By Petra-Ann Brown, Brown Financial Services
I recently went shopping for clothes for the kids and earned $20 in cash-back rewards.
If I’m being honest, I sometimes let those rewards expire. But this time I was watching the date closely. My thinking was simple:
I already spent the money to earn this $20. I shouldn’t let it go to waste.
So, on the very last day before it expired, I drove back to the store determined to use it.
My goal?
Spend no more than the $20.
Because I know how these cash-back deals work. They’re designed to bring you back into the store, so you spend more.
The “Savings” Spiral
The kids didn’t need anything. So, I went over to the men’s section to see if I could find something for my husband.
Clearance rack. Nothing.
Then I found it.
Original price: $39.99
Extra 40% off coupon
$5 in reward points
After all discounts and taxes?
I paid $9.56.
Now here’s where it gets interesting.
If you asked my mom, she would say I did great.
“$9.56 for a $39.99 item? That’s a win!”
But was it?
I left my house specifically to use a reward. I ended up spending more than I intended. I fell right into the structure of the promotion.
Or did I?
The Real Money Question
This is where personal finance gets nuanced.
There are several ways to look at this:
- I saved money on an item.
- I spent money I wasn’t planning to spend.
- I avoided wasting the $20 reward.
- I allowed a store incentive to influence my behavior.
All of those can be true at once.
And this is where many people get confused.
Saving money is not the same as spending wisely.
You didn’t save $30.
You spent $9.56.
The discount doesn’t change the outflow.
The Hidden Cost of “Deals”
Retailers understand something about human behavior:
We hate wasting value more than we hate spending money.
That $20 reward felt like money I “already had.” Letting it expire would feel like losing something — even though technically I had already spent the original money weeks ago.
This is called mental accounting.
We treat reward money differently than “real” money, even though it’s all the same.
So… Did I Win?
Here’s the honest answer:
Financially?
I spent $9.56 I didn’t plan to spend.
Emotionally?
I enjoyed the drive, the music, and a quiet moment to myself.
Practically?
My husband got something nice.
The key difference is this:
- I went in knowing the psychology.
- I set a boundary.
- I kept the extra spending minimal.
That’s not falling blindly into a trap. That’s navigating it consciously.
The Money Lesson
Cash-back rewards, coupons, and discounts are not evil. But they are designed to increase spending — not reduce it.
Before using a deal, ask yourself:
- Would I buy this if there were no rewards attached?
- Am I solving a need or chasing a discount?
- Is this aligned with my budget?
If the answer feels grounded, proceed.
If not, let it expire.
Because sometimes the best financial decision is walking away, even from “free” money.
Final Thought
Every financial decision has layers. It’s rarely black and white.
This wasn’t just about $9.56.
It was about awareness.
And awareness is where financial confidence begins.
About the Author
Petra-Ann Brown is a financial educator, coach, and founder of Brown Financial Solutions. A 100 Women of Color honoree, she helps busy professionals and families build financial clarity, confidence, and intentional money habits so their finances support the life they’re building, not control it. She also hosts the Island Money 365 podcast.
