The Latte Effect

I didn’t coin the term; The Latte Effect, but I certainly have a need to understand this idea.

I have never been someone totally focused on my personal finances, but life has ways to change your orientation and push you into adulting.

I know I am not alone in this. After speaking to many designers, architects, and builders, who run their own businesses, the issue was consistent. We all recognize that since the industry is softening, business owners are reconsidering personal and company budgets. These are some of the top items they are cutting;

1. Cut out the latte

2. Review annual marketing spend

3. Downsize your office space to a co-working model

4. Scale back on the entertainment and outing budget

5. Purge your personal/company storage to online buyers

I am currently reading a new book, Smart Women Finish Rich by David Bach. One of the chapters is about the incremental yet significant amount of money we spend on things like Latte’s and other overpriced lifestyle preferences.

The simple idea is, what are the small, trivial things we purchase every day that can add up to an extremely large amount over time?

Are you are like me and need to prioritize where your money goes and how you spend it?

Here are my top Money books right now that I have read or have been recommended;

1. Smart women finish rich - By David Bach

2. Rich dad, poor dad - By Robert T. Kiyosaki

3. Money, and the law of attraction - By Esther Hicks, Jerry Hicks

4. Worth It- By Amanda Steinberg

If you know of any great books in the finance realm, please share, and if you are looking to reconsider your office setup and downsize to a short-term rental, contact us at info@thecollectiveto.com. We are here to help!