Practical Finance: 5 Financial Goal Killers

Ever wonder how is it that you're making a decent income, your gambling habit is under control, you’ve cut down on your daily Peppercorns runs but you just can't manage to see your way financially? More than that, when you look at your savings, do you find yourself thinking it's cheaper to die early than retire on what you've put aside? No? Just me then?

Well…apart from your "some-of-a-bish" boss fighting you down, there are a few things that you might be doing that are stopping you from achieving your financial goals...even more so than being stuck in a job that is slowly sucking your energy like a Soucouyant...companies like...lolol not me nah papa

Anyway…here’s the list:

1. Lifestyle creep - some people are lucky enough to work in a company that gives out raises and promotions (let me know what that's like) and every time their income goes up they feel the need to increase their spending. All of a sudden they need a new car, the latest cell phone, to play frontline in the band or go VIP in Army Fete when General was fine all the time. Nothing wrong with wanting to feel like you're moving on up like George Jefferson but it might be a good idea to maybe put aside at least a 20-50% of any increase if you can.

2. Instagram culture - There are a lot of people living beyond their means because they want to portray a lifestyle they see online. However, always remember social media is a highlight reel and most of it isn't real either. You ain’t know what miss lady doing in the night to pay for that TikTok reel in Dubai. Focus on you and be content with what you have and where you are.

3. Ignoring debt - Debts are like crazy exes, they don't just go away if you ignore them...trust me...they WILL cut you! Ignoring debt is an expensive practice because late fees and interest will gangster you in no time. Plus bad credit will cost you more to borrow through higher interest rates for big things in the future like a house or a car. Worse yet if you end up only being able to get a 49% loan from that finance company we talk bout last week.

4. Not maintaining assets - Neglecting things like car servicing, home repairs or your spouse, may save you money in the short-term but in the long-term it can prove really really expensive....especially the spouse thing. Even Phoebe Buffay knows that servicing your 'left Phalange' is cheaper than replacing it...same with spouses.

5. Spending dead money - People say paying rent is dead money but I disagree, at least with rent you're getting the use of something you don't own. Real dead money is paying things like traffic fines and wrecker fees. You're paying to get back your own property...you're literally paying for being ‘dotish’.

Listen, there are circumstances we find ourselves in life that are beyond our control but let's not add to that by sabotaging ourselves. Nobody is saying you shouldn't enjoy your life either. What we're saying is being a little bit more mindful with your hard earned money can go a long way.

TANA

PS: if there are any topics you'd like me to cover please feel free to list them in the comments or message me. Not saying I'll listen but it's good to know.

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Practical Finance: The perils of over-saving

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