Over the years, I’ve seen some very smart people make some very questionable money decisions. People with high incomes, strong careers, decent financial literacy, but a blind spot the size of Bondi when it comes to what they actually spend their money on. I’m not here to tell you not to enjoy your money. But if you want to build real wealth – long-term, life-changing wealth – there are a few things worth cutting back on. Here are five of the most common (and frankly, dumbest) money drains I’ve seen otherwise clever people fall for. 1. The subscription trap No one needs six streaming services, three cloud storage apps, four meditation apps, and a digital magazine you forgot existed. But if you’ve ever gone through your credit card statement line by line, there’s a good chance you’re paying for all of them – and more. Subscriptions are sneaky. They’re small enough not to raise alarm bells individually, but they add up fast. It’s the ultimate “death by a thousand cuts” scenario. Do yourself a favour. Print out your last statement, grab a highlighter, and start cancelling anything you haven’t used in a month. You don’t need to sacrifice your Netflix time – just don’t pay for the stuff you forgot you signed up to during lockdown. 2. Buying cars that outpace your net worth I’ve said this before, and I’ll say it again: the Kia does the same job as the Range Rover. Spending $1,000 a month on a car lease might give you that “new car smell” and a few extra compliments in the carpark, but over time it costs you something far more valuable. Compounding returns. Let’s do the maths. Put that same $1000 a month into a share portfolio returning 7 per cent a year and you’d have over $1 million after 28 years. And that’s conservative. The ASX 200 has averaged closer to 10 per cent over the last decade. At that rate, you hit seven figures in 23 years, not 28. So the next time you’re tempted by a luxury car ad, ask yourself if you’d rather have leather seats or a million-dollar investment portfolio. 3. Personalised everything It’s nice to have a custom suit or your initials on a handbag. But when you’re monogramming everything from luggage to linen, or buying personalised drink bottles, golf towels, laptop cases and gym bags, it’s probably time to take a step back. I’ve seen people spend hundreds on designer shirts just to get their initials stitched on the cuff. Then there’s the personalised number plates, engraved chopping boards, custom doormats, and even Bluetooth speakers with their name on them. It all adds up. Personalisation doesn’t improve the function of the thing you’ve bought, it only makes it more expensive. And in most cases, no one else cares. If you’re looking to impress, or worse, keep up with the neighbours, your money could be doing more elsewhere. 4. Over-accessorising your baby This one’s controversial, but it needs to be said. Some of the prams I’ve seen recently cost more than my first car, and definitely more than my second. We’re talking carbon fibre frames, off-road suspension, adjustable shocks, and storage space that wouldn’t look out of place in a tradesman’s ute. And it doesn’t stop at the stroller. Yeezy onesies. Baby Air Jordans that cost more than adult runners. Cashmere beanies. Designer nappy bags with the logo front and centre, because nothing says “chic” like carrying a week’s worth of wipes and banana mash in a $2000 tote. Sure, it’s an exciting time, and it’s fun to spoil your newborn. But it’s also very easy to confuse “first child” with “first red carpet appearance.” The truth is, your baby doesn’t care. They’ll drool on the Gucci bib just like they would the $5 one from Kmart. And they grow out of it in minutes, then most of it ends up in a storage tub. If you’re feeling the urge to splurge, open a Raiz or micro-investment account instead. Put in a few hundred dollars every time you skip the high-end baby gear, and hand it over to your kid on their 21st birthday. They’ll be far more grateful for a house deposit than they ever were for the titanium drink holder, and the mini Gucci loafers. 5. Regular home makeovers Here’s one I see all the time. Smart, financially stable people who suddenly decide their whole house needs a “refresh.” It starts with a new throw cushion, and ends in a $40,000 repaint, new benchtops, bathroom fittings, rugs, stools, lighting, and a wildly expensive trip to a homewares store with too much rattan. All because someone got tired of the colour scheme. If you’re planning to sell soon and a refresh adds value, fair enough. But if you’re repainting the house because “greige is out” and “ocean mist is in,” maybe pause and reassess. That $40,000 could knock a serious chunk off your mortgage or fund a proper holiday you’ll actually remember. You can get the same lift for far less. A new plant, a few second-hand finds, or even just changing up the art can scratch the same itch without gutting your bank balance. Spend $500 and move things around – you might be surprised how little it takes to make things feel new again. Of course, this is just the shortlist. I didn’t even get to the oversized kids’ birthday parties, and the $80,000 weddings with 200 guests you barely know. And then there’s those two by $10 coffees everyday, that in one week you can recoup with a bag of beans, coffee grinder and an environmental cup. The point isn’t to stop spending altogether. It’s to spend with a bit more intention. Wealth isn’t built by never spending; it’s built by knowing where your money actually goes, and steering it towards things that grow, not just impress. Smart people should make smart money decisions. The rest is just packaging. Mark Waller is the Managing Director of One Click Life, a fintech platform dedicated to streamlining financial administration tasks for Australians. With over 20 years as a Certified Practising Accountant (CPA) and recently attaining Fellowship (FCPA) status, Mark has been instrumental in providing online services for tax returns, wills, mortgages, and insurance to a growing user base exceeding 170,000.