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Flexibility can be a real asset in a career. Maybe you’re young and figuring out your post-graduation path. Or you’re busy balancing the demands of running a home and caring for a family. Or you’re an athlete who needs plenty of time for training and recovery.

There are lots of flexible-schedule jobs out there, if you know where to look. Let’s check out some part-time jobs with flexible schedules.

What It Means for a Job to Have a Flexible Schedule

Whether you’re in college or caring for children or pursuing an unpaid passion, there are many reasons why someone would want some flexibility in their career.

But what does a flexible schedule mean exactly? According to the U.S. Department of Labor, a flexible schedule is one that allows people to work outside traditional 9 to 5 office hours. Aside from that, situations vary depending on the role and employer.

Workers may be able to choose the time they arrive at and depart work, for instance. With certain flexible work policies, employees still have to work a set number of hours per pay period or be available during a daily “core time.” So while the employee may not have to show up at 9am on the dot and leave at exactly 5pm, they may need to at least show up by 11am and stay until after 3pm. However, this type of shortened schedule could work for many people, including parents who are self-employed.


💡 Quick Tip: We love a good spreadsheet, but not everyone feels the same. An online budget planner can give you the same insight into your budgeting and spending at a glance, without the extra effort.

Tips for Finding a Flexible Part-time Job in 2024

Flexible part-time jobs can be logistical, analytical, creative, or involve a skilled trade. When it comes time to search for flexible-schedule jobs, keep in mind these tips.

•   Stay focused. Job applicants who know what they’re looking for and what they can offer an employer can plan a more effective job search. If someone knows they have to have a flexible part-time schedule in order to accept a job, they can save a lot of time and energy by only applying for jobs that offer that. Trying to convince an employer to change their staffing plans is an uphill battle.

•   Prepare to hear No. Know that it will take a while to find the right fit, and that rejection is a normal part of any job search. Psychologically preparing yourself can help you persevere until the right job comes along.

•   Don’t be a square peg. If a flexible part-time schedule is what matters most, you may need to be flexible yourself in other areas. For example, accept that you may need to compromise on title, salary, or industry. Giving up the highest-paying job for one with a more relaxed schedule can be worth it.

•   Go remote. Work-from-home jobs with flexible schedules can often be easier to find than on-site jobs that have flexible schedules. When reviewing online job boards, look for flexible schedule remote jobs.

Recommended: Does Net Worth Include Home Equity?

Why It Can Be Difficult to Find Part-time Jobs With Flexible Schedules

It can be difficult to find flexible-schedule part-time jobs because many jobs require being in a certain location at a certain time. For example, a hairstylist has to show up for work when they have appointments scheduled. A restaurant has to know they have enough servers on hand during operating hours. Even a corporate job where some work can be done remotely and independently can require being online during set times so that it’s easy to communicate with coworkers.

Great Part-Time Jobs With Flexible Schedules

Perhaps someone wants to take on a second job to help them pay down their debt or save for a dream vacation. Whatever the reason, it’s easy to see the appeal of a part-time job with a flexible schedule.

While there are countless part-time jobs on the market that can suit a variety of workers’ desired schedules, these are some of the best flexible schedule jobs for Gen Zers and Millennials. And if you’re in college, don’t miss our list of the best on-campus jobs.

1. Landscaper and Groundskeeper

Average hourly wage: $17.39

Job description: Landscapers and groundskeepers typically set their own schedules and plan which days they’ll tend to a client’s yard, but they don’t have to tell them exactly what hour they’ll show up to do their work.

Requirements: In some areas a license may be required to use pesticides and fertilizers.

Schedule flexibility: 4

Duties:

•   Mowing lawns

•   Removing weeds

•   Planting and maintaining flowers, bushes, and trees

2. Recreation and Fitness Worker

Average hourly wage: $22

Job description: Running a fitness or recreation class can be fun and rewarding work that is often performed on a part-time basis. Many instructors can choose when they host their classes (like when their young child is in school), but they do have to stick to those times.

Requirements: Licensing or background checks may be required.

Schedule flexibility: 4

Duties:

•   Plan programming

•   Run classes

•   Clean up post-class

3. Freelance Software Developer

Average hourly wage: $37

Job description: Many businesses hire freelance software developers to create computer programs and applications for business or consumer use. Some meetings during business hours may be required.

