How You Decide If Something Is Expensive

January 25, 2026 - 23:05

The perception of whether an item is expensive is not a simple matter of checking a price tag. It is a deeply personal calculation, rooted in individual psychology, values, and internal justification. Experts suggest that with mindful practice, we can become conscious of the narratives we tell ourselves about spending, transforming a reactive habit into a deliberate financial strategy.

The core of this decision-making process often hinges on value assessment. We unconsciously weigh a product's cost against its perceived utility, emotional reward, and long-term benefit. A £100 meal might feel extravagant to one person but a worthwhile experience to another celebrating a milestone. Similarly, a high-quality appliance with a decade-long warranty may justify a higher upfront cost compared to a cheaper, less reliable alternative.

This evaluation is frequently influenced by contextual cues and emotional states. The "anchoring effect," where an initial price sets our expectation, can make a similar product seem like a steal or a rip-off. Stress, excitement, or social pressure can also cloud our judgment, leading to purchases that later feel misaligned with our true priorities.

By pausing to interrogate our immediate reactions—asking "Why does this feel expensive?" or "What value does this truly bring to my life?"—we engage a more rational framework. This practice moves us beyond impulsive decisions, fostering a healthier relationship with money where spending aligns with personal goals and genuine necessity, rather than fleeting emotion or external influence.