Reward Yourself Without Hurting Your Financial Goals

Reward Yourself Without Hurting Your Financial Goals
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We've all been there – the urge to treat ourselves after a demanding week, whether it's a serene spa day or a shopping spree. Who wouldn’t want something to brighten their day? However, it's crucial to recognise that while these occasional splurges can provide an instant mood lift, they might have a lasting impact on our financial well-being.

But that shouldn't stop you from enjoying a well-deserved treat, provided it's approached mindfully with consideration for your long-term financial well-being. 

Why you should reward yourself?

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While saving money and investing are keys to a great financial future, it doesn’t mean you should never spend money on yourself and enjoy the journey along the way. These little celebrations act as fuel for your motivation and self-worth, which are key elements of overall well-being and happiness.

Read also: How to Boost Savings with Your EPF Account? 

4 benefits of self-rewards

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Treating yourself comes with a range of benefits, such as:


1. Energy boost

Something as simple as taking a day off from work and doing something unrelated to work will help increase your energy levels.

2. Motivation

Treating yourself to a movie night or indulging in your favourite dessert upon achieving milestones serves as an effective incentive for staying focused and dedicated.

3. Elevates self-esteem

Prioritising yourself every now and then not only boosts your self-esteem, but also gives you the confidence to be in control and make better decisions. 

4. Happiness boost

Pampering yourself with self-compassion is likely to elevate your overall happiness, contributing to a more fulfilling life. After all, as the saying goes, you only live once or YOLO, and you should be able to enjoy the finer things in life every now and then. Nevertheless, it’s crucial not to overindulge, risking overspending and falling into the trap of instant gratification that might lead to financial strain.

How much of your budget should you allocate for self-care?

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Allocating too little might mean depriving yourself of the self-care you deserve, while going overboard could strain your finances, potentially resulting in overspending or debt. You’ve probably heard of the Rule of Thumb method for budgeting, which recommends allotting 45% for necessities, 35% for commitments and 20% for savings. 

When it comes to self-care, it's advisable to limit it to a fraction of your savings, ideally around 5%. It’s important to ensure that your self-care habits don’t negatively affect your finances, so setting a realistic monthly budget for these occasional treats would be wise.

Creating and following a budget not only provides valuable insights into the ideal portion of your budget to allocate for personal spending, including self-rewards, but also enables meticulous tracking of your monthly expenses. This ensures occasional self-treats without burdening your finances.

For efficient budgeting, the Belanjawanku app by EPF can assist in categorising and monitoring your monthly and yearly expenses, laying the foundation for a thoughtful approach to overall financial management.

You have the option to utilise estimates from the Belanjawanku guide or the Rule of Thumb method, depending on your preference, allowing for a comprehensive understanding of your financial standing.  

The key is to ensure that your self-care expenses don’t compromise other essential financial obligations and long-term financial planning. As long as you have an emergency fund, contributed to your retirement accounts, and paid for your essentials like rent, groceries, utilities, and debt payments, the rest can go towards self-care.  

Ready to take control of your finances? The Belanjawanku app is available for download on the Apple App Store , Google Play Store and Huawei App Gallery.  

But wait, treating yourself doesn’t have to cost money

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Even when you’re on a tight budget, treating yourself is still possible. Here are some ways to pamper yourself that don’t require much spending.

Take advantage of perks 

This could include utilising cashback rewards on your purchases, enjoying exclusive member discounts at your favourite stores, or making the most of free trials and complimentary services offered by different platforms.


Find free entertainment

Unwind with a cosy evening at home, enjoying a soothing bubble bath accompanied by the smell of scented candles and slow music. This simple yet indulgent experience allows you to destress without spending money, offering a peaceful retreat within the comfort of your own home.


Focus on the enjoyment

Find joy in simple pleasures like reading your favourite book with a hot cup of tea or taking a peaceful walk in the park. By focusing on these simple joys that don't require spending, you can cultivate a sense of contentment and relaxation, allowing yourself to fully appreciate the present moment without the strain of financial concerns. 

Knowing when to spend a little to spoil yourself and when to scale back is essential for keeping your mind – and wallet – happy and healthy. After all, securing financial freedom might just be the ultimate form of self-care.