No matter how much money you have, you likely have a friend — or a few friends — who have more. Many people have questions about how to handle invitations from friends who have more discretionary income. Here are a few tips that can help:
· Set an entertainment budget — And then choose your activities carefully. You know yourself best. So, decide whether you’d enjoy participating in a couple of pricier events instead of several more moderately priced events or vice versa and RSVP accordingly.
· Don’t feel obligated to say yes — Realize that it’s okay to say no without offering a specific reason. For example, say, “Thanks for the great invite. Unfortunately, I’ve got another commitment that I can’t break. So, have fun and be sure to tell me how the [concert, dinner, game, etc.] was afterward.”
· Initiate invitations —Be proactive and invite your wealthier friends to go to events within your price range. And, consider activities that cost little to nothing and still allow you to connect with each other, for example, a walk, bike ride or run. Or dinner at a local burger or pizza joint that serves award-winning fare at reasonable prices.
· Keep things in perspective — Not everyone who spends money more casually or freely than you do actually has more money. Despite appearances, those individuals may be living paycheck to paycheck without adequate cash reserves or retirement savings, which means you’re better positioned over the long term.
Renée A. Hanson, CFP®, CEP®, CDFA™, CFS, is a private wealth advisor with Hanson, Ayala & Associates, a private wealth advisory practice of Ameriprise Financial Services, Inc. Her passion is in helping women achieve their dreams and financial goals, regardless of life’s many obstacles. Renée is licensed/registered to do business with U.S. residents only in the states of AZ, CA, CO, GA, IA, IL, MI, MN, MT, NH, NJ, NM, NY, OH, PA, SC, TX, VA, WA, WI. Please visit: www.reneehanson.com to learn more.
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