MILWAUKEE (CBs 58) Local financial expert Tony Drake of Drake and Associates discussed the concept of "spaving," a combination of spending and saving, when he joined us on Wednesday, Aug. 28.
Spaving occurs when consumers believe they are saving money by taking advantage of deals but end up spending more than intended.
Examples of spaving include adding unnecessary items to online shopping carts to qualify for free shipping or buying multiples of an item due to promotional pricing. Drake noted that overspending in this way can strain household budgets, especially during periods of high inflation.
To manage expenses, Drake suggests consumers track spending, avoid unnecessary purchases and consider debt repayment strategies like the Avalanche or Snowball methods to tackle high-interest debt effectively.
Additional details can be found by contacting Drake and Associates online.