If you’re planning a major purchase in 2024, it’s much smarter if you budget for it and pay for it in cash instead of putting it on plastic. When you charge something on your credit card, there’s always a chance that you won’t make the headway on your newly incurred debt like you thought you would. In other words, you might end up caught in a perpetual cycle of interest if you can only afford to make minimum payments on your debt.
See: 13 Things To Stop Buying in 2024
Discover: 6 Genius Things All Wealthy People Do With Their Money
Here are seven big buys you should consider budgeting for in 2024.
Major Appliances
Whether you’re planning to buy a new refrigerator, range or a washer and dryer set, the price tag could easily be $1,000 or more. Decide how long you can wait before you buy the new appliance, and then save accordingly. For example, if you want to buy a new refrigerator within the next 12 months and it will cost $1,500, set aside $125-$150 per month until you have the money saved to buy it.
Sometimes, you need an appliance ASAP and can’t wait to budget the money for it. To avoid this situation, you might want to look into purchasing a home warranty, which will often cover the cost of replacement in the event it cannot be repaired.
Next: 4 Red Flags as You Check Your Bank Statements Every Month
Read: I’m a Frugal Shopper: 10 Items You’ll Always Find in My Pantry
Sponsored: Owe the IRS $10K or more? Schedule a FREE consultation to see if you qualify for tax relief.
Milestone Jewelry
Is there a future engagement or anniversary that you need to buy jewelry for? These milestone jewelry purchases can cost thousands, so start budgeting for it now.
According to The Knot’s 2023 Jewelry and Engagement Study, the average cost of an engagement ring is approximately $5,500, but over half of respondents spend between $1,000-$4,000. Marcilla Bailey, jeweler, said you should plan to budget around $1,000 for a wedding band, as reported by Brides magazine.
See: Rachel Cruze: 15 Things I Won’t Spend Money on in 2024
Home Gym
If you’re tired of waiting in line to use the machines at your local gym, a home gym could be a good investment. According to HomeAdvisor, the average cost of a home gym is $2,000.
If you can figure out how to exercise at home for a while using dumbbells, an exercise mat and resistance bands, that will give you time to save up for your own gym. Cancel your gym membership and put the monthly membership fee toward the cost of the home gym you want. Budget additional funds each month to save even faster.
Mattress
Sooner or later, everyone needs a new mattress. If you’re planning to buy a luxury model, you could spend $1,200 to $3,000 or more, depending on the size, brand and materials you choose. And because it’s unlikely that you have to run out and purchase a new mattress tomorrow, this is a big buy you can definitely make time to budget for.