The 7 Deadly Sins of Finance
It seems easy, but managing money is a skill not many individuals possess. Even if you don’t have financial problems, it doesn’t mean you’re an expert at managing money.
Most people overspend without realizing it, and even more so when their income allows them to live comfortably. This is not bad, however, you are not making good use of money. Other people feel they can’t afford it and think they should earn more, that they deserve a better salary.
The interesting thing about this situation is that no matter if they get a raise, they will always spend more and more. They are people who live above their means.
So what are the deadly sins of finances?
Do you feel like a need to buy the new iPhone because your best friend has it? Does your neighbor have a better car than you? Would that 62-inch TV make your guests envious?
Comparing yourself with others and trying to pretend are big financial mistakes. Don’t buy what others have and never compare yourself to others. Concentrate on competing against yourself.
Don’t feel lazy about making a financial plan, learning how to budget, saving money. Keeping a track of money will win you the game.
If you ever think about this and brain says “do it later,” then don’t get influenced. Not doing this will make matter worse as each day passes. Design a financial plan and be absolutely disciplined with the budget. Letting ourselves be defeated by laziness will always bring regrets.
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Stop thinking about instant gratification and think about delayed gratification.
No more parties, no more beer on Fridays. Have fun, but plan how. Set limits and don’t get carried away for the moment. Your pocket will thank you.
If your income doesn’t allow much, don’t make the mistake of blowing up credit card. The key to all this is always living below your means.
Spend less than you earn and invest the difference. Avoid spending on unnecessary things or making emotional purchases. This will only bring debt.
Check out: Daily habits to reduce debt
Any immoral act you have will affect finances. Drinking, smoking and gambling are the worst enemies of saving and investing.
If any of these activities is part of your habits, then bank account will have a hole through which money will keep on escaping and it cannot be recovered.
Many people live on appearances and think they are better than others. They are always competing and worrying about not being left behind.
Your value is not related to the objects owned. What you are worth is within you, your beliefs, values, and of course, actions. You are neither worse nor better than anyone else.
This is one of the best financial education tips you’ll ever receive.
Stop thinking that everything that happens to you is the fault of your boss, family or the bank. Stop feeling angry about the world.
If your financial situation is not good, it’s your fault and nobody else’s. Put yourself to the task of finding out what wrong you are doing and work on it. It doesn’t matter what situation you’re in currently; you can always learn from mistakes and improve.
Now you know the capital sins of finance. So be honest with yourself and identify which ones you fall into and start working to improve.
All it takes is a little introspection, a desire to be better and a willingness to fight for what you want 🙂