Top Reasons People Don’t have Money
Do you ever wonder why you cannot ever seem to make enough money? Do you look at your budget and wonder where your paycheck went? If you are constantly running out of money before month, you have likely fallen prey to one of the few common reasons that people go broke. Look at this list and see if there is a thing or two you could change:
No Education: Did you know that an individual with a bachelor’s degree earns between 30 and 75 percent more than individuals who did not go to college over the course of their lifetime do? That is a lot of money. Education is a good investment. While you can certainly get by without an education, going back to school may be a good option if you are looking to change careers.
Bad work ethic: When you are at work, how hard are you working? If your boss passed you over for a raise or promotion, take a step back and look at what you are bringing to your job. Studies show that a poor attitude at work can lead to smaller paychecks. If you want a raise, put in a little extra work and show you deserve it!
Opportunist: Do you think wealthy people miss out on tax loopholes? For people who do well, is it a matter of right time at the right place scenario or are they always on the lookout for opportunity? Are you currently taking advantage of all the help you can? What benefits or grants could you be collecting?
No Budget: If you do not have a budget there is no way you will be able to save any money. If you do not know how much money is in your bank account and where it is going, you will not be able to manage it properly. Sit down and make a budget. Keep track of your bills and use cash to pay for groceries, gas and other essentials, so you can more easily track what you are spending.
No discipline: One (possible the most) common reason people run out of money is that they lack the discipline to say no. Instead, they get another credit card and keep making purchases. Then they spend the next 20 years trying to pay off enormous credit card bills. Just say no. Learn to do without or find a cheaper option. If you do not have an emergency fund and a retirement fund, you do not need a new car, the newest phone or the latest getaway.
Unhealthy habits: Do you smoke? How much alcohol or soda do you consume in a week? How often do you eat out at restaurants? Not only will cutting out these habits save your wallet, they could save your health. Kick the smoking habit, cut back on the booze and cook at home more often.
Additionally, exercise and good dental hygiene can prevent expensive medical costs.
Minimum Payments: If you do opt to use a credit card to give your credit a boost, pay it off every month. Do not spend more on the card than you can afford to pay. At the very least, do not just make a minimum payment. The longer you take to pay off a loan or credit card, the more money you are paying in interest fees.
No goals: You need a plan. Do you want to save up for a house? How about a vacation? If you find the proper motivation, you will make a way to achieve it. Have a goal and use that goal as a way to ease the strain of cutting back on things you think you want now.