Am I spending too much?

Ever looked at your bank balance and wondered ‘where did all my money go?’. If so, you’re not alone. Many of us have spending habits we don’t think twice about until things start to feel a bit tight.

This isn’t about finger-pointing or guilt. It’s about understanding your relationship with money and how small, unnoticed habits could be making life harder than it needs to be.

Let’s take a closer look at how to know if your spending is too high, what may be triggering your habits, and how you can start making smarter, more sustainable choices.

What does spending too much actually look like?

It’s easy to assume spending too much money means big purchases – designer clothes, expensive tech, lavish holidays. But in reality, overspending is often more subtle.

It could be a daily takeaway coffee that adds up over the month. It might be subscriptions you’ve forgotten about, or those ‘treat yourself’ moments that happen a little too often.

Here are a few signs your spending might be creeping too high:

• You’re often counting down to payday, even if your income should cover your essentials
• You avoid checking your bank balance
• You rely on credit cards or overdrafts to get through the month
• You’re making minimum payments but your debts aren’t going down
• You feel regret or guilt after buying something.

If any of these sound familiar, you could be dealing with overspending habits without even realising it.

Why we spend more than we mean to

Before jumping into solutions, it helps to understand why overspending happens in the first place. And often, it’s less about the money itself and more about what’s going on in the background.

1. Emotional triggers

Ever found yourself scrolling through shopping apps after a bad day? Or buying something to ‘celebrate’ even when you don’t really need it? That’s emotional spending, and it’s more common than you think. Whether it’s boredom, stress, or even just habit, emotions can quietly drive our decisions.

2. Social pressure

From social media to catch-ups with friends, it’s easy to feel like you have to keep up. Nights out, new clothes, latest gadgets – it all adds up. And sometimes, we spend to fit in, not because we actually want or need to.

3. Lack of visibility

If you’re not tracking what’s going in and out of your account, overspending can sneak up on you. Contactless cards and one-click purchases make it easier than ever to lose track.

4. Buy now, worry later

From pay in 3 options to easy overdraft extensions, modern finance tools can offer temporary breathing room. But they can also encourage you to live beyond your means and put off the reality of what you can actually afford.

How do I know if my spending is too high?

Everyone’s situation is different but a good starting point is to look at your income compared to your outgoings. If your essentials (rent, bills, food, transport) take up most of your income and you’re still struggling, it might be time to take a closer look.

Ask yourself:

• Are my spending choices helping or hindering my financial goals?
• Am I using credit or buy-now-pay-later schemes regularly?
• Could I comfortably cover an emergency expense?
• Have I ever felt anxious after checking my balance?

If your answers raise red flags, you’re not alone but it might be time to make a change.

Small steps to regain control

Recognising that your spending habits need attention is a big first step. From here, small changes can lead to big results.

1. Track everything for 30 days

Write down every penny you spend – yes, every one. Whether it’s a train ticket, meal deal or digital subscription, it all counts. After a month, you’ll start to see patterns. Maybe weekday lunches add up more than you thought. Or your ‘occasional’ coffee habit is actually daily.

2. Identify your non-negotiables

What do you genuinely need each month? Start by working out your essentials – rent or mortgage, food, transport, bills. From there, you’ll get a clearer picture of what’s left for non-essentials.

3. Separate wants from needs

There’s nothing wrong with spending on things that bring you joy. But if those expenses are getting in the way of paying for the basics, it’s worth taking stock. Try asking: ‘Do I need this now or am I just trying to feel better?’

4. Set boundaries with your money

Create a spending limit for things like eating out, clothing or hobbies and stick to it. You can use budgeting apps to track your spending in real-time or try our disposable income calculator to see how much you have left for non-essentials every month. 

Spotting your spending triggers

Understanding what leads to overspending is key to breaking the habit. For some, it’s emotional, such as shopping to lift a low mood. For others, it’s situational – payday buzz, boredom scrolling, peer pressure.

Try noting how you feel when you spend. Were you tired? Lonely? Celebrating something? Over time, you’ll build a clearer picture of your personal triggers.

Getting support when it’s needed

Many people don’t realise they’re overspending until things feel out of control. But recognising the signs, reflecting on your habits, and making small, consistent changes can set you back on the right track.

No one gets everything right with money all the time. What matters most is what you do next. A debt adviser can help you find a plan that works for you. You can get free debt advice from MoneyHelper.

Or, speak to an adviser at MoneyPlus. We’ve spent over 25 years helping people get to grips with their finances and can offer confidential, non-judgmental advice to help you find a way forward that works for you.