Whenever you spend money on something optional - not the mortgage, but a mocha grande, say -- do the math. Annualize it.
It’s not a $4.50 coffee, it’s a $2,000 coffee because you go for these about five times a week = $25 with the tip times 52 weeks = $1,300 which is all you net, after deductions, from a $2,000 paycheck.
It’s not a $125 massage, it’s a $9,000 massage, because you get one almost every week = $6,000 which is what you have left after earning $9,000.
This is not to say you shouldn’t have the mocha grande or the massage; it’s just to give you the big picture, which might make you want to not have it, and to bring a thermos of coffee from home, or take a really nice hot bubble bath, instead.
Link to original content.
January 28th, 2008 at 08:20 pm
January 29th, 2008 at 11:41 am