14 Personal  money spending mistakes to avoid to be successful in life

14 Personal  money spending mistakes to avoid to be successful in life

What and how you spend daily or weekly from your personal money income or Finance can affect your success in life positively or negatively. 

Today I will give you some personal money spending mistakes to avoid so as to be more successful in life.

14 Personal  money spending mistakes to avoid

The 14 money spending mistakes

  to be successful in life include

1. Avoid Borrowing money that accrues high interest to start a business

2. Avoid spending money in future

3. Save before spending 

4. Ask ideas about money from wealthy people not money

5. Plant your seeds

6. Lend personal money to those who you can lose

7. Don't surety a debt you can't pay

8. Save or invest idle money

9. Save money in banks not in secret places

10. Avoid unnecessary spending

11.  Buying same items at different prices in different locations

12.  Avoid spending Money more than your salary

13. Avoid mismatching of long term and short term investment

14. Gambling 

Get explanation below

Avoid Borrowing money that accrues high interest

Never borrow money that accrues high interest to start a business . This especially when interest from your business is lower than that of the loan.

That is to say, never borrow money to start a business expecting that the business will generate income to pay back the borrowed money plus the interest.

Avoid spending money in future

Counting Money

Never spend money you haven’t received. Don’t even promise someone money based on a promise you have from someone else. 

If someone tells you: “Anna, come to my house tomorrow at 10am and pick 100000frs ” don’t go out to buy items on credit based on this promise, with the hope that you will pay off your creditor when the promised money comes; it may not come as promised and this will leave you in problems with your creditors.

Save before spending 

If you want to save, whenever you receive money, don’t start spending hoping that you’ll save what remains. 

Normally what remains is zero because as long as money to spend is available, the numerous things you can spend it on are also available. And things to spend on even incite their ‘relatives’ so that you spend even more than you had planned. 

When money is not available, we naturally find a way of doing without it. That’s why I’ve learned to save with banks or Credit unions. Once I send money there I assume I no longer have it. Before you spend any money, put your savings aside then spend what is left after saving. 

Ask ideas about money from wealthy people not money

When you get an opportunity to meet a very wealthy person, never ask for money. Ask for ideas on how to make money. They may even choose to give you money on their own after seeing that your ideas are great, but let getting money from them never be your objective.

Plant your seeds

Avoid Keeping your seed instead of planting it. Many people stop at saving. It’s very, very difficult to save and have all you need to maintain your lifestyle especially after retirement. When you save, your savings are seed; plant it. 

When you just keep the seed (saving money) some seeds begin to die (eaten by inflation and the like). That’s why I recommend that you read about the different types of investment vehicles you can use to grow your savings. I am not necessarily talking about putting the money in a business, because you can easily lose money in  business. I am talking about putting it in an investment.

Lend personal money to those who you can lose

Avoid lending someone money you are not willing to lose. By the time you lend someone money, be content in your heart that should the person fail to pay, you will not die. 

You should not even lose that person’s friendship if they fail to repay the money you lent them. 

If you feel the person might fail to pay you and this will not affect your relationship with them, then lend them money. If their failure to pay would make you hate this person’s entire clan, please advise the person to go to the bank and get a loan probably cheaper

Don't surety a debt you can't pay

Avoid appending your signature to guarantee someone on a financial matter if you are not willing or able to pay the money on their behalf. 

Before you surety anyone, make if the person fails to repay debt, you will pay without grumbling

Save or invest idle money

Hand holding money covering face

Avoid keeping money you don’t intend to use in the short-term within easy reach. For instance, don’t walk with much money in your pocket when you don't have a plan to spend.  There are always expenses available to gobble any money that is within reach, so if you don’t want to lose it, put it away in a safe place.

Save money in banks not in secret places

Money saving bank

Avoid keeping money in inappropriate places e.g. under the pillow, in a pit, in the sitting room, in the bra, in a travel bag that you will place somewhere in a bus etc .

Avoid unnecessary spending

Purse with money

Spending money on an item that you can do without (at least for the time being). These days when I pick money from my pocket or wallet, before paying for something I ask myself: What would happen if I didn’t buy this? If I find I can live with the consequences of not having that thing, I smile and walk away. Can you apply this ?

  

Buying same items at different prices in different locations

Paying an amount for something that’s not the minimum you can get that same value for. In other words, if you are in Bamenda and you pay 10000fra  for a dress that you can get at 5000frs in Buea, that’s a money mistake.

 

Avoid spending Money more than your salary

Consistently spending all you earn or more than you earn.  You will hardly invest or save money if you spend before your salary date, or more than your salary, the money will just pass to your previous experiences.

Avoid mismatching of long term and short term investment

Thinking about short-term only and forgetting about long-term or thinking about the long-term and forgetting about the short-term. 

Avoid Gambling foolishly

Never you you gamble on money you can't afford lose

Conclusion

Applying some of the tips  above will equip you for a successful life after spending.

If you have any opinions about these 14 Personal money spending mistakes to avoid so as to be successful in life, share in the comment section.

Also share this article to your friends and family via social media like Facebook Twitter Pinterest and others. Thanks