Requirements: Knowledge of select programming languages.

Schedule flexibility: 4

Duties:

•   Write code

•   Test code

•   Meet with project stakeholders

4. Virtual Assistant

Average hourly wage: $34

Job description: Plenty of professionals can’t afford or don’t need a full-time assistant. Instead, they hire virtual assistants who can tackle administrative work for a few hours a week. Virtual assistance can be a rewarding job for introverts who are conscientious and organized.

Requirements: Office skills

Schedule flexibility: 4

Duties:

•   Scheduling meetings

•   Managing clients’ inbox

•   Helping with administrative work

5. Freelance Copywriter

Average hourly wage: $28

Job description: A writer can work with many different brands as a freelance copywriter and can choose when they want to take on new projects and what hours of the week they work on them. Working as a freelance copywriter is also a great side hustle.

Requirements: Bachelor’s degree and industry experience

Schedule flexibility: 5

Duties:

•   Research

•   Writing copy

•   Editing copy

6. Freelance Web Designer

Average hourly wage: $35

Job description: Freelance web designers work independently designing websites for a variety of clients, instead of a full-time job. Work-from-home web design can be a well-paying and fulfilling job for antisocial people.

Requirements: Knowledge of design programs, and HTML and CSS programing languages.

Schedule flexibility: 3

Duties:

•   Design web pages and sites

•   Code designs

•   Present to clients and incorporate feedback

7. Freelance Editor

Average hourly wage: $31

Job description: Similar to copywriters, editors can work freelance for multiple clients.

Requirements: Bachelor’s degree and industry experience

Schedule flexibility: 4

Duties:

•   Nurturing writers

•   Editing copy

•   Publishing content

8. Business Consultant

Average hourly wage: $37

Job description: A business consultant can offer services to multiple businesses who need support as a whole or who are looking to improve a certain area of their business, such as their marketing efforts, operations, or HR.

Requirements: Bachelor’s degree, master’s degree (more advantageous), or a certification from a business consultant association.

Schedule flexibility: 3

Duties:

•   Assess potential areas of improvement

•   Create improvement plans

•   Find ways to cut costs

💡 Quick Tip: Income, expenses, and life circumstances can change. Consider reviewing your budget a few times a year and making any adjustments if needed.

The Takeaway

There are plenty of great flexible-schedule jobs that millennials and Gen Zers can pursue to give them the time they need to attend school, start a business, or take care of young children. Some remote freelance roles can be entirely flexible — such as web designers, writers and editors — while other jobs require your presence during certain core hours.

Choose whether you prefer a more physically demanding job — such as landscaper or fitness worker — or an office job that requires a laptop (like virtual assistant). It may take time to find the right position, so be patient. It’s also a good idea to keep an eye on how your money comes and goes to ensure you’re sticking to your savings goals.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

What part-time job has the most flexible hours?

There is no single part-time job that has the most flexible hours. That said, jobs where work can be done independently and remotely usually have the most flexibility. Jobs like working as a freelance writer or graphic designer are good examples of jobs someone can usually do during times that work well for them.

What job gives you the most free time?

Flexible-schedule work-from-home jobs can give workers the most free time because they don’t have to worry about a commute. It’s also usually easier to control your work schedule when you work from home. As a bonus, you can use your breaks to be productive — by tackling household chores or working out — or enjoy down time.

What jobs can I make my own hours?

Some jobs with flexible schedules allow workers to set their own hours. The key is to look for a job where the hours someone works doesn’t matter as much as the type of work they produce.

Photo credit: iStock/Eva-Katalin

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Although gas prices hit new highs in 2022, that wasn’t the first time gas numbers have spiked. A look back at the average national gas price in previous decades can provide some context. So can observing how state regulations affect the price of gas in your area.

Keep reading to learn more about historical gas prices, get a sense of how things have changed over time, and learn tips for finding cheap gas in your area.

Why Gas Prices Are Rising in 2023

As anyone who’s gone to the pump in the past couple of years knows, filling up isn’t as cheap as it used to be. Gas prices have risen in the second half of 2023, due in large part to a drop in global oil production. In early October of 2023, the average price of gas was $3.77 per gallon, according to AAA — up 60 cents from the $3.17 average at the beginning of the year. Still, that’s lower than what consumers paid in June 2022, which saw the highest recorded average of $5.03.

