TikTok trends can range from silly to downright bizarre. But considering that household debt has only increased over the past 20 years (it reached $17.8 trillion in the second quarter of 2024, according to data from the Federal Reserve Bank of New York), a current trend could be a welcome exercise for your wallet.
This year is called no-buy years. It can reduce impulse purchases, increase your budget and financial awareness, and help you save money. Here’s what you need to know about no-buy years and how to do them right.
What is a year without a purchase?
A “no-buy year” is a trend circulating on TikTok and YouTube in which people refrain from making unnecessary purchases for an entire year. The idea is to avoid excessive and impulsive spending, so you can save money along the way, provided you stick to the plan.
Despite the name, it is generally clear that there are exceptions here. After all, you have to spend money on necessary things like rent, utilities and food.
Four tips for a successful year without shopping
To prepare for a successful year without shopping, there are a few important steps you should take.
1. Check your impulse buying habits
Before you start a no-buy year, it’s important to be aware of what you usually spend money on, outside of necessities, especially if they’re more impulse purchases. This way, you’ll have an idea of how much money you can save, what can give you motivation to go on a no-buy year, and where your weaknesses lie.
2. Set your own rules
It’s important to set your personal goals and rules for what you want to get out of a no-buy year, and these should be realistic. For example, you might have entertainment expenses, such as a streaming subscription, that you don’t want to go without for a year. Or you might set a budget for things like birthday presents. You can also adjust your schedule and opt for a no-buy month or quarter instead, depending on your circumstances.
3. Check your progress regularly
A year is a long time to focus on your spending habits, and it’s likely that you’ll deviate from your own rules from time to time. Reviewing your progress regularly, such as every month, will help you make course corrections when needed and recognize your successes.
4. Make a plan for the money you save
Having a goal to save money by reducing impulse purchases is great. But you also need to know what you want to do with the money when you start a no-buy year. That means having a plan for where the money will go, such as paying off debt. You could also plan to put money into a high-interest savings account.
Impulse buying can be a difficult habit to break, but with some planning, you can change your spending mindset and save money in the process.
