If you ever feel like you’re constantly living hand-to-mouth and never getting ahead, take a minute to see if anything on this list sounds familiar. Oddly enough, most people make the same mistakes that end up putting roadblocks that stunt their potential for financial success. What you may not realize is that the banks and credit card companies are counting on this – so much so, that their products are developed based on poor buying and payback habits.
You can change all of that by making smarter decisions and understanding how and why these mistakes happen. Today could be the day that you get it all together and take the actions that will reverse your financial situation and put you on the road to wealth-building instead of scrambling to make ends meet. Take a look at these ten common financial mistakes most people make and see how to solve them.
10. Living Hand-to-Mouth
No one likes living hand-to-mouth, yet according to an article on CBSnews.com, in 2014, over 38 million American families are living hand-to-mouth. If you’re not familiar with the term, it means living paycheck-to-paycheck without any extra cash flow. By the time you have spent your current paycheck, you are frozen until you get the next. This equates to one in three Americans, which is one-third of our country’s residents.
Those who live this way, think there is no way out. However, financial experts will tell you to go without your extras, such as daily coffees, for a couple months to save extra cash and then start a debt elimination strategy. Before you know it, you will have a much more financially stable life.