Know When to Spend!

Should You Spend or Save on Your Next Purchase

You shouldn’t always buy the cheapest version of a product. There’s times when it makes sense to pay for the better quality. I thought this series on whether to save or splurge from CNN Money was great. It ends up being a big advertisement because they promote a product under each category, but I’ve really been able to use this advice lately. From my flat screen TV to my cordless drill, I’ve been able to assess my purchase effectively with this advice:

Power Drill

Save or spend: Save

“Professional-grade drills are designed to be used and abused. They’re heavier than consumer models, with larger motors and bigger batteries. Unless you’re planning to drywall your house, you needn’t pay for that speed or power. Tom Silva,contractor on PBS’ “This Old House,” says that a $50 cordless drill with a three-eighths-inch chuck can handle most home jobs.”

Television

Save or spend: Save

“These days, LCD and plasma flat-panel TVs offer similar picture quality for similar prices. The X-factor now is resolution, or pixels making up the screen.On both you can get the highest available, 1080p, which has about 2 million pixels. But these TVs run up to $1,000 more than 720p sets (which have 1 million pixels) with the same screen size.And 1080p content is still scarce, warns Ross Rubin, analyst at the NPD Group. Besides, from a normal viewing distance, “the difference is difficult to detect in a TV 50 inches or smaller.” (Most rooms don’t call for bigger sets.)”

An Update on My Purchases

My power drill just went out on me. The battery will no longer charge. When I price checked batteries, I found out they are almost as expensive as a whole new drill. So, I’m looking for a new power drill now.

My flat screen TV is doing great. No issues, and it’s still just as nice as any other TV I see out there.

Last Edited: March 5, 2010 @ 9:49 pmThe content of ptmoney.com is for general information purposes only and does not constitute professional advice. Visitors to ptmoney.com should not act upon the content or information without first seeking appropriate professional advice. In accordance with the latest FTC guidelines, we declare that we have a financial relationship with every company mentioned on this site.
About Philip Taylor

Philip Taylor, aka "PT", is a CPA, financial writer, FinCon CEO, and husband and father of three. He created PT Money back in 2007 to share his thoughts on money and to meet others passionate about managing their finances. All the content on this blog is original, and created or edited by PT. Read more about Philip Taylor, and be sure to connect with him on Twitter, Facebook, or view the Philip Taylor+ Google profile.