Tom Corley, author, speaker and financial planner, has spent five years studying millionaires. During the course of this half a decade, he interviewed 233 millionaires to find material for his books like ‘Rich Habits: The Daily Success Habits of Wealthy Individuals’. Corley recently penned an article for CNBC revealing the five things that millionaires don’t waste their money on. “I was particularly interested in what they spend their money on. But almost everyone told me that what contributed more to their wealth was that they stopped wasting money on certain things,” he wrote.
Here are five things that millionaires don’t waste their money on:
Packaged and processed food
You might love that pack of instant pasta or that cup of noodles, but millionaires prefer to put their money towards healthier options. According to Tom Corley, many millionaires he spoke to said they stopped buying low quality, processed food when they could afford to. For better health and utilization of money, they put their cash towards organic, ethically-sourced and high-quality produce and meat.
Fast fashion
Many of the ultra-rich prefer to invest in high-quality clothes that can stand the test of time. Instead of buying fast fashion and ‘trendy’ clothes that fall out of fashion quickly, these millionaires opt for tailored or timeless pieces that are definitely more expensive but also of better quality. They feel it’s still less expensive than constantly replacing clothes from fast fashion brands that are cheap and wear out quickly.
Major repairs
‘Replace, don’t repair’ seems to be the mantra for many millionaires who prefer not to spend too much on major home or car upkeep. “Many of the millionaires told me that given the option, they preferred to spend money on completely replacing things like old roofs, washing machines, dishwashers, refrigerators, furnaces, and even vehicles, rather than putting their hard-earned funds towards expensive repairs,” wrote Corley.
Garden tools and equipment
This is an area where many millionaires prefer to outsource their work. While the average citizen in the US will mow his own lawn and do his own gardening, millionaires opt for hired landscapers once they can afford to. This means they no longer spend money on outdoor tools and machines used for weeding, mowing, trimming etc.
Lottery tickets
Many millionaires told Corley that they stopped gambling while building their wealth. Lottery tickets and casinos became a no-go for many millionaires, who also encouraged their friends and family members to follow suit. Instead of putting their money towards lottery tickets, they preferred to spend it on experiences.
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