I’m a Self-Made Millionaire: 5 ‘Normal’ Things I Never Spend Money On

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Austin T. reached millionaire status by age 32 through disciplined investing and careful spending choices. While he’s not cheap about everything, there are certain “normal” expenses that most people accept without question that he completely avoids.

Here are five common expenses Austin refuses to pay for, and why he thinks you should reconsider them too.

Also see four strategies that a self-made millionaire uses to safeguard their wealth.

Brand-New Cars

Austin drives a reliable 2018 Honda Civic that he bought used with cash. Despite having enough money to afford any car he wants, he sees new vehicles as one of the worst financial decisions people make.

“This is directly from my dad!” Austin explained. “A new car loses thousands of dollars the moment you drive it off the lot. So, like, I’d rather invest that money in index funds where it can actually grow instead of watching it disappear through depreciation.”

He buys cars that are two or three years old, pays cash to avoid interest payments and drives them until they’re no longer worth repairing. 

Premium Cable and Streaming Packages

While most people subscribe to multiple streaming services and expensive cable packages, Austin keeps his entertainment costs under $20 per month with just one streaming service and a basic internet plan.

“I’m a nerd so I calculated that the average person spends $150 per month on entertainment subscriptions,” Austin said. “That’s $1,800 per year that could be invested instead. Over 20 years with compound growth, that’s close to $75,000. It’s a pass for me!”

Austin loves renting movies and TV shows through his local library. He also spends his free time reading investing books, learning new skills and exercising. (Running outside, of course; he’s not “wasting” money on a Peloton!)

Expensive Coffee and Daily Food Purchases

Austin never buys coffee shop drinks or eats out for lunch during the workweek. He makes coffee at home and meal preps on Sundays to avoid the daily spending that adds up quickly.

He said this requires planning and discipline, but the savings get invested automatically into his brokerage account. 

Designer Clothes and Accessories

Austin shops at discount retailers and buys quality basics rather than trendy or designer items. His entire wardrobe probably costs less than one designer handbag.

“Nobody gets rich buying expensive clothes,” Austin said. “I’m a thrift store guy… I can get the look for less that way!”

He focuses on building wealth rather than looking wealthy, understanding that real millionaires often dress more modestly than people trying to appear rich.

Extended Warranties and Insurance Upsells

Austin never buys extended warranties on electronics, avoids rental car insurance when his credit card provides coverage and refuses insurance upsells that prey on people’s fears.

“Most extended warranties cost more than they’re worth, and you’re usually covered by manufacturer warranties or existing insurance policies anyway,” he said. 

Instead of paying for unnecessary insurance products, he maintains a solid emergency fund that can cover unexpected expenses. This self-insurance approach has saved him thousands over the years.

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