Fuel prices have been soaring for a few reasons. Prior to coronavirus’s arrival in the U.S. in 2020, gas cost around $2.50 per gallon. During the pandemic, as fewer Americans were driving to work or for pleasure, the price of oil plummeted.

In 2021 people started driving and flying again, and demand for gas surged. The supply couldn’t keep up, so the price of gas increased.

Prices dropped a little in early 2022 as things started getting back to normal — until late February, when Russia invaded Ukraine. The ensuing war led to a steep increase in prices as Europe, the U.S., and other countries agreed to stop buying Russian oil.

Then, in mid-2023, Russia and Saudi Arabia announced an extension of their oil production cuts, which caused prices to jump up yet again. The U.S. Energy Information Administration expects gas prices to continue rising over the rest of the year.


💡 Quick Tip: Online tools make tracking your spending a breeze: You can easily set up budgets, then get instant updates on your progress, spot upcoming bills, analyze your spending habits, and more.

Average Price by State for Regular Unleaded in October 2023

Data is courtesy of AAA .

Average Price by State for Premium in October 2023

Data is courtesy of AAA.

💡 Quick Tip: Income, expenses, and life circumstances can change. Consider reviewing your budget a few times a year and making any adjustments if needed.

Average Price by State for Diesel Gas in October 2023

Data is courtesy of AAA.

Average US Gas Price 1978 to 2022

Historical data courtesy of Axlewise. Prices are adjusted for inflation and shown in 2020 dollars.

Tips for Finding Cheap Gas Stations in Your State

There are a few ways to find the cheapest gas in the nearby area and save money on your gas bill:

•   Use an app like GasBuddy to locate the lowest nearby price. The app lets drivers search by gas type, payment type, the brand of gas station, and other factors. The app also offers cashback deals, paid subscriptions, and more.

•   AAA has a gas price monitoring website that gets updated every day. Drivers can search by state and country to find the best prices.

•   Both Google Maps and Waze keep track of gas prices. When you search for gas stations within their maps, the price of gas at local stations will pop up. Although one can’t filter by price or automatically see the lowest price, it’s fairly easy to look around and find the cheapest option.

•   Another useful app is GetUpside. The app lets users compare gas prices near them, and also earn cash back every time they fill up their tank.

•   Besides the ability to buy in bulk, one of the perks of getting a Costco or Sam’s membership is getting discounts on gas. It’s often the cheapest option for club members.

•   Certain days of the week tend to have lower prices. Generally, Mondays are the cheapest, followed by Sunday, while Wednesday and Thursday are the most expensive days.

Recommended: What Credit Score is Needed to Buy a Car

The Takeaway

Gas prices go up and down in response to a variety of global and domestic factors. But there are a few ways to source the best deals on gas and stay within your budget, including apps and membership-only retailers.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

What was the price of gas in 1980?

In 1980, the average price of gas was $1.19. That is equivalent to $4.60 in 2023 dollars.

What year were gas prices the highest?

Before 2022, the highest average gas price was $4.11 in July 2008.

How much did gas cost in the 90s?

In the 1990s, gas cost between $1.11 and $1.15 per gallon.

Photo credit: iStock/skodonnell

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SORL1023003

Many people consider relocating when they retire to reduce their cost of living and make their savings last longer. When weighing the pros and cons of moving to another state, it’s important to consider the total tax burden there, including state and local taxes on retirement income, property tax, even sales tax. Some areas with a lower tax burden have a higher overall cost of living, which can cancel out any savings.

Below we look at the best states to retire in for taxes and how to tell if moving will be worth it.

Most Tax-Friendly States for Retirement

A number of states exempt Social Security income from state taxes. A smaller number offer a tax break on other retirement income, such as IRAs and 401(k) plans, private pensions, interest, dividends, and capital gains.

These are the 10 tax-friendly states for retirees, according to Kiplinger:

1.    Mississippi

2.    Tennessee

3.    Wyoming

4.    Nevada

5.    Florida

6.    South Dakota

7.    Iowa

8.    Pennsylvania

9.    Alaska

10.    Texas

But before you complete that change of address card, you’ll want to look at the bigger picture.


