AUDIO: Can’t seem to save? The problem is not Starbucks
April 11, 2012
• Financial planner says watch the big things, not only the pennies
• ‘You can make a significant difference in how much you’re able to save every month’
If you just can’t seem to put anything away in savings, the problem might not be the occasional latte from Starbucks says certified financial planner and author Michael Rubin.
“It doesn’t seem like you can save several thousand dollars a year in Starbucks – unless you have a different type of problem that goes well beyond a spending problem,” says Mr. Rubin, author of the new book, “The Savings Solution: A Conversation About How to Live for Today While Saving for Tomorrow,” which goes on sale April 23.
“If you’re watching your pennies and you’re clipping coupons but you’re driving a car that’s $200 more a month than you really can afford, then you’re missing the big picture,” he says. “If you put major focus on the big expenses, you can make a significant difference in how much you’re able to save every month.”
(Michael Rubin offers specific suggestions for simple saving strategies n today’s exclusive CVBT Audio Interview. Please left-click on the link below to listen now or right-click on the link to download the MP3 audio file for later listening.)
Mr. Rubin has a simple solution to personal budgets, too. Actually, it’s two, as in two lines.
Use a two line budget, he says. Line one is your income. Line two is your savings. “Who cares how you spend if you reach your savings goals?” he asks.