A Yahoo Finance-Marist Poll survey from June 2025 found 29% of Americans spent more than they earned, and around half noted they’d turn to their savings or credit cards if they needed to cover shortfalls.
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While overspending can get you into financial trouble, you break this common habit if you adopt some of the smart tactics of financially responsible people. In a recent video, financial expert Rachel Cruze asked ChatGPT about the secrets of people who don’t overspend. Here are the 10 financial tactics the chatbot suggested, which Cruze said she liked.
This secret relates to having a motivation behind your money decisions, and it shouldn’t simply be trying to reach a specific number. Perhaps you want to spend less so you can pay off your debt quickly, build up your savings or give more to others more often.
Cruze explained, “If you don’t have that ‘why,’ when things that are hard in life hit you financially, that ‘why’ is what carries you through most of it.”
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ChatGPT told Cruze that those who avoid overspending monitor their spending. This helps you become more aware of your habits and make intentional purchase decisions. Adopting this smart practice might show that you often go overboard on a certain expense like entertainment or food delivery, or spend too much at certain times of the year.
Discover’s 2025 Consumer Personal Finance Outlook found only 22% of Americans both made budgets and followed them. If you’re not part of this small group, you’re at risk of overspending since you’re not taking control over how you use money to achieve your goals.
Cruze explained that this can leave you wondering what happened to your income when tax time comes. She suggested trying the EveryDollar budgeting app, which you might find easier to use than a spreadsheet or handwritten budget.
Since credit cards make purchases feel less painful and usually come with high interest rates, they can be detrimental to your spending and lead to wasted money. If you use a debit card or cash, you might avoid overspending as often since you’re not borrowing from someone else.
While ChatGPT mentioned limiting credit card use, Cruze advised skipping credit cards altogether. Besides better controlling your spending, you’ll be done with each purchase and not have a credit card bill that haunts you later.
Especially now that you can buy things directly from your phone, it’s easy to make impulse purchases that bring initial joy, but throw your long-term finances off track. People who don’t overspend understand delayed gratification, so they put careful thought into their purchases.
Cruze explained, “Delayed gratification shows a level of maturity where you can walk away from a purchase, sleep on it, see if you still want it a day or two later, and then you can go back and buy it.”
Since you already have many decisions to make each day, having routines is important for avoiding impulsive financial decisions that make you overspend. For example, you might schedule regular times to review daily transactions, go to stores and pay certain bills. However, Cruze said some spontaneity is still OK.
Cruze discussed the common assumption that buying more things will make you happy and the importance of gratitude, which brings you contentment. You’ll likely make fewer unnecessary purchases once you realize that chasing items won’t bring you the fulfillment you’d like, and focus on the good things you have. In a blog post, Cruze wrote that avoiding comparison is a key step for being content with your life.
While sometimes helpful, automating your finances comes with risks that could harm your wealth. For example, you might forget to cancel that recurring subscription you don’t use or raise your automatic investment contribution percentage as your finances change.
While ChatGPT advised against being on autopilot, Cruze discussed a more balanced approach, such as ensuring you’re always paying bills on time, but making some purchase and savings decisions yourself.
Whether you see ads for products or posts from influencers promoting exciting lifestyles, your social media use can negatively affect your purchase decisions. Smart spenders recognize this.
“So, they use social media, but they actively unfollow people who tempt them into comparison or jealousy,” explained Cruze. “They also pay it forward and gut check their motivation with their own posts.”
Certain feelings or situations can lead you to unnecessarily spend money, so recognizing such patterns can help you be more intentional. Cruze mentioned boredom, busyness, insecurity and stress as some examples of what could trigger overspending. She encouraged replacing spending money with healthier moves like visiting a friend, reading a book or writing in a journal.
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This article originally appeared on GOBankingRates.com: Rachel Cruze Shares 10 ChatGPT-Approved Tips To Stop Overspending
