Be Aware of "Mental Accounting" When You Save Money on a Purchase
Lets say you found a deal on a new laptop youve been planning to buy and save $100. Its human nature to tell yourself you now have an extra $100 to spend as you wish. Its called mental accounting, and it can make you spend money you otherwise wouldnt have spent. The Motley Fool explains: The reason comes down to what behavioral finance researchers call mental accounting. As the Fool says: the money isnt actually free, but it feels free....