I Became a Liquid Millionaire at 38: Here Are Things I Don’t Waste Money On
I’ve never cared about pretending to be rich. Flashy cars, oversized houses, overpriced services, none of that impresses me. What does impress me? Owning every minute of my day and buying back my time.
I believe strongly in this: “Spend enough money to make you happy, but do not spend a penny more. Each additional penny is worth less than a penny.” Most people flip that. They keep chasing more, thinking the next purchase will finally satisfy them. It won’t.
So today, I’ll show you exactly what I don’t waste money on. These are the decisions that build real wealth, not just look rich. Every single one helped me hit millionaire status early and stay there.
Stop wasting money on things that don’t buy freedom. I didn’t, and you don’t need to either. Keep reading.
Table of Contents
Private School
Some of my friends send their kids to private schools, shelling out $25,000 a year like it’s just another line item. Are their kids getting a slightly better education? Maybe.
But guess what? I don’t need to outsource that job because I retired early for a reason, I’m available.
I’d rather be the dad who shows up every day than the dad who pays someone else to do it. I don’t throw that kind of money at a school when I can teach my kids plenty right at home. More importantly, they’re learning real-world skills, not just test-taking tactics.
Private schools can keep their tuition, I’ll keep my financial independence.
Daycare
When my kids were little, daycare wasn’t even on the table. My wife stopped working before I did, and it wasn’t because we couldn’t use the extra income. It was because we saw more value in being present parents than sending the kids off and cutting a check every month.
In St. Louis, daycare isn’t cheap, $1,300 a month for an infant adds up quick. That’s not even counting the mental load of managing schedules, drop-offs, and strangers raising your kid half the day. We skipped all that.
Our plan was always to spend that time together, and honestly, I wouldn’t trade it for any paycheck.
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Here’s a General Breakdown of Daycare Costs
Since people love numbers, here’s how the math shakes out where I live. Infant care runs about $20 an hour, toddlers drop slightly to around $18.75, and preschool kids cost about $17.50 an hour.
Multiply that by the weeks in a year and you’re looking at $13,000 to $15,000 annually, per kid. That’s just daycare. Add it to private school later, and you’ve got a six-figure line item before your child hits high school.
We decided early on that we’d rather redirect that money toward freedom. You can earn more, but you can’t earn back time missed with your kids.
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Au Pair Costs
Some people try to sidestep daycare and hire au pairs, thinking it’s a savvy move. But once you factor in agency fees, stipends, housing, meals, it’s still $20,000 to $25,000 a year. That’s the cost of bringing someone into your home to do the job you could do yourself.
Sure, there’s the “cultural exchange” angle. I’m not knocking it, but I don’t need to hire someone to expose my kids to the world. We travel. We talk. We read.
I retired early so I could be present, not so I could outsource parenting at the price of a new car annually.
Nanny Costs
The nanny route is another favorite. In St. Louis, you’re dropping $600 to $800 a week for a full-time nanny, possibly more if they specialize in newborn care or hold certifications.
I get it, people are busy, they want help. But once again, you’re paying someone else to spend time with your kids. You could be spending that time with them.
We skipped the nannies entirely. My wife and I structured our lives differently so we didn’t have to pay someone to raise our kids.
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Big Houses
People love massive houses. Five-thousand square feet, six bedrooms, extra rooms nobody uses. Let me ask, why? That’s just space you’ve got to furnish, heat, cool, clean, and maintain.
Every extra square foot is extra money bleeding out monthly, not to mention the bigger mortgage upfront. I never understood it. We live comfortably.
What is really crazy is that those houses used to be called mansions. Now people call them starter houses. Then they complain that housing is not affordable. I don’t get it.
The more house you own, the more house owns you.
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Pool in the Backyard
I’ve wanted one. Who wouldn’t? But here’s the thing, I live in a neighborhood with a perfectly fine pool. It’s already there, it’s clean, and I don’t have to skim leaves or balance chemicals.
I thought about adding one to our backyard, but when I looked at the numbers, the cost-to-happiness ratio wasn’t worth it. Pools are money pits, plain and simple.
It’s easier to walk two blocks, enjoy the neighborhood pool, and walk back home without the maintenance headache. Keeps life simpler, keeps the wallet heavier.
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Vacation Homes
I’ve been tempted, trust me. There’s a spot overlooking the river about an hour away that catches my eye every time we drive past. Owning a vacation home sounds nice on paper, weekend getaways, your own piece of paradise.
But then reality shows up with property taxes, maintenance, insurance, and the fact you’re locking yourself into vacationing in the same spot year after year.
