Many Americans turn to shopping as a form of “retail therapy” to cope with stress, but this can lead to financial damage. 50% of millennials admit that emotional spending has hurt their financial well-being, along with 49% of Gen Zers and 44% of all age groups. It’s important to find healthier outlets for stress and manage finances wisely.

Building an emergency fund is crucial, but for those prone to emotional spending, creating a secondary “spending fund” may help prevent financial damage. Waiting 24 hours before making a purchase over a certain amount can also help diffuse impulse buys, giving time to reconsider the necessity of the item.

With targeted ads bombarding consumers daily, it’s important to detach from the marketing system. Unsubscribing from mailing lists, avoiding shopping sites, and finding alternative stress outlets can help resist the temptation to impulse shop and regain control over finances. Automatic transfers to savings can also prevent impulsive spending by setting money aside before bills and discretionary items are paid.

In today’s economy, high interest rates and inflation are pushing household budgets to the limit, leading to emotional spending as a coping mechanism. However, giving in to impulse buys only worsens the financial situation. By following these tips and breaking the habit of emotional spending, individuals can reclaim control over their finances and avoid further damage.

Read more at Yahoo Finance: 5 Ways To Get Back on Track