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July 05, 2021

How to be a better money waster

Be frugal. Live on less than you make. Save for the future. It's a simple message, and one that financial planner Rick Kahler has been preaching for years now.

But it's also possible to look at thrift from a slightly different perspective, he says. Consider, for instance, where you waste those hard-earned dollars.

For anyone who has cash to burn, here's his list of the most effective ways to throw your money away.

It's very long.

Here, for instance, is an excerpt from the travel section:

• Buy package vacation deals.
• Buy a vacation home.
• Get an RV and only use it one or two weeks a year.
• Buy a timeshare unit.
• Pay for hotel Internet packages.
• Eat at hotel restaurants.
• Use room service.
• Over-pack, and pay checked baggage fees.
• Don’t bother to use a travel credit card that gives you frequent flyer credits.
• Stay at full-service hotels with amenities you don’t use.

And there's more. Take insurance, for example ...

• Get a cancer or accidental death policy.
• Buy credit life insurance.
• Buy variable universal life insurance.
• Have life insurance if you don’t need it.
• Keep your deductibles low.
• Purchase the cruise line’s trip insurance.
• Purchase car rental insurance.

What's your list like? Can you identify a few more spots where you or your friends simply waste money? Any suggestions?

By Gordon Powers, MSN Money

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Gordon PowersGordon Powers

A long-time fund company executive, Gordon Powers now heads up the Affinity Group, a financial services consulting firm. Gordon was a personal finance columnist for the Globe & Mail for many years, has taught retirement planning...

Jason BucklandJason Buckland

The modern-day MC Hammer of money, Jason can often be seen spending cash that isn’t his with the efficiency of a Wilt Chamberlain first date. After cutting his teeth as a reporter for the Toronto Sun, he joined the MSN Money team with...