{"id":683182,"date":"2026-01-08T22:40:12","date_gmt":"2026-01-08T22:40:12","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/683182\/"},"modified":"2026-01-08T22:40:12","modified_gmt":"2026-01-08T22:40:12","slug":"that-time-in-my-life-when-lattes-were-an-essential-expense","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/683182\/","title":{"rendered":"That time in my life when lattes were an essential expense"},"content":{"rendered":"

Open this photo in gallery:<\/a><\/p>\n

Lyndon Stratford\/iStockPhoto \/ Getty Images<\/p>\n

Ah, January. The time for diets, purges and cutting down on spending. Also, the perfect time to share my grand theory about lattes in personal finance.<\/p>\n

Elaborate coffee drinks owe their role as the epitome of mindless spending to David Bach\u2019s 2019 bestseller The Latte Factor. Granted, that general idea has drawn plenty of eye rolls for legitimate reasons. Let me be clear: Too many lattes \u2013 or avocado toasts, for that matter \u2013 are not why young people can\u2019t afford to buy a home. <\/p>\n

But at its core, Mr. Bach\u2019s point is uncontroversial and unassailable: Small, frequent, mindless expenses are a bigger financial drain than most people realize.<\/p>\n

Only, it isn\u2019t really about lattes. Mindless spending is spending on things that don\u2019t significantly contribute to your emotional well-being. Canadian personal finance author Shannon Lee Simmons calls this \u201cemotional return on investment\u201d (ERI). David Chilton, a.k.a. the Wealthy Barber, speaks of \u201cjoy units.\u201d<\/p>\n

Pay attention to the small, recurring expenses that yield low ERI or few joy units, and cut those out.<\/p>\n

But the thing is, what constitutes mindless spending varies from person to person. In fact, it can even vary depending on what stage of life you\u2019re in. Which brings me back to lattes.<\/p>\n

These days, they are a frivolous expense for me that I rarely indulge in (chai lattes, to be exact, because coffee gives me migraines). Instead, I run on strong black tea, which I order in bulk online. <\/p>\n

That way, it costs me about $115 a year to keep myself caffeinated, drinking two cups a day. If I spent $6.50 on just three chai lattes a week, I\u2019d blow through roughly $1,000 a year. You see my point.<\/p>\n

But there was a stage in my life when a daily chai latte had a tremendously high ERI. That was me 10 years ago, in the first three months of my maternity leave, when I was home with a colicky baby who never slept for more than two consecutive hours.<\/p>\n

For weeks, making it out the door with baby in tow to a neighbourhood coffee shop was the single goal and highlight of my day. And a steamy, foamy chai latte was often the only act of self-care I could reliably manage.<\/p>\n

That latte was my thin lifeline to mental health \u2013 without a question an essential expense. Thoughts? Feedback? You can reach me at ealini@globeandmail.com<\/a> <\/p>\n

Subscribe to the On Money newsletter<\/p>\n

Are you reading this newsletter on the web or did someone forward the e-mail version to you? If so, you can sign up for On Money here<\/a>.<\/p>\n

Erica\u2019s personal finance reading list<\/p>\n

Lattes v. cars and houses<\/a><\/p>\n

One more nugget of wisdom on lattes from financial planner Aaron Hector: \u201cCoffee probably won\u2019t derail your financial plan. Overspending on cars and housing might.\u201d Amen.<\/p>\n

Yes, you can record your own customer dispute<\/a><\/p>\n

Two rather shocking accounts of abysmal customer service at WestJet and Air Transat from CBC\u2019s Go Public. The bigger takeaway: Canada\u2019s \u201cone-party consent\u201d rules mean you can record your own customer dispute.<\/p>\n

Chart of the day<\/p>\n

How much better is a public-sector pension plan?<\/a><\/p>\n<\/p>\n

Financial tool<\/p>\n

It\u2019s 2026, and Aeroplan has undergone yet another major transformation. Confused by the changes (or just by how to earn and burn the points, in general)? Here\u2019s the Facebook group<\/a> you need \u2013 good for points strategy tips as much as emotional support. <\/p>\n

For an explanation of the recent changes, see also this Globe story<\/a> by expert blogger Barry Choi.<\/p>\n

ICYMI<\/p>\n

CPP payments slow<\/a> in 2026 as retirees cope with high living costs <\/p>\n","protected":false},"excerpt":{"rendered":"Open this photo in gallery: Lyndon Stratford\/iStockPhoto \/ Getty Images Ah, January. The time for diets, purges and…\n","protected":false},"author":2,"featured_media":683183,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3093],"tags":[9884,51,474,45867,45863,141761,2499,45872,45865,45869,45871,141762,16,15],"class_list":{"0":"post-683182","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-appwebview","9":"tag-business","10":"tag-finance","11":"tag-high-interest-saving","12":"tag-newsletter","13":"tag-onmoneynewsletter","14":"tag-personal-finance","15":"tag-personal-finance-advice-canada","16":"tag-personal-finance-canada","17":"tag-personal-finance-newsletter","18":"tag-personal-finance-planning","19":"tag-saving-strategy","20":"tag-uk","21":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115861888826016584","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/683182","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=683182"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/683182\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/683183"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=683182"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=683182"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=683182"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}