7 Surefire Signs That You're Spending Too Much ...

You can deny it all you want — but there are signs that you're spending too much money. Even if you earn enough, constantly shopping and spending money can have a tremendous impact on your financial future. It'll become harder to save for retirement, increase your credit score or survive a financial loss. But fortunately, there are ways to curb bad habits. Here are seven surefire signs that you're spending too much money.

1. You Don't Have Room in Your Closet

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If you don't have room in your closet, yet you're constantly shopping for new clothes, this is one of many signs that you're spending too much money. An even bigger sign is having several items in your closet with the price tags still attached. This indicates that you're buying stuff that you don't need.

2. You’re in the Hole Every Month

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If you earn enough to cover your bills, yet you're always short at the end of the month, chances are that you're spending too much money. To help you get on track, establish a budget. This is one way to know how much comes in, and how much goes out. With a budget, you can determine what to spend in each expense category, and it’ll be easier to track your spending throughout the month.

3. Your Credit Card Balances Are Increasing

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If your credit card balances increase month after month, you're probably spending too much money. Not only are you spending too much, but you're spending money that you don't have. Give your credit cards a break, and only use cash when you need to shop. And as you give your credit cards a break, start paying more than your minimums to pay down balances.

4. You Don't Have a Savings Account

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If you do not have a savings account, it will be much harder to pay for emergency car repairs, home repairs or deal with another financial crisis. But unfortunately, it's hard to save when you're spending every dime you have. Make saving a priority and deposit 10% of your paycheck into your savings account. Also, reduce your entertainment, recreation and shopping budget to free up cash each month. And whenever you get free money, put this into your savings account.

5. You Can't Turn down Invitations

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There is no rule that says you have to accept every invitation that comes your way. If you can't tell your friends no, you might spend a ton of money every weekend having fun. Give yourself a reasonable entertainment budget at the beginning of each month. Resolve to stay within this budget. And if you are invited to events, such as a birthday party, a bridal or baby shower, or a wedding, and you’re unable to afford a costly gift, there's nothing wrong with giving the recipient something inexpensive or just a card.

6. You Have Money-related Insomnia

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If you can't fall asleep at night because you're thinking about your finances, then you’re probably spending too much money. Put your mind at ease and come up with a plan to reduce spending and pay off debt. Even if you can't fix your problems overnight, having a plan in the works can boost your mood and give peace of mind.

7. You Hit the Mall when You're Sad

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The mall is the last place you need to go when you're feeling down or sad, especially if you have a spending problem. Think of other ways to lift your mood, such as going for a walk, calling a friend, reading a book or focusing on everything that's going right in your life.

Spending too much money can affect different areas of your life but if you recognize your mistakes and make changes today, you can enjoy a brighter financial future. What are other signs of overspending?

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