Let’s talk about what holds us back when it comes to managing money!
Existing habits are really hard to break – probably harder than building new ones.
In all our conversations with friends and family, we’ve found that most people make money mistakes because of ingrained bad habits. They struggle to get out of them and find themselves in this vicious cycle.
Bad money habits are just another addiction like alcohol, drugs etc. It requires lots of determination, discipline and strength to overcome them. And they are more common amongst most people than you think. The ones we most here about are:
The 3 most common bad money habits:
- Living off credit – most often multiple credit cards to live a life you can’t afford. This gets particularly difficult when you use one credit card to pay for another. It’s a never-ending cycle.
- Retail therapy – we’re all guilty at this one and partly because of social media our brains have never been so filled with the desire to have more and more stuff. Instead of fixing an issue, we focus on masking it with yet another purchase that’s just a short-lived boost of happiness.
- Living one day at a time – most people don’t plan ahead and end up surprised when they receive a large bill (like homeowner taxes which come every year anyway) or when events like Christmas come or worse when they retire and find out that their pension is not enough. All things which can be avoided if people plan ahead.
What do you think? Are there other common bad money habits?
One thought on “3 Most Common Bad Money Habits”