Sometimes sticker shock sets in after a purchase is made when the price tag doesn't reflect the true cost of an item. What initially looks like a bargain might ultimately turn into an expensive mistake. To spare yourself from post purchase sticker shock ask yourself a few key questions before making that purchase.
What are the immediate costs for the item? Are there shipping or handling fees involved or tax to consider? Free shipping may be available only on certain items. Amazon.com for example, offers free shipping for many orders over $25.00 but this offer does not necessarily include items sold by third party merchants who are selling their wares through amazon.com. Also be aware that online merchants charge tax just like brick and mortar stores do.
Does it come with everything you need? A frugal friend of mine thought she was getting a great deal on a laptop only to find out after she bought it that it didn't include commonly used programs like Word that are already programed into more expensive computers. Buying these programs brought her total cost up to the price of basic "non-bargain" laptop. Electronic items are notorious for needing batteries and an assortment of accessories. Do some research before whipping out your wallet.
What is the cost of maintaining the item? Is it a piece of equipment that will require routine maintenance and replacement of parts? Can the item be cleaned and maintained or will it have to be completly replaced once it is damaged or wears out? I once saw a care label in an evening dress that said "Do not hand wash, machine wash or dry clean". This dress was essentially designed to be worn only once then disposed of which is obviously a lot more expensive than the cost of a dress than has to be dry cleaned but can be worn again.
What is the total cost of the item after it is completely paid for? When you think of credit card debt in the abstract sense and don't think in terms of exactly how much individual items are really costing it's easier to delude yourself into thinking that you are getting a better deal than you really are. For example, if a $30.00 sale priced blouse is put on a credit card that charges 14% interest monthly and the charge for that one blouse stays on that credit card and doesn't get paid off for a year, after a year of paying 14% interest the actual cost for that blouse is $50.40.
Buying smart means paying attention to the real cost of things so you don't end up paying more than you should.
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