How you can have your Smashed Avo and Eat it too

These Show Notes are a ChatGPT summary of the episode transcript (with brief additional editing)

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Inflation is a hot topic today, and it’s affecting everyone’s finances. As prices rise, people are finding it harder to make ends meet. This leads to the question of where to cut back on spending, but the answer might not be as obvious as it seems.

The podcast episode begins by discussing the concept of “smashed avo” and its origins. The term comes from a now infamous article written (by a Boomer) in 2017, in which he satirized a Boomer having breakfast at a café and internally chastising young people for spending too much money on expensive breakfasts instead of saving for a house. This article went viral and caused controversy, with millennials and boomers arguing about who had it harder.

Kim and Rog point out that this controversy around smashed Avo is just a small part of a larger discussion about the differences between generations and their values. They emphasize the importance of getting clear on your values and not letting external pressures dictate your spending choices.

In a world where inflation is causing financial instability, it can be easy to get caught up in the fear and panic of the situation. However, it’s essential to take a step back and assess what is truly important to you. By clarifying your values and priorities, you can make informed decisions about where to cut back on spending and where to invest your money.

Money and Relationships

They go on to discuss the importance of aligning values in relationships, particularly when it comes to financial decisions. According to research, money is one of the top causes of disagreements in households, and many of these arguments stem from misunderstandings and misaligned values.

One way to avoid ongoing arguments with your partner around money is to have open and honest conversations with them about what really matters to you. This can be a challenging conversation to have, but it’s essential to get on the same page when it comes to finances. By understanding each other’s values, you can work together to achieve your goals and reduce any potential disagreements.

As a start they suggest couples to sit down and outline what they love doing together and to cut back on things that aren’t important to them. They also emphasized the importance of celebrating successes and recognizing effort instead of just soldiering forward.

You get to define your “rich life”

Rog shares an insight from Ramit Sethi, who advises people not to stress about the small financial decisions, such as spending $6 on a coffee or $22 on avocado toast, but to focus on the larger decisions such as being aligned with your partner on finances, locking in your mortgage when rates are low and having a savings plan.

If, like Kim and Rog you value experience and connection, when you pay $22 for avocado on toast, you are not just paying for the food; you are paying for the experience of going out to a restaurant and sharing that experience with others. These value driven decisions will lead you to fulfill your definition of a “rich life” (as opposed to someone else’s). By focusing on experiences that bring you joy and fulfillment, you can reduce the temptation to spend on things that may not bring long-term happiness. This can be a challenging mindset shift, but it’s one that can have a significant impact on your financial (and personal) well-being.

By doing this, they believe that anyone can have their “smashed avo” and eat it too.