You need three things; food, shelter, and clothing. Wants and desires are simply degrees of those three things. Beans and rice will sustain you, but you want a greater variety of food. Sometimes you might even desire something more elaborate. I spend the Christmas holidays with my sister in Phoenix, Arizona. We go to a French restaurant in Cave Creek on New Year’s Eve. Dining there has become a tradition. We drink wine, eat gourmet food, and flaming deserts. We don’t go there every week, but some people do.

You need shelter to protect you from the elements. Over the centuries, human beings have gone from living in caves to starter castles, as one of my neighbors once referred to houses being built in a new subdivision. At the same time, people are “downsizing,” selling houses that seem too big after the children have moved out to buying living spaces that are smaller and easier to maintain, such as townhouses or condominiums.

You need clothing to protect your body and shoes to protect your feet. Jeans and t-shirts will do the job in the summer, but you need coats in the winter, at least in Colorado where I live.

To manage your time and money, you must prioritize your needs, wants and desires.

Your Money Tip:
To get hold of your money, you will need to understand what money is and how to prioritize your needs, wants, and desires. Take time to list your actual needs. And ask yourself: do you really need the latest version of your mobile phone? Or that bigger TV?

Patricia Lane Williams CPA is the author of Your Money: How to Get Hold of Your Money Before Debt Gets Hold of You. As a trusted resource for the accounting profession for over 30 years providing content for their continuing education. Her website is PatWilliamsAuthor.com and she can be reached at PatWilliams.Author@gmail.com.