Wear your Canada Goose parka when you're 85 and still commuting to work
Millennials get dinged for their $12 avocado toast, but less-than-brilliant money management isn't unique to that generation. It's common for people to rationalize a high-priced purchase as an investment. Let's just be very clear - an investment is something that pays for itself and then brings you extra money on top of that. Everything else we spend money on is just money leaving the checking account. We get some intangible joy or benefit from it, and that's it. Period.
Take the case of Canada Goose parkas, which the company insists on manufacturing in Canada and therefore justifies charging $900-$1,000 for them. It's funny, nobody was obsessed with a really warm coat until it become a status symbol. Growing up, it was cool to wear as little as possible as you shivered at the bus stop. Middle of January? Jean jacket, unbuttoned, hands retracted into sleeves like a turtle into its shell.
Now suddenly everyone thinks they need a parka designed for scientists living in Antarctica ... as long as it has a certain logo on it. Many people who must parade around in them are those who can't afford them and have no business buying them. They're already deep in credit card debt, and now this extra $1,000 will be financed for years at usurious interest rates, making the ultimate cost as much as a bathroom remodel.
With so many Americans barely saving anything for retirement, those with the Canada Goose parka who say they bought it because it's so well-made and will last forever will be tickled when they can wear it when they're 85 years old and still commuting to work every day.
We do recommend other pricey items like shoes, but only because it's cheaper in the long run to cobble well-made shoes rather than keep replacing cheap ones. Shoes take a lot of abuse. Parkas on the other hand? Unless you're stationed in Antarctica studying emperor penguins, it's unlikely they'll see a lot of wear.
What do you think? Are you in favor of these pricey parkas?