We don’t talk enough about the negative effects peer pressure can have on our finance. Peer pressure can push you to do a lot of things you wouldn’t want to do in the first place. We find peer pressure in the workplace, school, and even in the church. Everybody wants to keep up a certain standard to belong which in the long run can affect every area of our lives. We admit that peer pressure is inevitable but how can we make sure it doesn’t take a toll on us, especially on our finances.

Let your budget be your spending guide:

We can’t say this enough, having a budget will always save you from unplanned expenses. Not even your friends can push you to spend more than you bargained for. The truth is that having a budget is a sort of accountability check. That is, when you decide to go overboard, your budget will put you to order. One hack I always love to do is budgeting every single piece of money I have. That way I don’t have extra money to throw around and when I’m tempted to do otherwise, I remember that every money is doing something for me. Another way to balance it up is to set aside some money in your budget for friends or outings. This way you don’t feel guilty that you’re not being involved in friends’ activities.

Be in control:

I believe nobody should tell you how to spend your money. You worked for it and so you should be in control. Track your expenses and know where your money is going. Be involved in telling your money where to go and not wondering where it went. Review your financial goals and expenses as often as possible to better know how you can improve your financial habits.

Establish boundaries financial boundaries with friends:

People are usually reluctant to talk about their financial status with friends. It’s okay to explain your financial capabilities to your friends so that they know your limit. Being open about your financial capabilities saves you stress in the long run. However, telling them your limit does not mean you won’t still have fun with friends. You can still have fun with them on a budget but the only difference is that they now know what you can do and what you cannot do.

It’s okay to say no:

There are some people that are afraid to say no. Saying no is not the end of the world. If you cannot afford something or keep to a certain standard, you can opt-out politely. When you don’t have a mind of your own, you will continue to say yes even to your financial detriment. Just like I read somewhere, no is a complete sentence that doesn’t need any further explanation especially when it comes to money. It’s important to live within your means.

Take-home points

Don’t live your life based on the standards of others. It’s okay if you are not able to do certain things but don’t try to outdo yourself because you might regret it in the long run.