Co-Authored and Reviewed by Gagan Sandhu, MBA - The University of Chicago Booth School of Business, CEO of Xillion
Posted on . 1 min read
Want to make smarter financial choices? Consider the long-term cost of your daily habits, like grabbing a cup of coffee or eating out. Here's a real-life example.
My wife enjoys her Starbucks coffee, which costs about $5 a cup. Making coffee at home? Just about $1. Over 30 years, that daily Starbucks habit would amount to half a million dollars! Yes, you read that right. And this isn't just a random number; you can check it using opportunity cost calculators like the one on Xillion.
But it's not just about coffee. What about eating avocado toast out every day, which might cost $12 to $15, versus making it at home for about $2? That habit would cost you close to $2 million over 30 years.
The takeaway? Enjoy your coffee and your avocado toast, but be aware of the long-term financial impact of these daily choices. It's all about making informed decisions.
So the next time you find yourself in line at Starbucks or a trendy café, remember: habits have a price. Tools like Xillion can help you better understand these costs, enabling you to make more informed choices.
Cheers to smart spending and a more secure financial future!