💡 Quick Tip: How much your home is worth impacts your property taxes, homeowners insurance, and net worth. Online tools can help you easily estimate home value whenever you need it.

Factors to Consider When Choosing the Best State to Retire In

When choosing where to retire, it’s wise to first consider issues like safety, access to healthcare, distance to friends and family, or living near other people of retirement age.

Make a list of features that are important to you in a retirement locale, and consider whether any of them could indirectly impact your cost of living, such as being close to friends and family.

Then look at the total cost of living in an area: housing, food, transportation, cultural activities, and other expenses. These retirement expenses generally have a bigger impact on one’s lifestyle than taxes.

Finally, to determine whether a state is tax-friendly for retirees, look at the following:

Does the State Tax Social Security?

Generally, Social Security income is subject to federal tax. But some states also tax Social Security above a certain income threshold, while other states offer tax exemptions for individuals in lower tax brackets.

The states that tax some or all Social Security benefits are Colorado, Connecticut, Kansas, Minnesota, Missouri, Montana, Nebraska, New Mexico, Rhode Island, Utah, Vermont, and West Virginia.

Does the State Tax Pensions?

Many states tax income from pensions, but 14 states do not. These states are: Alabama, Alaska, Florida, Hawaii, Illinois, Mississippi, Nevada, New Hampshire, Pennsylvania, South Dakota, Tennessee, Texas, Washington and Wyoming.

And these 13 states do not tax income from 401(k) plans: Alaska, Florida, Illinois, Iowa, Mississippi, Nevada, New Hampshire, Pennsylvania, South Dakota, Tennessee, Texas, Washington, and Wyoming.

Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming have no state income tax.

Recommended: Tax-Friendly States That Don’t Tax Pensions or Social Security Income

Other Taxes That Affect Retirees

When choosing the best state for you to retire in, it’s a good idea to look into sales tax and property taxes too. States that don’t charge sales tax are Alaska, Delaware, Montana, New Hampshire, and Oregon. On the other hand, New Hampshire has very high property taxes, reducing the benefit of no sales tax.

Recommended: When to Start Saving for Retirement

States to Avoid When Retiring

Choosing the best state to retire in sometimes means making compromises. If safety and healthcare access are top priorities, for instance, you may not get your ideal weather. But for many retirees, a high cost of living is a deal-breaker.

Here are the 10 states with the highest annual cost of living, according to a 2023 analysis conducted by GOBankingRates:

1.    Hawaii: $124,486

2.    Massachusetts: $100,325

3.    California: $92,829

4.    New York: $90,821

5.    Alaska: $83,995

6.    Maryland: $83,058

7.    Oregon: $81,786

8.    Vermont: $77,904

9.    Connecticut: $77,235

10.    New Hampshire: $76,766

Recommended: Avoid These 12 Retirement Mistakes

The Best States to Retire in 2024

As noted above, the best state to retire in will depend on an individual or couple’s budget, lifestyle, and values. But recent trends may help point you in the right direction.

These are the top 10 states that retirees are moving to, according to United Van Lines’ annual National Movers Study:

1.    Wyoming

2.    Delaware

3.    South Carolina

4.    Florida

5.    Maine

6.    Arizona

7.    New Mexico

8.    South Dakota

9.    West Virginia

10.    Alabama

If cost of living is your sole concern, the following are the 10 least expensive states, according to Bankrate:

1.    West Virginia

2.    Mississippi

3.    Iowa

4.    Alabama

5.    Missouri

6.    Oklahoma

7.    Indiana

8.    Kansas

9.    Wyoming

10.    Arkansas

States with the Lowest Tax Burden

An area’s total tax burden is the sum of all property taxes, sales taxes, excise taxes (which affect the price of goods), and individual income taxes. Below are the states with the lowest total tax burden for retirees.

States With the Most Millionaires

One way to measure the overall desirability of an area is the number of millionaires who live there. After all, millionaires can afford to live in states that have high-quality healthcare, nice weather, and diverse cultural offerings. These are not the cheapest states in terms of cost of living or taxes, but their popularity may help non-millionaires reevaluate their must-haves vs. nice-to-haves.

