ACCOUNTANT EXPLAINS: I Stopped Buying These 10 Things and Got Richer

Summary

In this video, the creator shares their journey towards smarter spending by listing ten items they've stopped buying to save money and invest wisely. They discuss the value of knowledge over physical books, the depreciation of new cars, the clutter of souvenirs, the futility of chasing tech upgrades, the psychological tricks of sales, the importance of understanding investments, the pitfalls of fast fashion, the time-consuming nature of high-maintenance beauty routines, the financial stress of gift-giving, and the ego-driven unnecessary spending. The creator advocates for quality over quantity and experiences over material possessions, aiming for financial freedom and a life less cluttered.

Takeaways

• 📚 Digital books and library apps like Libby are preferred over physical books to save space and money.
• 🚗 Avoiding the purchase of new cars to prevent immediate depreciation and focusing on investing in assets.
• 🌍 Traveling continues to be enjoyed, but physical souvenirs are replaced with an online journal to reduce clutter.
• 📱 Questioning the need for the latest tech gadgets and considering whether the cost justifies the marginal improvement.
• 🛍️ Recognizing sales as psychological traps and avoiding unnecessary purchases, even if discounted.
• 💼 Prioritizing understanding investments to ensure they align with personal financial goals and not blindly following advice.
• 👗 Embracing quality over quantity in clothing, opting for durable items over fast fashion.
• 💅 Cutting out high-maintenance beauty routines to save time and money, focusing on productivity.
• 🎁 Proposing a 'prenup' on presents to reduce unnecessary gift-giving and the financial strain during holidays.
• 💸 Refusing to spend money out of habit or to impress others, aligning spending with personal joy and value.

Q & A

Why has the speaker stopped buying physical books?

The speaker has stopped buying physical books to reduce clutter and expenses, opting for digital copies on their Kindle or renting for free through apps like Libby.

What is the speaker's opinion on buying a brand new car?

The speaker believes that buying a brand new car is not financially wise due to the immediate and significant depreciation in value, suggesting investing in assets that grow instead.

How does the speaker approach souvenirs after traveling?

Instead of collecting physical souvenirs, the speaker maintains an online journal to record memories, finding it more valuable than physical clutter.

Why did the speaker stop upgrading tech frequently?

The speaker stopped upgrading tech frequently because the marginal increase in happiness from newer models did not justify the cost, preferring to spend money on experiences or things that bring more joy.

What is the speaker's view on sales and buying items on sale?

The speaker sees sales as a mental trap that can lead to unnecessary spending on items one did not initially need, advising to focus on actual needs rather than discounts.

Why has the speaker stopped investing in things they don't understand?

The speaker emphasizes the importance of understanding where their money is going, advocating for informed investment decisions to protect their financial future.

What change has the speaker made regarding fashion purchases?

The speaker has shifted from fast fashion to quality clothing that lasts longer, believing in quality over quantity and reducing mental energy spent on deciding what to wear.

How does the speaker feel about high maintenance beauty routines?

The speaker has eliminated high maintenance beauty routines, finding them not worth the time or money, and prefers to use that time for more productive activities.

What is the speaker's stance on Christmas gift-giving?

The speaker suggests reconsidering the tradition of gift-giving during Christmas due to the financial burden and proposes finding more meaningful ways to give without the pressure of spending.

How does the speaker approach spending driven by habit or ego?

The speaker refuses to spend money out of habit or to impress others, weighing financial decisions against the potential for financial freedom and long-term wealth building.