We all have wants and needs, but it can be hard to tell the difference between the two. Wants are things we desire and would like to have, but don’t necessarily need to survive. Needs, on the other hand, are essential for our survival. Knowing how to differentiate between our wants and needs is a critical life skill that can help us make better decisions about our finances and overall well-being. In this article, we’ll explore 5 tips for telling the difference between wants vs needs.
What are wants and needs?
Before we dive into the 5 tips, it’s important to understand the difference between wants and needs. Wants are non-essential items that we may desire, but don’t necessarily need to survive. For example, wanting a new car or a bigger house would be considered a want. On the other hand, needs are essential items that we require in order to survive. These include things like food, shelter, clothing, and healthcare.
5 tips for telling the difference between wants and needs
Now that we understand the difference between wants and needs, let’s look at five tips for telling them apart.
1. Make a list of what you need
The first tip for telling the difference between wants and needs is to make a list of what you need. This will help you to prioritize your needs and determine what you can do without. Start by making a list of all the things you need to survive, such as food, shelter, clothing, and healthcare. Then, make a list of things you would like to have, but don’t necessarily need. This will help you to distinguish between your wants and needs.
2. Prioritize your needs
Once you’ve made a list of your needs and wants, it’s time to prioritize your needs. This will help you to determine which needs should take precedence over others. For example, if you have limited funds, you may need to prioritize essential items like food and shelter over other items. This will help you ensure that your basic needs are met before you start spending money on things you don’t necessarily need.
3. Determine what you can do without
The third tip for telling the difference between wants and needs is to determine what you can do without. This will help you to identify items that you may want, but don’t necessarily need. For example, if you’re on a tight budget, you may be able to do without a new car or a larger house. This will help you to prioritize your needs and save money for other essential items.
4. Don’t be influenced by comparisons
It can be easy to get caught up in comparing ourselves to others. We may want the same things that others have, but it’s important to remember that we all have different needs and wants. It’s important to focus on our own needs and recognize that what works for someone else may not work for us. This will help us make decisions that are best for ourselves and our family.
5. Ask yourself: “Is it necessary?”
The fifth and final tip for telling the difference between wants and needs is to ask yourself if it’s necessary. This will help you determine whether the item is something you need or something you just want. For example, if you’re considering buying something new, ask yourself if it’s necessary for your survival. If not, it may be a want and not a need.
Conclusion
Knowing the difference between wants and needs is a critical life skill that can help us make better decisions about our finances and overall well-being. By following the five tips outlined in this blog article, you’ll be well-equipped to distinguish between your wants and needs. Whether you use a wants vs. needs worksheet or create your own, you’ll be able to prioritize your needs and make better decisions about where to spend your money.