Does It Make Financial Sense to Relocate in Retirement?

For workers who already live in a state with moderate taxes, near family, and have a lifestyle they enjoy and can afford, there may not be any compelling reason to move. But for those looking to make a change or lower their retirement expenses, it may make financial sense to relocate.

Just remember that housing, food, transportation, and other expenses usually have a bigger impact on one’s retirement lifestyle than taxes.

Pros and Cons of Relocating for Tax Benefits

Lower taxes alone may not be enough to motivate someone to pick up and move house. Other factors should also support the decision.

Pros of Relocating for Tax Benefits

•   Potentially lower cost of living

•   Discovering a community of like-minded retirees

•   Possibly ticking off other boxes on your list

Cons of Relocating for Tax Benefits

•   Other living costs may cancel out the tax benefits

•   Moving costs are high, and the stress can be tough

•   Need to find another home in a seller’s market

💡 Quick Tip: We love a good spreadsheet, but not everyone feels the same. An online budget planner can give you the same insight into your budgeting and spending at a glance, without the extra effort.

The Takeaway

The best state to retire in for tax purposes depends on an individual’s budget, lifestyle, and values. Some states with lower taxes for retirees can have higher housing and transportation costs, canceling out any tax benefit. A financial advisor can help you decide if saving on taxes is worth the expense and trouble of relocating.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

What are the 3 states that don’t tax retirement income?

Nine states don’t tax retirement plan income because they have no state income taxes at all: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming. Illinois, Iowa, Mississippi and Pennsylvania don’t tax distributions from 401(k) plans, IRAs, or pensions. Alabama and Hawaii don’t tax pensions, but do tax distributions from 401(k) plans and IRAs.

Which state is the best state to live in for tax purposes?

Alaska has the lowest overall tax rates.

Which states do not tax your 401k when you retire?

Alaska, Florida, Illinois, Iowa, Mississippi, Nevada, New Hampshire, Pennsylvania, South Dakota, Tennessee, Texas, Washington, and Wyoming do not tax 401(k) plans when you retire.

Photo credit: iStock/Jeremy Poland

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Psychological pricing tactics are strategies that trigger emotions among consumers and can encourage them to shop and spend more.

For example, perhaps you’ve seen deals where prices are marked down to figures that end in .99 cents rather than a whole number. Or you’ve seen items at the supermarket that say you should compare the price to a different size package to see how much you’re saving.

The psychological impact of these maneuvers can lead you to think you are getting a great deal and head to the cashier. But you may not really be snagging a bargain and could wind up paying more than you need to.
Ready to boost your knowledge about these practices? Here, you’ll learn:

•   What is psychological pricing?

•   What does psychological pricing encourage you to spend more?

•   How can you avoid overspending due to psychological pricing?

What Is Psychological Pricing?

Psychological pricing is a sales strategy that focuses on how pricing can impact you, the shopper, emotionally and psychologically. As different prices will have different effects, these tactics can influence your spending and saving habits and get you to dole out more money. By understanding and dodging these moves, you may be able to quit spending money so freely.

How Does Psychological Pricing Work?

One of the main reasons why psychological pricing is so effective is that consumers rarely know how much something should cost. Instead, they lean on cues, context, and the prices of similar items to clue them in on whether something is a bargain.

These tactics can fool your brain and often offer the illusion of a deal. Unless you are an expert in supply chain finance or are a human supercomputer who can assess the total costs and lifecycle of a product, it’s hard to gauge how much something should cost.

Marketers may count on that and use it to their advantage, tempting you to make an impulse buy, even when the price is perhaps not as appealing as it may seem.

15 Examples of Psychological Pricing Tricks

Here, you can learn some of the most common tactics that can be used to encourage consumers to overspend.

1. Charm Pricing

Ever wonder why the price of that shampoo is $4.99 and not $5.00? Enter charm pricing. This technique operates using the “left-digit” bias. This means that the digit that’s leftmost in a price will impact the consumer’s perceptions the most. In other words, the number that’s to the farthest left will “charm” you into thinking the price is lower than it actually is.

In turn, a retailer will use the numbers “5” and “9” instead of rounding up the price. For example: $495 versus $500 may make you believe the price is closer to $400 than $500. Another example: $8.99 versus $9 can make you think the price is closer to $8 and not $9. You might wind up overspending and feeling as if you are bad with money afterward.

