Big purchases can make or break your finances. Smart planning ensures they build wealth rather than destroy it.
The Major Purchase Framework
A decision system for big spending.
Before any purchase over 500 euros: Can I afford without debt? Have I waited 30 days? What is cost per use? Is there a quality used alternative? Does this align with goals? What is the opportunity cost?
Buying a Car the Smart Way
Avoid the biggest financial mistake.
New cars lose 20-30% in year one. Sweet spot: 2-3 year old certified pre-owned. Never spend more than 25% of annual income. Consider if you actually need a car in European cities.
Buying Property: When Ready
The biggest purchase of your life.
Ready when: 10-20% deposit saved, emergency fund separate, monthly payment under 30% of take-home pay, plan to stay 5+ years, job is stable. Budget 5-8% for buying costs beyond deposit.