1. Impulse money decisions
Not having a clear plan for your money will have you spending money left, right and centre at every urgent need or want that comes up. Making decisions in the spur of the moment may leave you regretting a lot of choices.
2. Looking rich vs wealthy
Accruing more liabilities than assets to look rich instead of wealthy. Many times being rich is about outward appearance e.g. having a flashy car while wealth is more quiet e.g. acquiring stocks. Looking rich will make you live above your means.
3. Lack of a financial plan
Failing to plan your finances will leave you with no finances to even plan. This is because you will not be setting aside money for your future or for emergencies. You will be going wherever the wind blows.
4. Keeping up with the Joneses
You get a raise, you move to a bigger house, get a better car and so on and so forth. For which reason? Status? We all have different income levels and goals. If you keep competing with others to be on their level, you will end up spending more money for status than investing it.
5. Borrowing to spend.
Access to quick cash from mobile loans has never been easier. Getting a loan to spend on day to day expenses will drag you into the debt cycle where you will start borrowing to pay other debts. Unless it’s an emergency or for an investment that will yield higher interest than the interest charged, it would be best to avoid getting into this trap.
6. Mindset
Having a scarcity mindset versus a growth mindset. If you believe you can create wealth, you will see opportunities when they arise. If you have a scarcity mindset, you will be thinking of only having enough for today.
7. Who you surround yourself with
You are the average of the 5 people you hang out with. Your circle is either growing you or pulling you back. There is no in between. Surround yourself with people who are better than you in finances and always look for an opportunity to learn from them.
8. Instant over delayed gratification
Building wealth does not happen overnight. If you are not disciplined enough to delay gratification for the long term, then forget about being wealthy. This is because; most times resources are not unlimited. You have to make tough choices between your needs and wants.
9. Poor time management
In these days of technology, it’s very easy to find yourself spending many hours on devices like your mobile phone, TV or just browsing through social media. Moderation in rest and entertainment is vital. Otherwise you will spend your time unproductively instead of using your time to build yourself e.g. by learning a new skill, reading a book
10. Excuses
If you keep blaming your circumstances and people, you will not progress. Excuses will keep you in your comfort zone. There are no ideal circumstances but you need to get past the hurdles if you are to become wealthy.
What other habits can stop you from being wealthy? Share with us by commenting below.
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