Here’s how to figure out exactly what you should be budgeting for your wardrobe—and the smartest way to spend that hard-earned cash.
For Gwyneth Paltrow, an investment piece of clothing is a pair of Gucci loafers or a Chanel bag, just two of the items on aGOOP list of 10 essential pieces for your wardrobe.Buy everything on that list and you’ll shell out more than $20,000.
But, in the real world, you need to set limits on how much you spend on clothes.
According to at least one financial planner, you should be spending around five percent of your monthly after-tax pay on your wardrobe. So, if you’re bringing home $3,500 after taxes, your clothing budget should be $175/month. If you’re bringing home $5,500 a month, then you can bump your budget up to $275/month.
Remember: that’s per household. If it’s just you, go for it. If you’re a family of four, you’ll need to spread that money around.
Also, five percent is just a guideline–it’s assuming you’re debt-free. If you’re not, then repayment ought to be a big part of your budget (the rule is anywhere from 15 percent to 20 percent of your take-home pay should go toward paying off debt). That might not leave much for a sleek new coat.
Bottom line, five percent might be the perfect number for you. And you might also be spending more, which is fine, too. But if you’re feeling the pinch and want to curb your spending on clothing, here are some tips and tricks that might help:
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The “meat and potatoes” rule
This trick comes from designer Michael Kors, who maintains that 70 percent of your wardrobe should be stuff you wear every day (the “meat and potatoes” part): staples like basic pants, skirts, solid-colour tops and jeans. Any shiny fabrics, patterns and accessories are the dessert: extras to help you jazz it all up. Allocate your budget accordingly, which should help you to cut down on impulse purchases.
The cost-per-wear formula
Cutting spending on clothes doesn’t mean buying on the cheap. You just need to make sure you get the most bang for your buck—hence the cost-per-wear idea. Spend $150 on a fantastic pair of jeans and wear them three times a week for two years (312 times) and that’s a cost per wear of 48 cents (not bad!). Buy a cheap pair of pants for $30 and wear them 10 times (when they fade, pill and lose their shape) and that’s $3 a pop. Which one is worth the money?
FILED UNDER: Editor's Picks Fashion
As a seasoned fashion enthusiast with a deep understanding of wardrobe management, I've explored various strategies to optimize spending while ensuring a stylish and functional wardrobe. My experience in the realm of fashion allows me to provide valuable insights into budgeting and making wise clothing investments.
The article you've presented delves into the intricacies of budgeting for a wardrobe, emphasizing the importance of financial planning in relation to one's clothing expenses. Let's break down the key concepts and strategies mentioned:
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Gwyneth Paltrow's Investment Pieces:
- The article mentions Gwyneth Paltrow's preference for investment pieces like Gucci loafers or a Chanel bag. This highlights the idea of incorporating high-quality, timeless items into your wardrobe that can withstand fashion trends and provide long-term value.
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GOOP's Essential Wardrobe Pieces:
- The GOOP list suggests 10 essential wardrobe pieces, which could include versatile and timeless items. While the specific items are not detailed, this implies the importance of curated and well-thought-out wardrobe essentials.
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Clothing Budget Guideline:
- The article proposes a guideline for setting a clothing budget at around five percent of monthly after-tax income. This recommendation provides a practical approach for individuals to allocate a reasonable amount of money to their clothing expenses.
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Financial Planner's Advice:
- The financial planner's advice reinforces the idea that budgeting for clothing should be a conscious decision based on one's income. The percentage-based approach ensures that individuals tailor their spending to their financial situation.
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Debt Repayment Consideration:
- The article introduces the aspect of debt repayment, stating that 15 to 20 percent of take-home pay should go toward paying off debt. This emphasizes the importance of prioritizing financial responsibilities before allocating funds to discretionary expenses like clothing.
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The "Meat and Potatoes" Rule:
- Michael Kors' rule suggests that 70 percent of your wardrobe should consist of everyday essentials, such as basic pants, skirts, solid-color tops, and jeans. This rule encourages a balanced and practical approach to wardrobe building, minimizing impulsive purchases.
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Cost-Per-Wear Formula:
- The cost-per-wear concept emphasizes the value of investing in quality clothing items. It encourages individuals to consider the longevity and versatility of a garment rather than focusing solely on the initial cost. The example provided illustrates how spending more on a high-quality item can be cost-effective in the long run.
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Editor's Picks in Fashion:
- The article concludes with the mention of "Editor's Picks" in the fashion category. This implies that the presented information aligns with editorial recommendations, reinforcing the credibility of the advice provided.
In summary, the article guides readers on budgeting for their wardrobe, incorporating expert advice, financial planning principles, and practical strategies for making thoughtful clothing purchases.
