Researchers have found that most people, when faced with a life threatening situation, tend to go on spending sprees to cope with their fear of death. Rather than practicing logical estate planning, many of us make frivolous purchases after watching a movie centered on mortality, dealing with the death of a loved one, or receiving bad news from a doctor. This study found that even the healthiest individuals over-consume to cover up feelings of dread that accompany thoughts of death.

One experiment asked participants to write an essay about their own death, and then indicate future purchase plans, like whether they would purchase a Kia or a Lexus vehicle. In the study's results, participants that wrote an essay about their own death were far more likely to purchase the more expensive Lexus than participants who wrote about painful medical procedures, who primarily indicated a desire to buy the more affordable Kia.

But experts suggest that financial responsibility becomes even more important during times when death seems imminent, even if those fears are entirely rational. Although it is natural for people to think that they need to enjoy life as much as possible while they still have time, financial irresponsibility can compound health issues - causing more stress.

Financial experts recommend that, if you can't shake the fear of mortality, making intelligent financial decisions like crafting a last will and testament, durable power of attorney, and perhaps a revocable living trust, rather than purchasing an expensive car or handbag, will be beneficial.

Source: The Miami Herald "Living a life well spent," Brett Graff, Sept. 23, 2011