This piece is part of my 2016–2026 archive migration. Some original formatting, content, and external links may be missing, changed, or not be optimized.
More Dumb Decisions: Why Are You Leasing A Car?
Your Reason For Not Investing Isn’t Good Enough
I still have several more decades to plan.
I have all the time in the world.
I’ll get to it later.
We all know what ends up happening…nothing. Most people greet their retirement years with insufficient savings. People should work to keep their minds sharp and focus on ventures that bring them the most joy. Instead, they’re working any job they can get that brings in enough income to pay the bills because they failed to plan and ultimately made financially dumb decisions.
All of us make at least one dumb financial decision during our lifetimes. It doesn’t make us dumb, but it does offer us the opportunity to learn.
Two of the biggest financial failures people tend to make are:
Not investing
Spending above their means.
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Your Reason For Not Investing Isn’t Good Enough
Unfortunately, the reasons people don’t invest are never good enough, which is the logic behind this article.
A 40-something-year-old guy who doesn’t invest felt it was okay to lease a vehicle and spend money on frivolous purchases, such as more vehicles.
With nothing saved and nothing in his emergency fund, he has multiple mobile liabilities that aren’t bringing in income or adding to his net worth.
It’s okay to lease a vehicle if you can afford it and it doesn’t hurt you. It’s okay to spend money on more than one vehicle if you can afford it.
But leasing and buying vehicles when you’re behind on investing is a dumb decision. Vehicles are depreciating assets, and a leased vehicle doesn’t appreciate at all. It’s like renting a car.
But he’s not unlike some of you.
What are you compromising and purchasing over investing?
It might be dining out, a mortgage, shopping, etc.
Most likely, your reason for not investing or delaying investing needs to be better and will not help you in the long run.
Consider These Philosophies When It Comes To Cars
Never delay investing to buy a car.
Spend at most 1/10 of your gross income on a vehicle.
Be able to buy the vehicle with cash or earn the income needed for the car payment in passive income.
What Is ONE Thing You Can Never Get Back?
Time.
Compound interest is best friends with the young and also best friends with time.
If you lease a car, buy more than one vehicle, or shop for anything, always maintain your investment strategy and goals.
Follow this method, and you will build wealth while you acquire your depreciating toys.
Don’t follow this method, and you will end up with liabilities and no money.
This content is for informational purposes only — not professional advice. Consult a qualified professional before making any major decisions.