Even though we almost never spend money on large purchases, why do we always run out of money or our monthly income runs out prematurely? But if we investigate more deeply, running out of money prematurely often occurs due to the late factor phenomenon. Latte factor is not a cup of coffee but a small expense that is routine or many times a day. such as drinking coffee in a cafe 3 times a day, recurring money for ordering snacks, smoking, vehicle parking fees, etc. Even though the latte factor seems very trivial, just small change, if we calculate at the end of the month the amount is not much different from electricity and water expenses. If the latte factor is allowed to continue to occur, spending will become uncontrolled. Consumerist living habits, and difficulty saving/investing. If you are trapped in the lotte factor, here are several ways to overcome the latte factor, such as:
1. Determine needs according to priorities
Create priority need categories starting from the most important,
and leave unimportant needs behind.
2. Consider the purpose of spending money
Before going to a cafe or shopping, determine what the purpose is for and assess the need for the item.
3. Keep Expense Notes
Record all the money you spend using financial apps on your smartphone.
4. Increase self-control
Especially to reduce bad habits like snacking and smoking, and reduce orders for snacks.
5. Saving and Investing
Allocate income for savings and investments when received, start with a small amount such as 5%.
1. Determine needs according to priorities
Create priority need categories starting from the most important,
and leave unimportant needs behind.
2. Consider the purpose of spending money
Before going to a cafe or shopping, determine what the purpose is for and assess the need for the item.
3. Keep Expense Notes
Record all the money you spend using financial apps on your smartphone.
4. Increase self-control
Especially to reduce bad habits like snacking and smoking, and reduce orders for snacks.
5. Saving and Investing
Allocate income for savings and investments when received, start with a small amount such as 5%.
