If you ever poke around in the personal finance space, you will stumble across the “latte factor” early and often. And I will just put this out there—I hate it.
The “latte factor” is just the idea that little things add up. And they do. But that just isn’t the point.
I am uninterested in your latte habit. What I do care about, are your intentions.
If you are mindlessly buying lattes, or anything, and spending money without intention, it won’t feel good, and that is what I want to address. Because if you just love your latte. If you love the ritual and you look forward to it and you enjoy every last sip—if that latte brings you distinct joy, it should remain a priority. At that point, it isn’t a small thing.
If little things add up to something big—but that big thing is your happiness—you should continue doing those things and not feel bad about it.
We don’t want you saving money for no reason. Or being frugal just to be frugal. We care about you being intentional with your money.
Don’t save money for no reason. Save money for fill-in-your-blank.
Don’t be frugal for no reason. Be frugal so you can save more money for your fill-in-your-blank.
As you increase your conviction about how and where you spend your money, you will decrease your money stress.
The more you align your spending with your priorities, the better you will feel. By spending money on things you truly care about—things that bring you joy—you are decreasing the uncertainty, stress and anxiety about what your money is doing.
Someone that spends their money on whatever—with conviction—gets my full respect. They experience little to no friction. And that is no small thing.
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Until next time…