A Coffee A Day Makes Your Savings Go Away
It is no surprise that the average American likes their coffee. According to Acorns, the average yearly spending on Coffee alone tops $1,100 per year. That is amazing, but to really understand how this impacts the average person take a look at the table Motley Fool put together:
So let’s see what several decades of investing might do for your money. Acorns reports that the average American spends about $1,100 per year on coffee, which breaks down to roughly $92 a month. Now, here’s what would happen if you were to invest that $92 a month over time rather than gulp it down in the form a morning pick-me-up.
| If You Start Investing $92 a Month at Age: | Here’s What You’ll Have by Age 65 (Assumes an 8% Average Annual Return): |
|---|---|
| 25 | $286,000 |
| 30 | $190,000 |
| 35 | $125,000 |
| 40 | $81,000 |
| 45 | $50,000 |
| 50 | $30,000 |
| 55 | $16,000 |
Wow, for young Americans, the cost of their Coffee habit is over $286,00. This is also a perfect example of a savings idea to help you becoming Thrifty Rich. We are not going to give up coffee, but giving up a few cups a day, skipping Starbucks, or simply making your own at home could have a big impact. The more you change the closer you get to the $286,000.
What can you change and how much of an impact will it have over the long run?
