A few weeks ago, I was out shopping with one of my good friends, Suzy, and we found a fantastic pair of boots that go with everything. You know the kind–beautiful dark brown suede, comfortable soles, cute buckles and embellishments all over, and heels that are just the right height. They felt amazing and looked even better on, but they didn’t quite match my budget.  Suzy, however, decided she needed these boots. After all, we are going into fall, the weather will soon be getting colder, and well, you just can’t wear last year’s boots again this year, right? As we approached the cash register, she continued to talk about the outfits she could wear these boots with and how they would be perfect for this outing or that social event.

When we got to the cash register and the girl behind the counter rang up the gorgeous boots, instead of being excited about her new purchase, Suzy looked like she was turning a little green. I can’t be quite sure, but I thought I saw her hand shake a little as she handed the credit card to the cashier. Once the transaction went through, Suzy looked slightly relieved. She shoved the receipt in the bag with the boots, and we headed out.

Later that afternoon, we stopped for coffee and started chatting about bills and how tough it has been to make ends meet lately. Suzy laughed and confided that she was nervous at the register because she was afraid her card would be declined. She was so used to using a credit card throughout the month and paying it off when the bill came. But, since she has had to take a few furlough days at work, her income hasn’t been what it used to be, and she has only been able to make the minimum payments. She wasn’t too worried yet because she has never been late and always made the minimum, but she has noticed that the balance keeps growing and each bill gets a little tougher to pay. She was afraid that the boots might push her over the limit and cause her card to decline which would have made her feel incredibly embarrassed, so she was relieved to have “dodged the bullet” on that! She joked that she may not be able to afford her power bill now, but at least she would look good in her boots–even if no one else could see her after her lights got cut off!

At that point, I knew I couldn’t keep quiet. I talked to Suzy about her about her finances. I don’t mean to be a nosy, pushy friend, but it seemed like her situation was starting to get out of hand, and I didn’t want her to feel alone. She agreed that she needed to start really thinking about her finances and getting her priorities straight. We made the long drive back to the department store, returned the fabulous boots, and headed back to Suzy’s apartment so that we could work together on making a budget and a plan.

Last week, I ran into Suzy at the grocery store. She had her shopping list and coupons in hand, and she looked much more relaxed than she had in quite some time. We stood in the aisle and chatted for a while, and she let me know that, while things are still tough, she is making it work and feeling much less stressed now that she’s working on paying down her credit cards rather than just charging them up.

This story by Rebecca, one of our CCCS credit counselors based in Richmond, Virginia illustrates how determining “wants” versus “needs” can help you stick within your budget and live most comfortably within you needs.

Learn more about how to create and follow a household budget and how doing so will help you dig out of debt and save for your financial goals.