One of my favorite financial quotes is from Katherine Porter: "You can't latte yourself to bankruptcy. The bladder won't stand for it."
The common wisdom is that you can make financial headway by cutting out the daily latte. But in the grand scheme of things, how many lattes will your bladder allow you to drink? Porter’s point is that the places to make/save money in a meaningful way lie in the big things and the necessities: income, rent/mortgage, transportation, etc.
So keep the daily latte because it’s only a matter of a hundred dollars a month, and the stress-relief and pleasure it gives you may well be worth the cost. One could argue that, if a matter of a hundred dollars were truly that significant to someone, then they might be better served by focusing on making more money rather than saving individual dollars (or pennies) because the evidence I have seen indicates that the real changes in one’s financial life are made elsewhere and in more meaningful ways.
And so I agree with Katherine Porter. Thinking about pennies – in this day and age when they are worth so little – is almost by definition pound-foolish because the calories it cost you to think about such insignificant things are wasted, frankly… literally; if you stop to look down at a penny, consider its value, decide to retrieve it, endeavor to pick it up, wipe it off, store it in your pocket, and then decide what to do with it when you get home… then you have already spent more energy and resources on that penny than it could ever be worth to you; that energy could have been spent simply activating your comparative advantages to make additional money or simply strategizing to save money in more significant ways.
Of course, if one’s problem isn’t really the daily latte, but rather a number of things like the daily latte – such as subscriptions, apps, scratch tickets, clothing purchases, etc. – then there’s probably a psychological problem afoot; the daily latte, in such a case, is the leitmotif and not the theme.