Buying lunch and coffee is a stupid waste of money, says Kevin O’Leary. The “Shark Tank” star says small treats can hurt people’s savings and even delay retirement. Sandwich–what is it, idiot? ” he said on the podcast.
Lunch bowls, coffee, and other small luxuries may seem harmless. But costs can add up quickly, leaving you with less money to invest and ultimately delaying retirement because you’re not saving enough, says Kevin O’Leary.
Mr O’Leary detailed the dangers of wasting cash in ‘The Cold Truth About Men, Women and Money’. “Ghost money is dead money, money wasted on frivolous things, money that should have been invested instead,” he wrote in his 2012 book, adding, “Ghost money is money that is dead, wasted on frivolous things, money that should have been invested instead.” He complained about “What is being done?”
Shark Tank investor and chairman of O’Leary Ventures calculated that a person who spends $10 a day on cigarettes, $12 a week on coffee, $8 a week on magazines, and $200 a month on lunch for 20 years… In effect, he said, “this has set society on fire.” “Instead, assuming you earned a 6% compound annual return, that would be about $276,000.
“If you spent your money on cappuccinos and magazines in your 20s, you’re likely to be serving coffee or working at a magazine stall in your 70s to earn money for retirement,” he says.
Fewer people buy magazines these days, but in O’Leary’s case, they can easily be used in place of streaming subscriptions or food delivery. He advised people to stop making impulse purchases and put the resulting savings into a dedicated investment account, as people find it easier to kick bad habits when they see their balances growing.
O’Leary, the self-proclaimed “Mr. Wonderful,” is known for being candid about bad ideas and candid with his feedback. He scolded money wasters on his podcast “Erica Told Me” last year, and shared the clip on Instagram in September.
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“Stop buying coffee for $5.50,” O’Leary said, lamenting that 15% to 20% of many people’s daily spending is spent on “stupid things.”
“I go to work and I spend $15 on a sandwich. What the heck, idiot? If you make a sandwich at home and bring it in, it costs 99 cents,” he said. “If you add that up every day, it adds up to a huge amount.”
Mr O’Leary said young people just starting their careers in urban areas often “wasted about $15,000 a year” when their income was low, and a flippant attitude could lead to financial trouble. he added.
This famous investor has shared plenty of personal money tips over the years. He recommends treating purchases like investments, warns against lending to families, advises couples to keep financial burdens separate, and urges people to marry young and have more children. I recommended it.
