Emotional Spending: What it is and How to Avoid it 

Ever bought a $60 candle an hour after a breakup? Or dropped half your paycheck on “treat yourself” clothes when life got stressful? That’s emotional spending, and it’s sneakier than you think. Sure, a little retail therapy can feel like self-care, but when emotional buying becomes your go-to coping mechanism, your budget takes the hit.

For Mental Health Awareness Month, we’re talking about what really happens when your feelings start swiping your card — and how to help get spending under control (and stick to your budget) without throwing your joy out the window.

The psychology behind emotional spending (a.k.a. retail therapy)

Emotions are powerful. And when they’re in the driver’s seat, they can steer us straight into the checkout lane. Spending triggers like stress, sadness, boredom, and even celebration can lead to emotional purchases: those buys that feel good in the moment but leave you wondering: Why did I just do that?

Blame dopamine. That quick hit of pleasure from buying something new creates a temporary high. But like any sugar rush, it crashes fast. That’s how emotional buying becomes a pattern. You feel bad → you shop → you feel better (for a second) → your bank account screams → you feel bad again. Rinse, repeat.

According to the American Psychological Association, people under stress are more likely to engage in impulse buying to avoid negative feelings. Translation: it’s not about the stuff; it’s about filling a psychological need.

How impulse buying impacts your finances

Here’s the hard truth: stress spending is a short-term fix with long-term consequences.

In the short term, it can wreck your budget and rack up credit card debt. Suddenly, that “just one thing” becomes an overdraft alert or a balance you can’t pay off.

In the long run, those little emotional purchases add up. You dip into your savings, delay your goals, and trigger even more financial stress — which, yep, leads to more emotional spending. It’s a cycle.

How to curb emotional spending

Ready to break the cycle, recognize the signs of emotional spending, and get more intentional about each swipe? These strategies will help you slow your roll without going full no-spend hermit. If you’re stressed about how to stop impulse buying, remember: the key is progress, not perfection.

👉 Create a “cooling off” period before purchases

Before you buy anything over a certain amount (say, $25), wait 24 hours. Give your brain time to chill.

👉 Budget specifically for “feel-good” spending

You’re not a robot. Build in a “joy fund” so you can still indulge without blowing your whole budget.

👉 Look for an accountability buddy

Text a friend before you buy. Say what you’re planning to purchase and why, and let them talk you down if it’s more stress than self-care. Bonus points if they can be a budgeting buddy too, and help you redirect your spending to saving (but in a fun way). 

👉 Find cost-free emotional outlets

Walks. Journaling. Free YouTube meditations. Call your cousin. Literally anything but hitting “add to cart.”

👉 Unsubscribe from marketing emails and shopping apps

Marketers know your weaknesses. Don’t give them access. 

👉 Consider your long-term financial goals

Print them out. Make them your phone background. Remind yourself what you actually want, and don’t let short-term temptations take your eyes off the long game. That’s key to know when you’re wondering how to stop retail therapy for good (not just for a week).

Get Control of Emotional Spending

There’s no shame in emotional spending; we’ve all been there. But the more aware you are of your spending triggers, the easier it becomes to learn how to stop emotional spending and make mindful choices instead of impulse buys.

So, this Mental Health Awareness Month and beyond, skip the temporary high and go for something that lasts: clarity, control, and the kind of confidence that doesn’t come in a shipping box.

Your Top Insights

FAQs 

What does emotional spending mean?

Emotional spending is when you make purchases driven by feelings rather than actual need — often as a way to cope with stress, boredom, sadness, or even excitement.

Why do people make emotional purchases?

Because spending can deliver a quick mood boost. But the good vibes are temporary, while the financial consequences can stick around.

What is an example of an emotional purchase?

Ordering $80 worth of takeout after a bad day, buying clothes you don’t need during a breakup, or shopping online when you’re bored — all are common emotional purchases.