I like flexibility. I rent one when I want, stay as long as I feel like, and move on. No strings attached. No extra bills following me home.
Housecleaning Services
We’ve always cleaned our own house. I know plenty of people who hire cleaning services weekly. Could I afford it? Sure. But I never saw the point.
Cleaning forces you to stay on top of your own mess. Keeps you grounded. Plus, it’s not hard, vacuum, wipe down counters, mop a little.
More importantly, I want my kids to know how to take care of their own space. No one’s too good to scrub a toilet. Millionaire or not.
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New Cars
Here’s the deal: I don’t buy new cars. Every car I’ve owned had at least 100,000 miles when I bought it. And I kept it until it was well past 200,000.
People act like a new car is some rite of passage when they get a raise. For me, it’s just a depreciating asset that loses value the second you drive it off the lot.
My “big baller” move? Buying a brand-new 2006 Mazda 3 hatchback, years after becoming a liquid millionaire.
That was 8 years ago. I still have it. Plus a Honda Odyssey with 150,000 miles on it. Zero car loans, ever. It’s not about affording a new car, it’s about mastering the ability not to need one.
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Paying Someone to Do My Taxes
I like knowing where my money goes. That’s why I do my own taxes. It forces me to get intimate with every dollar coming in and every dollar going out.
Most people would rather pay a professional and be done with it. Nothing wrong with that if you’re truly overwhelmed, but I prefer keeping control. It’s not hard.
The tax code isn’t some unsolvable mystery. You learn a lot more about yourself, and your money, when you roll up your sleeves and handle it yourself.
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Financial Planners
I don’t pay anyone to plan my finances. Not because planners don’t offer value to some people, but because I know exactly what I’m doing. I’ve got the credentials. I’ve got the experience.
I’ve managed my investments, my cash flow, my tax strategy for years without paying someone else to do what I already know how to handle. That money stays invested, not outsourced.
You don’t need to pay middlemen to babysit your wealth, especially once you’ve done the work to understand how to manage it yourself.
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Obsessing Over Investment Trading
This one shocks people the most. I’m a CFA. I am qualified to run mutual funds. But here’s the kicker, I don’t even check my holdings regularly. Haven’t in twenty years.
I’m not sitting around stressing over the latest market swings. Why? Because I focused on investing a lot, not micromanaging. Maxed out my 401k even when my salary was under $50k, bought solid companies, and let time do its thing.
People waste so much energy trying to micromanage every move. I didn’t. And that’s how I retired early.
Real Estate Agents
Everyone thinks you automatically need a real estate agent to buy a house. I used one for my first couple of properties, then realized, I can do this myself. I’ve bought multiple homes without an agent, starting in my mid-20s.
There are plenty of ways to handle a deal: direct negotiation, FSBO, dual agency, even discount brokers. I kept more money in my pocket by cutting out unnecessary commissions and taking the time to learn the process. You can too.
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Club Memberships
I have friends dropping $200 to $300 every month on luxury gym memberships and country clubs, per person. These are high-income people, no doubt. Funny thing is, I’m the liquid millionaire.
You don’t need to drop thousands a year to stay in shape or feel exclusive. There are simpler, cheaper ways to exercise and socialize without bleeding money for the privilege.
I’d rather invest that money and watch it grow while they’re paying for towel service.
Subscriptions
It’s too easy now, $10 here, $20 there, a few “free trials” you forget to cancel. Before long, people are bleeding hundreds a month on subscriptions they barely use. I cut them ruthlessly. If I’m not actively using it, it’s gone.
I’m not interested in paying for five streaming platforms, a specialty meal box, and whatever “premium content” someone’s selling. Keep it simple, keep it lean. The less automatic payments, the better.
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Luxury Vacations
Don’t get me wrong, I love a good vacation. But spending five figures on a luxury vacation just to show off isn’t my style. I’d rather rent a modest place, enjoy quality time with my family, and not come back to a drained bank account.
The experience doesn’t change based on how expensive the hotel room is. Memories aren’t made in first-class seats, they’re made in conversations and shared moments. I choose the latter.
Why I’m Still Happy (and Wealthy)
All these little choices stack up. It’s not magic, and it’s not deprivation, it’s deciding what actually matters. I don’t need to keep up with anyone, and I sure don’t need to spend just to prove something.
Cutting out the waste bought me freedom, not just dollars. I retired early, I’m raising my kids, and I am happy. That’s wealth.
Keep it simple, stay focused, and you’ll be surprised how far you get.
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