invest.

And to look from a positive point of view, let’s take another example. Go back to the same sports sale mentioned above and find a 50% discount on rollers. For instance, rollers lost half their price on sale, and thanks to coupons, you can pick them up even cheaper. Now, let’s see if 5 whys can lead you to buy those gorgeous rollers for several times lower than the market price:  

• Why do you want to purchase these rollers?
• Because I want to ride them.
• Why do you want to ride them?
• To return to physical form.
• Why do you want to get back in shape?
• To feel healthy and energetic.

So, as you can see, it took only 3 whys to ensure you want those rollers. You don’t need to go further with questions – you already got your answer! Getting to better shape and maintaining physical health is a powerful motivation, so you can be sure to use rollers, maybe even every day. That is why it won’t be a waste of money but a necessary purchase (and with a reduced price!).

I hope you catch the scheme – if you are not sure about the decision and don’t have extra money, then 4-5 why with weak answers will tell you that you should buy something else or it’s best to save this money.

This was one of the simplest techniques to help you make almost any financial decision and, most importantly, save your finances from spontaneous purchases.