2. Odd-Even Pricing

This kind of pricing, which favors using odd numbers, is along the same lines as charm pricing. The reasoning behind odd-even pricing is odd and even numbers affect one’s perception of the value of an item.

Interestingly, prices that end with odd numbers make the price of something seem less expensive. On the flip side, prices that end with an even number or that are rounded up to a whole number seem more expensive.

3. Decoy Pricing

With this pricing tactic, you’re led to a particular choice by being offered inferior options or ones that seem “not good enough” or “too pricey.” You can think of this as Goldilocks pricing, where the middle option seems the best deal or choice.

For example, you’re shopping online for dog biscuits for your furbaby Bailey. In doing a bit of comparison shopping, you find similar boxes of pumpkin doggie biscuits; in fact, there are three different options. The least-expensive option doesn’t seem like you’re getting the best quality or the most bang for your buck, and the most-expensive option seems like you’re going overboard. So you go for the mid-priced choice. If you hadn’t been offered those three options, you might have bought the lowest-price item and been perfectly satisfied. Now, you’ve wound up overspending.

4. Buying in Bulk

Warehouse membership clubs and discount retailers are filled to the brim with buying in bulk deals. For instance, “Buy 2, Get 1 Free” or “10 for $15.” Sure, you might be saving some dollars off of the manufacturer’s suggested price, but at the end of the day, you are spending more than if you just bought a single item.

Are you really saving on a $2.50 tube of toothpaste if you spent $40 and bought more than you need? Will you really be able to eat through that 24-pack of yogurts before they reach their expiration date?

5. Price Appearance

The design or look of prices can make a difference in how it’s perceived. For instance, prices that are in a smaller-sized font and don’t have the zeroes tacked onto the end may appear less expensive. For instance, “$40” can seem cheaper than “$40.00.” Longer prices can strike us as more expensive. Why’s that? Simply because it takes longer to read them.

6. Removing a Comma

Similar to the price appearance tactic, removing a comma from a higher-priced item can make the cost seem lower than if you included that little bit of punctuation. That’s because including a comma makes the price take longer to read. If you make something phonetically shorter (i.e., it takes less time for the brain to read and process), it may trick the brain to think the price is lower.

Recommended: 5 Ways to Achieve Financial Security

7. Fake Time Constraints

These limited time offers are set up by the retailer to create a sense of urgency — all so you act quickly and part with your money. For example, you may see an offer that says, “50% off for this weekend only!” These constructed time constraints can have you moving quickly, at times impulsively, and get you to spend more.

8. Emphasis on Emotion or Nostalgia

By tapping into the allure and pull of nostalgia — an item that reminds you of your childhood or is associated with happy memories from the past — retailers can get you to part with your money. Because you long to relive those fond, happy times, you might not worry as much as the cost of something.

Similarly, tapping into a strong emotion, such as joy, family, adventure, and general warm — happy vibes, either through packaging, marketing, or brand messaging, can urge you to spend money.

9. Innumeracy

This psychological pricing tactic draws on what you might call “being bad with numbers.” Many consumers don’t have a grasp on basic mathematical principles to figure out what is a better deal when shopping. For instance, “buy one, get one free” sounds better to most folks than “two items at 50% off,” and they’ll often be convinced to buy by the first phrase.

10. Removing the Dollar Sign

Prices with dollar signs can make you feel a bit of fear or anxiety that comes with having to spend money — especially if it’s money you don’t have. Retailers often know this, so sometimes they will remove or reduce the size of the dollar sign to nudge you towards shelling out some bucks.

11. Bundling

This pricing tactic involves grouping a couple of items that go together and offering a slightly discounted price. For instance, you might see a men’s grooming kit that ends up being 25% less expensive than bought separately.

This strategy makes you feel as if you’re saving money, when in fact, you’re spending more than you need to — especially if you really only need one of the products included in the bundle. You may wind up walking out of the store with more than you intended to buy vs. using your credit card responsibly.

