Ah, Ramadan! The month of fasting, prayer, and spiritual reflection. And let's not forget the month of discounts, sales, and promotions.It's a tricky time for our wallets, isn't it? But worry not, we’re here to share some tips on how to maintain good spending habits throughout the month.
First and foremost, let's talk about the elephant in the room –retail therapy. With all the discounts and promotions going on, it's easy to get carried away and buy things you don't really need — case in point,screenshot below taken from Instagram showing a popular beauty retail brand(ladies, you’re no stranger to Sephora) dangling Ramadan offers to scrollers.
Image credits:@sephoramiddleeast Instagram account
Remember that the essence of Ramadan is self-discipline and moderation. So, let's apply the same principle to our spending habits. Not to mention all the expensive iftar and suhoor outings!
Another way to maintain good spending habits during Ramadan is to set a budget for the household. Stick to that list and avoid impulse purchases.If you're not sure whether you really need that new TV that’s on sale, ask yourself this: does my family really need it? If the answer is no, put it back on the shelf.
Now, let's talk about the charity component of Ramadan. Giving to charity is an important part of the month, but it too needs to be budgeted into your overall household spend. Now, you don’t want to not give to charity because you’re worried about breaking the budget ceiling — instead, planahead and factor it in.
If you find that not planning for it this year means that contributing to the community will cause some disturbance at home finally,consider relocating expenses in the coming months to make up for it. You can also research different organizations and find the ones that align with your values. But also remember that it's okay to say no if you can't afford to give to every charity that comes your way — prioritize the requests based on a review of how much you can give. Remember that giving should come from the heart, not from obligation.
Finally, let's talk about Eid and the tradition of giving your teens and kids money. It's a fun tradition, but it can also teach kids bad spending habits if they don't learn how to manage their money properly— that is to say, they may not know what to do with all the cash they give in their hands all at once.
Therefore, instead of giving them money with no strings attached,consider setting up a system where they have to earn their money in the future by completing chores or doing good deeds. Or even still, issue them their Ediyah virtually through a prepayment card for kids so that they don’t get the added temptation of cash-at-hand (which we can offer through Bankiom payment app).
The other aspect is teaching them about budgeting and saving to reinforce financial literacy. Help them set a goal, such as saving up for a new toy or game, and encourage them to put aside a portion of their money each week until they reach their goal. You can do this during Ramadan, even ahead of Eid,so that they have a game plan come Eid day. This will teach them the value of delayed gratification and the importance of saving for the future.
In conclusion, maintaining good spending habits during Ramadan is all about self-discipline, moderation, and budgeting. Remember to make a list,set a budget, give to charity from the heart, and teach your kids about mindful spending and saving.