Save Your Money for Great Values

February 16, 2013 โ€” Some purchasing decisions are drastically better than others. You might spend $20 on a ticket to a conference where you meet your next employer and earn 1,000x "return" on your purchase. Or you might spend $20 on a fancy meal and have a nice night out.

Purchasing decisions have little direct downside. You most often get your money's worth.

The problem is the opportunity cost of purchases. That opportunity cost can cost you a fortune.

Since some purchases can change your life, delivering 100x or greater return on your investment, spending your money on things that only give you a 10% return can be a massive mistake, because you'll miss out on those great deals.

It's best to say "no" to a lot of deals. Say "yes" to the types of deals that you know deliver massive return.


View source