Recommended: 10 Signs You’re Living Beyond Your Means

12. Limits Per Customer

When limits are placed as to how much you can buy of a certain item, it tricks you into believing that the product is scarce and you’d better hurry and buy it. Or it might lead you to think the price is so low that the retailer can only offer so many at that price before they start losing money. Because of this, you might buy up to the limit so you don’t forgo a great bargain.

However, you have no proof that any of these assumptions are correct. It could just be clever marketing at work.

13. Showing the Real Price Next to the Sale Price

Also known as anchoring, this process involves showing the retail price next to a sale price to make it seem like a real bargain. For instance, seeing the sale price of $14.99 next to the full price of $19.99 can make you feel as if you are saving big (or perhaps bigger than you actually are).

By “anchoring” your decision based on the full price, the sale price will appear to be a great deal. You often see this tactic at discount grocery stores and off-price department retailers.

14. Showing the Daily Equivalence

You’ve probably come across this tactic. A company will break down the cost of a product or service per day, which makes the cost seem negligible. For instance, a $60 a month cloud storage service breaks down to $2 a day. Or a $15 a monthly streaming services subscription equates to a mere 50 cents a day.

By highlighting these daily costs, it can seem like you’re spending very little each day on a product or service. This might convince you to throw down some cash…and then regret making a bad financial decision.

15. Using Fake Reviews or User Generated Content

While there are obviously some ethical questions around this, using fake reviews can create the appearance that a product or service is getting a lot of buzz. And if something is popular, you might be enticed to jump on the bandwagon and see what everyone is talking about. It could make you buy something you don’t need, that’s overpriced, or that’s lower quality.

An influencer making a plug on a social media platform, along with viewer comments also raving about something, can also make an item seem valuable. Or some companies may reward customers with discounts if they share how great an item is. It gives you the impression that you must buy or will experience FOMO (fear of missing out), which can in turn lead to FOMO spending.

It’s wise to ask questions before making an impulse buy in this situation and to do your own research on trusted sites to evaluate products.

Can You Do Anything About Psychological Pricing Tricks?

While psychological pricing tricks are pervasive and can certainly dupe you into spending more, there are ways you can avert them:

•   Try the 30 day rule. What is the 30 day rule? If you see a pricey item you are tempted to buy but hadn’t budgeted for, make a note in your calendar for 30 days later. Write down what it is, its price, and where you saw it . Then wait 30 days. Chances are, the initial urge to purchase the items will have fizzled. If not, then you can feel reassured that it’s something you truly want and budget for it.

•   Consider the personal value of an item. Instead of fixating on the price tag of something, consider the value it would bring to your life. Is it something you would get a lot of joy from? Or something you could really use? Let that guide you vs. buying an item because it seems like a bargain or everyone else has it.

•   Figure out the number of uses of an item. If you plan on wearing a pair of jeans at least 30 times and they cost $90, that’s $3 per use. Is that something you can afford and would enjoy having? Then it might be worthwhile. But if it’s a $20 item and chances are it will most likely get shoved into the closet and ignored, that might end up being a waste of money.

•   Stick to a weekly budget. It’s no fun having to get your finances back on track after blowing your budget. Avoid that by keeping a weekly number in mind for your discretionary spending — think clothing, entertainment, eating out, hobby-related spending, and sundry items (vanilla lattes, a new conditioner, etc.). This can help you stay within your means. It could be helpful to have a separate bank account where you park your discretionary funds. It’s far easier to see exactly where your money is going that way.

The Takeaway

Psychological pricing tricks can certainly sway you to dole out more cash. That being said, if you are aware of them, you can use good judgment about these marketing tactics. That, in turn, can allow you to stay within your means, make the best financial decisions for your situation, and stay in control of your cash.

FAQ

Is psychological pricing illegal?

Psychological pricing typically isn’t illegal, though in some cases, the tactic could veer into some other murky territory that might not be legal. But for the most part, these pricing tricks are acceptable ways of getting consumers to believe they are getting a deal or that an item is in high demand.

Is psychological pricing immoral?

There are some instances where pricing tricks border on unethical territory. For instance, using fake reviews to make a product seem more popular than it really is and to generate hype is considered unethical.

Why is psychological pricing effective?

Psychological pricing is effective because it relies on your brain making snap judgments in spending situations. These tactics can steer you toward choosing a particular product or buying more that you may truly need.

Photo credit: iStock/recep-bg

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