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David Bach, author of the Automatic Millionaire, coined and trademarked the phrase “The Latte Factor”. His theory is to focus on finding those small, day-to-day purchases that, when eliminated, can actually provide you with a significant sum of money. It really comes down to finding $5 a day that can be saved and invested instead of spent.
The point is to understand that most of us let too much money slip and not even realize it. For example, we might be the person who stops by Starbucks every morning for a $3.00 cup of coffee and a $2.00 muffin. Or, we might be the guy who eats fast food every day, instead of bringing a bag lunch to work. Maybe our guilty pleasure is eating out for dinner regularly because we get home too late to cook. We could be the gal that buys a couple bottles of water a day when it’s free at the tap. Or maybe you are the person who is paying $10 per month in bank service fees when there are so many ‘no fee’ alternatives.
Whatever the case may be the Latte Factor brings real meaning to the saying that small things add up to big differences over time.click here for more details
