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“We need more money!” Does that statement ever come to mind?
Today we are going to talk about a way to “have” more money with the same amount of money you are getting currently. “How is that even possible?” you might be asking. Let me explain!
Ryan introduced me to a concept that he had learned from David Bach called the “latte factor”. The latte factor is referring to something you send money on each day, or regularly, that is wasting money yet you don’t think about it because it is typically a small amount.
For instance: you stop by Starbucks to grab a latte every morning on your way to work for $4 (and that is probably the small one!). Four bucks may not seem like a lot, but that is 20 bucks in a week or $80 a month. Eighty dollars for lattes?! Let’s go further $80 times 12 months is $960.
Not everyone grabs a latte in the morning, but most people have something. Chew gum? Drink soda? Vending machine snack? Cigarettes? These are all latte factors.
Why are you in need of more money? To pay off debt, save for a house, create an emergency fund? Those things are all important! Decide if you could make a small change to have more money with the same amount of money you are getting currently.
You may not need to get a second job. It could be as easy as changing a habit.
Stop chewing gum or drinking soda. Bring snacks and lunch from home. Combine errands to save gas. Figure out your latte factor and eliminate it!
“We need more money!” Stop saying that by using the power of your latte factor.
Tell us in the comment section what you think your latte factor is.
Love this. While we don’t buy Starbucks drinks (often), there are still little ways we could be saving money. The Lord tells us to be good stewards, and that is definitely something I need to work on. Thank you for the reminder!
Same with us Chloe. It is not Starbucks, but there is something! The hardest part is finding out what it is.
My “latte factor” was definitely Starbucks/Caribou. My husband’s was grabbing a soda at the gas station every day before work. We haven’t given up these things, but we have been smarter about them. Instead of my husband stopping at the gas station every morning, we buy a 6 pack of soda at the grocery store every week- it’s actually a big savings doing it this way!
I invested in an espresso machine so I can make my own lattes at home. I still splurge on one every now and then, but I am saving a lot of money making them at home. 🙂
We also work an “allowance” into our budget every month. We each take out our allowance in cash and we are free to spend it on whatever we wish. It’s not a lot- $40.00 each, but, it works for us!
Exactly Jess! You don’t have to give it up completely. We just have to find the best way to go about it. It sounds like you guys made a great choice. Also, sounds like it saves you time now since your not stopping in the mornings. I like the allowance thing too. We do that as well!