What I Need vs What I Want

Written by: James Yeo

Image courtesy of blakeburris

Editor’s note: This is a guest post by James Yeo.

I recently came across this video which speaks about a diamond iPhone which is worth $190,000. On the same video, a surveyor showed a gold plated camera worth $2000. She then started off asking people in New York and the discussion were as followed:

“Hey, this gold-plated camera is worth $2000. Would you buy it?”

“Nah, why would I need a gold-plated camera?”

“Who do you think would buy it?”

“Perhaps celebrities such as Paris Hilton or people who just want to look fashionable.”

Do you need them? Or do you just want them?

Many times in our lives, we tend to mix “what we want” and “what we need” together. This post aims to help you to understand better on what are the things which are necessary, and what are those which are not.

John, a student studying in a local high school, walked past a bookshop, and decided to have a look inside. He saw many items which would satisfy his needs. However, John came from a poor family background and is unable to buy all the things that he needed for school. That day, he went home, looking for a solution. Such a scenario often sounds very familiar, especially to the people who loves shopping. Many of them would want to buy things, but some wouldn’t be able to tell what those they need are, and some end up splurging money on the wrong item.

I will now share a few pointers which many of us might be able to pick up that would help John, as well as us, and finding out which are those we need, and which are those we want.

3 Steps to planning your needs: Separating them to know what you need most

Planning is an essential part and parcel of our life. Many of us would have heard the quote that goes “If we fail to plan, we plan to fail”. But among these people, at least 50% would fail to plan. You might want to consider the following points when planning for your needs:

1. I want these things!

Sounds familiar? Most of us used this sentence at least once in our lives. However, when we say it out, have we ever thought of why we want them? Could it be because having such an item would allow you to add a plus in your collection? Or is it because we have a need with that particular item?

For a start, you could try to start planning by taking a piece of paper and dividing it into half (or you can use Microsoft Excel if you want to protect trees). On one side of the paper, write down what you really need. On the other, write what you want, but do not mind if you do not have it. After finishing your list of items, look through it all over again for at least two to three times. If there are things which do not seem to be on the right category, switch it accordingly.

Sorting out is a stepping stone to know your needs and your wants. Everyone knows what they want, but many are unable to tell unless they note it down on a paper and carefully choose them properly. The logical reason would probably be due to the fact that most of us are unable to figure out what we want until we really write it down and look at them carefully.

2. I need it now! “Later” can wait

Sorting out what we want and what we need sounds like it’s the end of the story. But, like a filter funnel, planning usually does not end at one point. It is more efficient if we put a time factor into our planning, and having it as a part of planning would usually allow you to find out those which are needed earlier, and those that could wait.

Therefore, when I was planning this, did I do it lightly? Or the things I plan, do I plan according to the flesh, that with me there should be Yes, Yes, and No, No? - 2 Corinthians 1:17, New King James Version

Concentrating on your needs, we could try to plan and see which is needed earlier, which could wait, which are those you must have, which are those you can safely say “It’s alright to get them later”. Once again, use a paper to write them down so as to make sure you know what you really need, and when you are due to get them done.

This planning sounds like the first, but when we look at it on a larger scale, financially this planning style would help because knowing what is needed firstly would allow you to save up for the item, instead of buying an item you need later, and having trouble at the present. This could result in unwanted consequences such detention as a lower range of problem, or bankruptcy as a more extreme end result. Thus, knowing what you need earlier is important so as to let you avoid receiving such problems in future.

3. I only want the good ones

Many times, with or without plans, we tend to look at quality by brands, and would spend our needs on brands rather than by requirement. By the time we reach our last item on our list of things to buy, we would had spent all of our budgeted amount set aside for our buying spree. The end result is not worth thinking, and thus, instead of getting ourselves trapped in such problems, we should plan beforehand to avoid them. Sometimes, an item that is cheaper can be of better quality than that which is more expensive, even if the expensive choice is a branded item.

Firstly, set a reasonable budget on every item you need to buy, and another budget amount as an overall. Next, as much as you can, find discounting means (our dearest moms would be the best person to get help from at finding these) to help lower your budget. If you need to, do some window shopping to analyze the prices of the items you need. After doing so, total up your expected spending. Double check on your price tags again. Are you able to lower down the prices? Once you are done with the final checks, you are now ready to get what you need!

Setting budgets are useful most of the time as it helps to spend within our limits. Once again, on a small basis, overspending may only result for a student in not being able to eat his lunch, but as a boss, when you do not plan your budget wisely, you can result in not having enough funds. In such cases, where will you find money to pay your employees their salary? Or how would you be able to complete your project in time, now that you do not have enough money to get what you need? Budgets should not be underestimated because of the impact it can bring to us if we are not careful with our spending.

If John follows those 3 steps mentioned above, the chances of him being able to realize the things he needs and those which he wants would be more obvious. With his planning, he can now buy items that he need in an organized manner at a much lower price while setting aside his wants, and resulting in him saving more money.

What about my wants? Can I not have them?

While your needs are important (and properly planned by now), looking at your wants would not be of any harm at all. There are no problems in buying things that you want, but do not forget about asking yourself for the purpose.

Taking for example, if you were to want a MacBook Pro, but you already have an existing Acer laptop that is running on a different operating system (OS) like Windows Vista. Why do you want the MacBook Pro then? Is it because you need it? Is having the MacBook Pro when your Acer is still in good condition a waste of money? If you buy the MacBook Pro, what are you going to do with your current laptop? Is it advisable to get the new device now? Are there anymore “needs” you have to fulfill? Are new “needs” coming your way?

Once again, as we think about our wants, it is wise to plan our budget. If there isn’t a need to get the item, why not save up? You never know when you need the money. Furthermore, we can set aside an amount to be invested in a bank, where you would get a fixed interest that grows your money over the years. In a service I attended recently, my pastor said that research has shown that if we have a starting pay of $2000, and have a 10% pay rise yearly, if we were to invest 10% of what we earn monthly into a bank, we can become millionaires in 30 years. This would mean that if you start working at 26, by 56 years old, you would have earned your first million.

In closing, I would like to say that being able to plan your wants and your needs are an essential part and parcel of life. Being able to equip yourself with such skills would help develop you into a more detailed person. Planning can also be used in more than just your wants and needs, and if you are able to excel well in this area, many bosses would want to have you as an employee, because of your strengths in organizing and planning especially in the areas of being wise with your finances.

To the readers out there, I thank you for reading this post, and hope that it has made an impact on your life.

This is a guest post written by James Yeo. James is pursuing a diploma in Environmental Science from Republic Polytechnic, Singapore. He loves playing basketball, talking to people, writing poems, and occasionally joins in the computer gaming sessions with us!

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