I came across this article that is definitely worth a read in the Irish Times a couple of weeks ago (sub required).
The article, by Lucy Kellaway who is a columnist with the Financial Times, is also available for free (with registration) from the Financial Times website here.
I think that if most of us considered the “nutty principles” of finance discussed in the article that many of us would find that we succumb to one or more of them.
I know that personally, I struggle with the “in-for-a-penny-in-for-a-pound principle”. I rarely go shopping at all, but when I do, oh wow, the credit card takes a hammering every time.
An easy observation, but probably not so easy in practice, but surely if we were to resist these financial “nutty principles” we could probably save ourselves some handy money.
The article reminded me of a work colleague, who like the gentleman in the article, will always pick up small change from the ground. Not only change that she might have dropped herself, but also change dropped by others.
She has a fascination with why people would drop their own money on the ground and never bother to pick it up – essentially throwing away their hard earned cash. She proudly remembers the one day where at the end of the day, she’d found more money than she’s spent in the course of a normal day (transport to work, food etc).