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What do you do that’s financially foolish—but you do it anyway?

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AUTHOR: Jonathan Clements on 4/12/2021
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Ben Rodriguez
7 months ago

I don’t rebalance, tax loss harvest, and we still have positions in active managed funds.

OldITGuy
7 months ago

I’ve gotten lax on reviewing subscriptions that I really don’t need any more.

Matt Morse
7 months ago

Supplement my heating with a wood stove. The additional insurance cost of having a stove in my home probably exceeds any savings.

Ken Begley
7 months ago

My spouse is a Amazon Ranger. She can’t help herself with constant impluse purchases on Amazon. Probably buys $6,000 a year on such stuff a year. We use to have fights over it but now I just let it go as we can afford it.

Dan Smith
1 year ago

Vinyl Records

Jim Wood
1 year ago

When I posted a year ago, my cable bill was $150. Today my cable and internet bill is $218. When will I do something about it? 🥴

haliday11
1 year ago

I play blackjack and video poker.

Donny Hrubes
1 year ago

Large amounts in several non or low interest checking accounts, I don’t have to worry, so I don’t.

Seigo Tsujimoto
1 year ago

Buying individual stocks even I think index funds are better.

Klaatu
1 year ago

Buy items I can’t afford and usually end up returning them after coming to my senses.

Mike Wyant
1 year ago

Owning an RV. Although since retiring it makes alot more sense. We travel 3 to 4 months per year, frequently camp off grid in remote places. We have watched bald eagles hunting along a river, had a moose walk thru our camp, and had many more memorable experiences you wont get from a hotel room. Our average nightly cost is less than $30 per night vs a couple hundred for a hotel room. Maybe it isn’t so financially foolish after all!

Bob Drake
1 year ago

New cars. I dislike repair issues that creep in as a car ages. Yes, financialy it makes sense to pay a bit more for maintenance and keep longer, but I REALLY hate the maintenance game at the shop – not a mechanic myself, I have been fooled into unnecessary “repair” items discovered later. Plus now that I’m older I value the newest safety features on new cars more than before. However I do keep my new car for 6 or 7 years, when the tech improvements have accumulated a bit and before the maintenance has increased.

Roboticus Aquarius
3 years ago
  • Vacations. My wife is always right when she suggests another one.
  • Eating out.
  • I don’t budget. I hate budgeting; makes me feel restricted rather than in control. I do make forecasts though, and they tend to be very accurate.
  • I don’t have a spending limit for books. If I want a book, I buy it.
  • Move our car loans into the Heloc. The old cash flow was very thin for several years there, and this eased the pressure a lot. Then rolled the heloc into our new mortage. At least the rate is super low. And we intend to recharacterize the mortgage when we get some lump sums in the future.
  • I tip well. I try to tip 25% or more consistently. The annual cost is a few hundred dollars, and it makes a much bigger difference to them than it does to me.
Last edited 3 years ago by Roboticus Aquarius
Jim Wood
3 years ago

Paying $150 a month for cable and high speed internet

Ginger Williams
3 years ago

Grocery shop without planning menus or checking pantry and freezer first. I try to balance this with a periodic no-grocery-shop week, eating some peculiar meals as I clear out the three half boxes of pasta, four bags of frozen stir fry veggies, and other miscellaneous items.

Blow $20 on Powerball tickets several times a year.

johntlim
3 years ago

I pick a few individual stocks.

Carl Book
3 years ago

Buying the cheapest instead of the best value.

Mike Zaccardi
3 years ago

Classify all of these under the “Loss Aversion” umbrella. I’m the worst!

-Not enough auto insurance: I carry the least amount possible on my $2k 2008 Yaris. It’s about $20/month

-No financial advisor: While I’m a CFA, I should hire a good advisor at this point since I’m financially independent and run my own business. Not trying to be arrogant, but it’s not like I have no money anymore like I did when I was 22 years old.

-Avoid going to a therapist or specialist when a medical issue pops up. I depend too much on my body healing itself. Eventually, that won’t end well.

Edwin Belen
3 years ago

Buy more clothes and shoes than I need. Have gotten better over the last decade but still find myself buying more than I need.

Scrooge_McDuck88
3 years ago

New cars… 100%.

Rick Connor
3 years ago

Drive extra miles to save a few cents on gas or groceries. The extra miles usually swamp the savings. I’m getting better at doing the cost trade, and trying to plan my trips and errands more effectively.

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