Have you tried taking an honest assessment of your spending pattern in the last few months? If you have, you were probably surprised to discover that you are not as financially prudent as you might have thought. Perhaps you realised that you spend a substantial portion of your income on entertainment services and various subscriptions that you hardly ever use because you’re always busy at work. Or maybe you learned that those cups of seemingly inexpensive Kopi-C or bubble tea are actually making a bigger dent in your savings than you care to admit.

Whatever items you are knowingly or unknowingly splurging on, you most likely decided to cut back on low-value purchases and divert more of your funds to things that truly matter. After all, if you’ve come to read a guide such as this, you’re probably worried that you can’t afford to continue spending frivolously, especially while living in an expensive city like Singapore.

If you need help identifying areas in your where you probably need to spend more money on, however, this is also an article that is worth reading Here we’ll talk about five things that are actually worth investing in as they can impact your future, happiness, and overall well-being.

Education

Whether you are a fresh graduate looking for employment opportunities or a seasoned worker with a hefty salary, you need to continue learning and expanding your skills. Otherwise, you might find yourself unable to keep abreast of the paradigm shifts happening in your industry, and you might not be able to keep up with the professional competition.. Because of this reality, it makes good sense to spend money on continuing education.

If you already hold a position in your preferred industry, you may want to get a postgraduate degree to help advance your profession. It’s also an option to take certificate courses in Singapore to future-proof your career. Try looking into the SkillsFuture Series courses offered by the government in partnership with accredited institutions. Besides helping you upgrade your skills in emerging areas like data analytics, advanced manufacturing, digital media, and urban solutions, you can enjoy a subsidy of SGD 500 if you are a Singaporean citizen aged 25 and above through the SkillsFuture Credit program. Isn’t that a great deal?

Health Insurance

Although Singapore citizens and Permanent Residents have a basic health insurance plan from the government in the form of MediShield Life, you should know full well that the coverage is quite limited. That is why it is wise to spend money on an Integrated Shield Plan (IP) for your peace of mind.

With this optional health insurance coverage from a private insurer, you can be assured that you will have enough money for treatments should you suffer from a severe medical condition like cancer. Investing in an additional health policy can also protect your family from financial burden during challenging times, especially if you are the breadwinner. 

Mental Hygiene

Taking care of your mental health should always be your top priority as it significantly affects your mood, behaviour, emotions, and even your physical wellness. This means that achieving optimal mental health is crucial to your overall well-being. Moreover, it is practically impossible to achieve your life goals and be happy if you suffer from mental health issues. That said, spending money on mental hygiene should be a given as it is akin to investing in a promising future.

For starters, make an effort to live a balanced life. Although work is important, your life should not revolve around your career alone. Be wary of workplace burnout, which is alarmingly prevalent in Singapore. Learn to take breaks and enjoy life once in a while. Perhaps you can allocate a portion of your savings to pay for a dream vacation. Or maybe you can start an inexpensive hobby that can help you unwind and relax – something that you can look forward to after a stressful day at work.

Memories or Experiences

While it may sound like cliché, it is true that spending money on memorable experiences instead of material things can make you happier. Think about it. The feeling of buying the latest gadget or luxury item can be exciting, but the thrill often fades away after a while. On the contrary, when you spend money making memories, especially with your family, friends, and loved ones – the happiness often lasts a lifetime. This is on top of the stronger relationships you’ll  get to build by spending time with your loved ones.

So, instead of thinking about your next purchase, you may want to splurge more on meaningful activities that build warm memories like travelling with your family or going to a concert with your friends. You can also start small. Spending a day at a spa, skating at Pasir Ris, or kayaking at the Singapore river with friends are some budget-friendly yet exciting options you may want to try.

Charity

When was the last time you donated to your favourite charity? If it has been a while, you may want to make your donations more regular as they’re likely to contribute to your happiness and satisfaction in life. One study published in the journal Science revealed that people who spend their income on worthwhile charities experienced greater happiness than those who spend their earnings only on themselves.

Essentially, your financial support is also benefiting you in a meaningful way. Thus, you may want to focus your attention on helping others every time you get tempted to splurge on things you don’t really need. Be it a donation for helping sick children, caring for abandoned animals, or saving endangered ecosystems or wildlife, those dollars are sure to go a long way.

Hopefully, this piece inspired you to take a good look at your spending habits and answer some of the hard questions you might already be thinking about, like whether you’re spending on items that only bring momentary joy or if you’re actually investing in things that truly add value to your life. If it is the former, now is the time to make a few changes. Make a plan and commit to spending more on things that will impact your future and your general happiness.