[nirajr]

My basic thumb rule is, does a spend now help the cause of my larger plan in life, or goes against it. So, spending on a new experience would make more sense for me than saving that money and investing it into something, as I've figured out that my experiences have been my biggest investments.

The question is how to make an objective judgement on whether a spend is beneficial in terms of the larger plan or not. For myself, I have learnt to do it over time, and know where to draw the line. (Not that I don't make on the spur expenses, but have noticed that these days, my thumb rules applies itself 'in the background' even when I am making an on the spur purchase)