A Latte a Day Isn’t Going to Ruin Your Retirement
If spending $5 a day on fancy coffee puts your retirement at risk, you’ve got bigger problems.
Bloomberg, April 3, 2019
If you are like millions of other Americans, you spend a few dollars a week on a latte, cappuccino or some other type of luxury coffee. Does this amount to an act of personal financial irresponsibility that can add up to a future in which your well-being in retirement is at risk?
The answer is, probably not — with some caveats. But you wouldn’t know that from personal-finance guru Suze Orman, who warned investors last week that this was sure to set you on the path to poverty in retirement.
Here’s why I hedge: Everyone needs to save for retirement, because it almost goes without saying that if you’re counting on Social Security to see you through the post-work years you are going to be very disappointed.
So go ahead and indulge in the small things (the big things are a different story). But let’s take a look at some of the issues that Orman brings up . . .