The Secret to Better Decision Making

Every decision has a benefit and a cost. Most of the times, we don't bear the cost of the decision at the same time when we are receiving the benefit. 

When do you pay for something determines your choices more significantly than you can imagine."

Consider the following scenarios:

Buy now, pay later
Buy a beyond-budget luxury car now, pay later.
Swipe your card for an expensive furry jacket now, pay for it later.
Dine in your favourite restaurant now, pay later.
Throw big parties today, save for your retirement later.

It’s not only about just paying later. It can be about paying earlier as well.
Fill up gas today, drive 5 unnecessary miles later.
Recharge your phone today and do some avoidable usage later.
Add currency to your game card and pay some uninteresting games later.

And its not always about the money..
Smoke now, pay for the health later?
Eat the Big Burger now, pay with a little extra weight gain later. 
Sleep now, pay for not exercising later.
Don’t respond to the service request now, pay (loose a customer) later.
Spend too much time on social network, pay for the unfinished work tomorrow.

We take unsuitable decisions when the timing of our payment is different from the timing of our decision.

This time gap between bearing the cost and enjoying the benefit of a choice is the one which makes us choose irrationally. 

The test to make a better choice is to ask yourself, "Would I make the same choice if I had to pay for it right now in cash, health and discomfort."

Imagine eating a big mac and instantly seeing your weight going up by a quarter pound.
Or imagine taking actual cash out of your pocket for that furry jacket while buying it.
Or driving those 5 extra miles if you were in a cab and were to to pay the driver in cash.

Would you still make those choices?