Remember this picture? I took it in the summer of 2023 when we were traveling in Wisconsin (and I actually wrote a blog around it too). I still chuckle every time I think of it. But here we are again in the middle of Summer Sale season (on all things retail, not on a man!) so I thought I would pull it out and share it again to add a smile to your day.

Does It Make Sense Calculator

My reason for bringing it up is to think out loud about our decision-making around purchasing in general, during summer sale time or otherwise. I recently learned of a DIMS calculator (Does it Make Sense), originally designed for children to learn about how to “think before you spend.” As it turns out, it serves as a helpful process for making spending decisions for people of all ages! The person I learned about Does it Make Sense from also clarified that parents use it for their own purchase decisions after they have first used it with their children.

So let’s review some of the considerations used in the calculator to see if we are implementing any of these factors into our spending practices.

Define Total Cost

The first criterion is the cost, the total cost. So that should include the price plus tax plus any shipping plus any travel cost (did you drive to a store to buy the item). You may decide that anything you buy over a certain price warrants more consideration or what I call the “overnight test”. Do you need to sleep on it overnight before you make the purchase decision? How we feel emotionally today versus our frame of mind when we rethink the decision tomorrow (after sleeping on it overnight), can often help clarify many decisions.

Then reviewing how often the item will get used can be a good consideration as well. Is it a one-time-use purchase? Will it last for days, weeks, months? Can you extend its life to someone else or even sell it after you have finished using it? A cost per use is determined in the calculator.

Returning to the cost aspect for a minute, part of the decision to spend could also be based on whether that purchase will require other costs/expenses. Will you need to put more money into supplemental items needed to use this new thing? Or will it replace something else you’ve been using? Do you know the return policy in case you change your mind once you have it?

Experience vs. Item

I don’t know about you, but I tend to be an experience spender more so than a stuff/thing spender. I prefer memories and people interactions to physical items. So I was glad to see the Does it Make Sense calculator distinguishes a different decision process based on purchasing an item versus an experience.

It even helps you observe whether you may be learning a new skill in the process of the experience as well or if there is a trade-off of something else you may miss if attending this event you are considering. It’s all about the opportunity cost, which is actually an economic term that is hugely important to learn (in addition to delayed gratification!).

Reflect Your Values

A final aspect I really like about the calculator is that it asks you to consider whether this item accurately reflects who you are. You may have read that one way to understand someone’s values is to look at their calendar and spending (we used to say checkbook register, rarely used anymore). Does our time and our wallet reflect what we value? Do we think and say one thing but do and spend another way?

Share, Try, Buy

Anyway, I thought it could be fun to check out this calculator with your grandchildren, share it with your adult children who may have their own children, and see if it is also a helpful resource for yourself. And in the spirit of Summer Sale Season, I challenge you to use the calculator in considering my summer sale (50% off!) on tools that can help you get your financial house in order.

You can use a special code just for Mind, Money, Motion readers on my new Suddenly Single course too (the code is SS50). I bet whichever checklist, bundle, or course you look at, it will earn a high DIMS calculator score! Happy summer sale season!

Let’s Have a Discussion:

What spending or purchase habits have served you well? Do you have a dollar limit or other criteria like the “overnight test” that works for you? Any spending experiences you can share with our community? Does it Make Sense?