Financial Security -- How Your Junk is Costing Your Money

From TheStreet.com:

Martha Stewart says that 80% of the stuff we have we never use. That means that eight out every 10 purchases you make are a waste of money.

-- Lost savings: 80% of the stuff you buy is money wasted.
-- Lost interest on savings
-- Upgrades and accessories: Instead of getting rid of out of date items, people often upgrade it with new accessories or get a more stylish model -- which creates even more stuff that we end up not using.
-- Cost of using stuff: Some of the stuff that you purchase will cost you money for its use or upkeep. If you purchase a fancy TV, you will also likely purchase a cable package. Chances are you will purchase a package that is more than you really need and thus spend more money. If you have an iPod, you will likely buy new songs as you get tired of the previous songs that you purchased. Most electronics will use energy when plugged in, whether you use them or not. All this adds to the cost, especially if you are paying for it and not using it.
-- Storage unit: If you own a house that isn't big enough to hold all your stuff, you may rent a storage unit to keep some of it.
-- Bigger home: You probably have a bigger house or apartment than you need due to all the stuff you own. If you have a bigger home, that means thousands of dollars more in interest charges on your mortgage. You'll need to pay higher taxes, you will have higher utility bills and the overall upkeep costs will be more.
-- Less productive: A computer can make your work more productive, but not if you spend half your day on YouTube watching videos instead of working. A mobile phone can easily make you less productive if friends constantly interrupt you with calls when you are trying to work.

How to declutter:
-- Take a few minutes to go through your house and do an inventory.
-- Don't forget the closets, drawers, cabinets, the garage, the basement and the attic. Go through each and for every item you come across, ask yourself whether you have used it in the last six months (or the last year if it is a seasonal item). If you haven't, then it's likely something that you will never use and something you don't need.
-- Once you begin looking, it will likely take a lot longer than a few minutes to go through everything and you will find yourself with a large pile of stuff that you no longer need. If this is the case, here are some options to get rid of it.
-- Sell it: eBay, CraigsList, garage sale, local newspapaer
-- Give it to charity: a good cause, plus has the potential to get you a tax write-off
-- Consignment shop: especially if you have nice clothes, but will only give you a small portion of the sale proceeds
-- Give it away: CraigsList, Freecycle

Three questions you need to ask yourself before you decide to buy something new:
Do you need it?
Will you use it?
Will it simplify your life?