In contemporary America, stress levels are alarmingly high. Over seventy-five percent of adults express concern about the country’s future, while a significant portion also frets about the overall economy. This anxiety is hardly surprising; although there are positive indicators at the national economic level, many individuals are struggling financially. Even those earning six-figure salaries find themselves living paycheck to paycheck and feeling the pressure of making ends meet.

Consequently, an increasing number of individuals are turning to therapy and other mental health resources for relief. However, many are also resorting to less constructive methods of coping. The term “doomscrolling” has been swiftly joined by “doom spending,” and a recent survey reveals that 27% of Americans admit to spending as a way to manage stress and emotional struggles. This tendency poses serious financial risks.

Identifying Doom Spending

While the concept of “retail therapy” is not exactly new—shopping as a coping mechanism has existed for ages—doom spending stands apart. Traditional retail therapy usually follows a negative experience, providing a fleeting sense of pleasure and a distraction from immediate woes.

Doom spending, by contrast, arises from a profound sense of impending crisis. Unlike the temporary relief sought after a rough day or a tough breakup, this pattern continues to spiral due to a persistent outlook of uncertainty about the future. Signs that you may be engaging in doom spending instead of casual retail therapy include the following:

• Cyclical Behavior: It manifests not as a singular splurge but as a recurring pattern of spending.

• YOLO Mindset: If there’s little motivation to manage finances more prudently, you may be doom spending. Research indicates that many younger Americans are reluctant to set long-term financial goals, feeling that the future looks grim. When life feels bleak, it’s tempting to indulge in present-day pleasures, thinking that tomorrow may not offer similar opportunities.

• Vague Triggers: Traditional retail therapy is usually linked to a specific event. However, doom spending is often spurred by unsettling feelings about what lies ahead. If you struggle to articulate why you spent extravagantly yesterday yet felt momentarily better, it’s a sign you might be caught in the doom spending trap.

Shopping has never been easier, and the allure of immediate gratification further fuels doom spending, contributing to a cycle of financial distress. Almost half of American adults carry credit card debt month after month, creating a vicious loop where anxiety surrounding money encourages more spending, leading to even greater anxiety.

Breaking Free from Doom Spending

For those using doom spending as an escape from distressing realities, it’s crucial to recognize the ramifications for financial stability. The accumulation of debt can have long-lasting repercussions, and the fleeting satisfaction it provides is often followed by guilt and anxiety about unresolved issues.

The path to breaking the doom spending cycle involves understanding that the issue is not solely about financial management; it is fundamentally linked to emotional well-being. For those who find shopping a source of comfort during tough times, here are several practical strategies to escape the doom spending spiral:

• Tackle Emotional Health Challenges: Reflect on what prompts your urge to indulge in spending sprees. If anxiety about the future is the driving force, channeling funds into savings could alleviate some worry by providing a safety net. Limiting exposure to distressing news on social media may also help break the cycle of anxiety. Additionally, seeking professional help or allowing oneself to process emotions can be beneficial.

• Create Obstacles: Doom spending thrives on immediate gratification. Instead, adopting a Slow Shopping approach can provide essential time to calm impulses before making purchases. Setting practical limits, such as using cash or a prepaid card for shopping, can also help. Moreover, deleting saved payment information can necessitate additional steps before purchasing, allowing for a moment of reflection.

• Implement Spending Alerts: Utilize banking apps that send notifications whenever purchases occur. While often used for account security, these alerts can serve as a self-regulation tool. Receiving constant updates on spending can disrupt mindless purchasing habits and help diminish the fleeting pleasure associated with doom spending.

It’s a certainty that life will always present challenges to worry about, and financial resources are finite. Prioritizing the cessation of doom spending could pave the way for a brighter financial future.