You’re standing in line with your favorite snack, a cute top, and the newest phone case. You’ve got money in your pocket—but do you really need all of it? The truth is every dollar you spend is a choice—and learning to tell the difference between a need and a want could be the key to unlocking the life you really want.
Needs vs. Wants – Making Smart Choices from the Money Matters blog series. If you’re starting your journey with Financial Literacy, this lesson will help you develop a mindset that builds savings, reduces regret, and boosts your confidence. Let’s break it down.
Why Every Spending Decision Matters
It’s not about never buying what you love, it’s about prioritizing what matters most. When you learn to pause and ask, “Is this a need or a want?” you start spending with purpose, not on impulse.
Real-Life Example:
Sierra, 16, used to buy fast food every day after school. When she started tracking her spending with the Think True Cost App, she realized she was spending over $80/month on snacks. She cut that down to $30 and now saves $50 a month toward her dream camera. Her mindset shifted from “I want it now” to “I want something bigger.”
What Are Needs? The Non-Negotiables
Needs are the essentials—the things you can’t function without. Examples include:
- Food and water
- Rent or a safe place to live
- School supplies and materials
- Transportation to school or work
- Basic clothes and hygiene items
Before you spend on anything else, make sure these are covered. They form the foundation of your financial health.
What Are Wants? The Nice-to-Haves
Wants aren’t bad—but they can distract you from your goals if you’re not careful. Examples of wants include:
- Fast food and takeout
- Trendy clothes or brand-name items
- Entertainment apps and subscriptions
- New gadgets and accessories
- Movie tickets, video games, concerts
You don’t need to cut these out completely. The goal is to balance them, so your essentials are always taken care of first.
Mini Tool – Needs vs. Wants Checklist
Before you spend, use this simple list to decide where your money should go:
| Item | Need or Want? | Why? |
| Phone bill | Need | Helps you stay connected |
| New hoodie | Want | Not essential right now |
| School notebook | Need | Required for your classes |
| Concert ticket | Want | Fun, but not necessary |
Tip: Make a List, Label Every Item
When you’re planning to shop, whether online or in-store—make a list first. Then label each item as either a “Need” or “Want.” This keeps you from overspending based on emotions or peer pressure.
Testimonial: Smart Choices, Real Results
“I used to spend my whole paycheck the day I got it,” says Mya, 17. “But once I started using the Think True Cost App and listing my needs first, I started saving without even trying. I still treat myself—but I do it with a plan.”
Final Word: Needs First, Wants Later
This isn’t about saying “no” to everything fun. It’s about saying “yes” to the right things, at the right time. When your needs are met, your wants feel even more rewarding—because you earned them the smart way.
Ready to Spend Smarter and Save Stronger?
✅ Visit www.thinktruecost.com for articles and money tips
✅ Download the book Money Matters on Amazon to upgrade your financial education
✅ Get the Think True Cost App on the Apple or Google App Store—the best money management app for those persons who want to take charge of their money
You don’t need to be perfect—just intentional. Because when you understand your spending, you take control of your future.
