Five Toxic Money Habits Need To Quit
Breaking the bad money habits can be exceptionally hard, whether they are stem from a lack of knowledge of personal finance or ingrained from your upbringing.
Even when you have a strong financial plan and best intentions, those continuing sacrament will derail your money success.
You cannot break the bad habits and you will never achieve your desire goal until and unless you constantly feel the need to gorge on expensive dinners.
We are highlighting the five common ways people habitually mishandle money and how they can stop themselves from wasting it.
Most of the people shop at that time when they are frustrated or stressed. People shop to deal with life’s difficulties. However spending money emotionally will not fix anything, it will make things worse. It will leave you with more credit card debt or plenty of unwanted stuff.
To get rid off from making emotional purchases, you should set some rules for yourself and just stick to them. Follow the ground rules and you will somehow safe yourself from impulsive shopping. For example, buy items from your wish list, stay calm and buy the things you need and try to avoid your wants. Do not buy things when you are trying to distract yourself from sadness or anxiety.
Lending money is always an admirable act, but lending money to family and friends can also hurt your pocket and your relation.
Sometimes it is difficult for a person to pay you back, which could breed conflict and resentment. Instead of offering a loan to your friend in need, looks for ways how you can preserve your relationship. For example, suggest ways how they can reduce their expenses by sharing your thrifty tips.
Still you want to lend some money then consider it as a gift, in this way you will not feel resentful when your friend is buying clothes and other stuff instead of paying you back.
Constantly picking up the check
For some people, paying bill for friends and family is a source of pride. However, if you are continuously paying bills of other people, you’ve gone too far. In this way, they will be dependent upon you and every time they will expect the same treatment from your end and this can strain the relationship.
Spending all your income
Everyone has to pay bills and buy some necessities each month; it’s up to you what you do with the left over money. It’s good to save 10 percent of your income for emergency. When people spend everything they earn, later they don’t have budget. Saving some amount will definitely help you in future crisis.
Depending on credit card
Most of the people depend on credit card to put the food on the table or to keep the lights on. It has become a habit of the people to make payment through credit card. Every time they pay an extra amount of money than the actual price of the product. This bad habit should be avoided, as it will increase the debts.