We are in the second month of the year. How are your finances doing? Are you kicking your financial goals or are they kicking you? Well, here are some reasons why you may not be on track with your financial goals. We hope they help you become more financially aware and get back on track.
1. Impulse spending
You know when you have had a stressful day and the devil whispers in your ear ‘patia mwili pole’ then you end up impulse buying clothes or binge eating food or catching unplanned drinks with friends. The ‘you only live once’ excuse stops making sense once you see what a big dent it has made in your wallet.
Creating financial self-discipline is a habit that gets better with more practice. Say no to the impulse buying and your future self will thank you for it.
2. Not budgeting
It’s said failing to plan is planning to fail. This is true when it comes to finances. If you do not budget what you have, you will not realize where your money is being spent. Budget for your finances even before receiving the money, that way you are able to keep track of where your money should go. There are apps for budgeting and the good old Excel sheet is also a good start.
3. Not tracking your spending
Have you ever checked your bank balance and thought someone has stolen from you? Me too. This is what happens when you do not track your spending and overestimate how much money you have left. In this era of technology, there are many money tracking apps such as Money Manager. Also banking apps such as ABConnect allow you to sign up for alerts that help you monitor how much you have spent and how much you have left. Don’t find yourself in a ‘chonga viazi’ situation because of not tracking your spending.
4. Poverty mindset
Poverty mindset stems from a perspective of lack or limited resources. Always thinking that you will not have a future and being stingy with yourself and others will not give your mind time to think of new ways of creating wealth. Change your mindset to abundance mentality and you will find yourself thinking of ways to create new revenue streams because where there is a will, there is a way.
5. Pyramid schemes
Remember when everyone thought quail farming will make them billionaires? Getting dragged into every get rich quick scheme will have you investing all your savings in deals that you have not researched on just because your friend told you about it. Invest in things you understand otherwise you will be experiencing premium tears every other season a new whirlwind blows.
What other habits are keeping you broke and how do you beat them?
Share with us in the comments below.