Why "wasting" money makes you more money

Lately I’ve been thinking about the hidden cost of saving money.

Or in other words, the consequences of being overly frugal.

My views have changed over the past 4 years and I wanted to share some insights that have served me well.

But first, lemme give you a bit of background on me:

I grew up lower class.

I lived in a motorhome for a while, got used toys from the thrift store for Christmas, and my mom was always working.

My clothes were from second-hand stores and ate the no-name brand of food.

Hell, I remember my mom’s boyfriend would sneak us into movie theatres instead of paying $10 for a ticket.

Was I in extreme poverty?

Nah.

But subconsciously, I was trained to believe money was scarce.

This belief was reinforced my entire upbringing.

So, I worked, saved money, and lived frugally for the first few years of my adult life.

But over the past few years, as I surrounded myself around wealthier people, I realized the frugal mindset would keep me broke.

Lemme explain…

As you may or may not know, I go to coffee shops almost every single day.

I stand in line, have 30 seconds of banter with the barista, buy my $4 coffee (sometimes $5.51 latte OMG), sit at the table, and get to work.

Now, many finance accounts would run the numbers and say spending around $1200 on coffees every year is a waste of money.

I mean, why would you when you can make it for 5 cents at home?

Spending $4/day is a waste of money, right?

And that’d be correct…

IF value was only measured in dollars.

But it’s not.

There are hidden dividends to every purchase.

You see, when I go to coffee shops, I’m not buying $4 coffees…

I’m buying an environment that helps me focus.

Which, in turn, makes me more money.

The coffee is just a bonus.

So, I could’ve listened to these finance gurus, stayed at home, brewed my own coffee, and saved $1200 a year.

But the connections and quality of work I would have missed out on would’ve cost me more.

That, my friend, is why I “waste” $4 on coffee.

But it’s not limited to coffee shops…

Sure, a $10/month gym may be cheap, but think about the people who go to a $400/month gym.

Yes, the equipment is usually better, but they’re not paying for that.

They’re paying for access to a network of high-value people.

The $400/month membership is a filter for wealthier people.

People you can become friends with and learn from.

So, next time you look at a price, don’t base your decision solely on price.

Think bigger.

• Will it save you time?

• Will it increase your confidence?

• Will it get you access to high-value people?

Stop viewing money as scarce.

Look at the potential value.

Money is a tool for you to derive value.

But, that’s my rant for today.

I hope it serves you well.

Your Canadian friend,

Dakota “Broke Boi” Robertson

P.S.

I’m building out a new offer for people wanting to grow and monetize their personal brand.

If you want to join the waitlist and get first dibs when it launches, click here.

Links of The Week:

• Great breakdown on how to grow on LinkedIn [link]

• Recent podcast I did breaking down my social media journey [link]

• My method for getting inbound leads with social media [link]