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1. Don’t focus on your finances
The reason most people get into debt is because they
don’t spend enough time focusing on their finances.
You need to get a grasp of where you’re at
financially, keep track of your income in relation to
expenses and spending habits.
2. Failure to develop a good financial plan
No one would imagine going on vacation without
planning for it. Yet when finances are concerned, many
people don’t plan. A good financial plan can be the
difference between comfortable living and struggling
to get by.
3. Waiting too long to invest
When making investments, time is of the essence.
Compound interest earns money over time; so don’t
wait too long to save for retirement. The longer you
wait to invest, the smaller your return on investment.
4. Marrying the wrong person
Who you marry has a huge impact on your finances.
Couples with different views on money, create stress
in their marriage. Divorce apart from the emotional
pain and suffering causes financial heartache.
5. Habits
Although habits seem minor, the prices add up. Buying
a $1 coffee each day cost you $365 every year. Imagine
how much more money you spend by eating out regularly.
If you smoke, the cost of cigarettes along could drive
you to quit.
6. Running up credit card balances
If you carry unpaid balances on credit cards, you are
already losing money in interest payments alone.
Credit card companies have high interest charges that
accumulate with unpaid balances.
7. Be under-insured
You need to protect yourself and your family from
unforeseen emergencies, sickness, accidents and
possible death. The goal is to make sure that you have
proper financial coverage incase anything should
happen.
8. Investing in things you don’t understand
If I had a dollar for every sure fire stock tip…
I’d be rich. Then I’d lose that money by investing
in those tips. Make sure you know what you are
investing in, by asking a lot of questions, don’t
hesitate to get another financial opinion.
By www.parenttree.com
Richmond Acheampong: Richmond Acheampong is the
founder of Parent Tree, an online family Resource web
site that promotes family health and balance. A web
site that promotes family health and balance with
thought provoking articles, products, advice columns
and resourceful links. For more information and
articles relating to family matters, visit http://www.parenttree.com
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