For years I lived my life like most people; penny wise and pound foolish. I would pinch pennies at every opportunity. Successfully, I would save just a few dollars after spending countless hours researching my purchases. You can save yourself money (pounds not pennies!) now by not making these same mistakes.
A few days after my wife crashed my BMW 325e (I loved that car. RIP!) I had to grab a ride with my buddy Vinny. The Vinster was and is a car dude. He will put you to shame when it comes to cars. He loves them and his enthusiasm is contagious.
He rolled up in a beautiful hot red Audi TT Coupe Quattro. I had to do a double take for a few reasons. One, the car was awesome. Two, after I regained my focus I noticed Vinny sitting in the driver’s seat. I got in and asked 50 questions on the way home.
The next day I was all over the Internet researching my new discovery. By the end of that very UN-productive day I found the nearest dealership. It was almost 2 hours away from where I lived.
Long story short, I told the salesman that if he could get me an Audi TT Coupe with my exact specs I would be down the next day to pick it up. He made it happen by having a brand new TT shipped from 5 states away.
Sure enough, I went and picked up my new car the next day. What a fool I was! I should have sat on that for at least a week. Penny smart, dollar dumb.
- I didn’t need a sports car.
- I had 2 children at the time so it was totally useless for any family activities.
- I wasted a bunch of cash.
- I bought it on emotion.
The right way to save yourself money is to:
- Pay cash (had to start with the obvious)
- For buy, waste time – take your time and then wait some more. For free – have at it!
- Keep your eye on the big picture – while small savings add up over time, it’s the big purchases that kill your budget and put you in the hole.
- Don’t buy on emotion – there is nothing you can buy that will fulfill that emptiness you may feel at times.
I had the right intentions but the problem was I was too focused on what I wanted in the moment. I missed the big picture.
The story continued… exactly one year later I bought a nice year old BMW X5 SAV. Big enough for my family and still very stylish. I could have paid cash for it if I wouldn’t have blown it with the Audi TT Coupe.