What mistakes did I make with my money that you can avoid?

15/06/2019

What mistakes did I make with my money that you can avoid?

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Mistakes that I made with my money.

What mistakes did I make with my money that you can avoid?

Are you broke? Or maybe you want to save some money, but still keeping to fail?

It is hard to understand what you need to do with your family budget, or maybe you’re alone and trying to put money aside for your future. How can I save more? How can I pay debts? And all that we want to do fast.

How to save fats? There is no chance you can get your financial goal in 3 months. You need to put some effort.

There are some mistakes that I made with my money, and I bet you made them too.

Maybe you can learn from my mistakes with money, and try to get through rough times.

Let’ see what mistakes I made with my money.

 

1. I spend more then I have

Or yes. More commonly, human nature is to spend more than we have. And not always because we need something, but in most cases we want.

Our wants and wishes get us in trouble.

We compare ourselves to others, and this is cause number one of spending too much.

All you want is fancy clothes, a sportive car, beautiful watch and everything else that you see on social media.

Yes, we compare our selves with people we not even know. I did that. Maybe not in big scale, but still I spend money that I don’t have, or I bought things that I couldn’t afford.

So if you are like me, then stop. It doesn’t matter what others have. You don’t know all the people from Instagram. They are strangers. You must look at you, your family, and that’s all. Don’t spend money to impress people that you don’t know. Be your self.

And spending money that I don’t have brings us to the following mistake.

2. Taking personal loans/pay with credit card

Oh, girl! The biggest mistake that I made was to spend money that I borrowed.

You know what? I’m still paying all that. I still have consequences of my irresponsible decision.

If you heard about Dave Ramsey snowball debt paying and baby steps, then I’m at baby step number 2. I’m paying my debts.  I’m working on it.

Honestly, it is rapid when you borrow money, thinking well it just a small amount in a month. It easy to pay. And then you take one more loan, or you need a new car. And you think, well I can’t save on my safety. I want a more modern vehicle, bigger car, and you make a monthly payment.

At the end of the month, you’re paying mortgage or rent, new fancy car, sunny vacation, and credit cards.

As a result, everything that began innocently with one small and insignificant payment a month, become a considerable amount of money that you pay.

3. I had no savings

If you read my story on About page, you might know that a few years ago I was ultimately broken. With no money or savings.

So one of the careless mistakes that I made with my money is that I didn’t save for a rainy day.

I always thought that I will work and earn money that my husband won’t ever lose his job. I felt that my friends would be with me no matter what.

But you know what?

It isn’t so. When you have financial difficulties, you see who is your real friends. But we never should lose a friendship because of money.

However, my husband lost his job and business that we have was gone. I have no money in savings, and it was devastating.

From that day, I decided to have always some savings in my account. If anything happens, I have money apart to get through for some time.

Always keep in your mind that the rainy day can come. But if you’re ready no rain or storm can break or damage you.

Save, save, save! But you can ask me how. Well, you need to put part a small amount of money each month. For more scroll down to Never give up and save money.

4. I accumulate debts

Debt is a part of the average person life. We make payment for our cars, the dentist or a new phone. And you start to collect all debts thinking that you can manage to pay all that.

Honestly, it becomes overwhelming to pay debts.

And it is because you have more than one. Accumulating debts is a mistake to avoid.

I get you. It is ok to have a mortgage at your house. But everything else is something that you don’t need like a high payment on a self phone or a car payment.

Stay focus and ever accumulate your debts. Because at the end of the month it is hard to pay a pretty significant amount of money. And you work hard to earn money. So why you should give them to someone else? Why should you spend money on all those interests and debts?

5. Pay the bills fast

When it comes to utilities, we tend to delay. And then we end up with a stack of debts.

You can’t just put away these utilities. You need to pay them as soon as you receive them. Because at the end you still have to pay your services, if not they will cut the power off.

So, don’t let your utilities, rent, and other bills to accumulate.

It is smarter to pay a smaller amount of money, then a substantial amount of money.

 

Consequences & Actions

Let see what results I have got after mistakes that I made with my money.

1. I felt stressed, and scary of my future

You know when you have a difficult financial situation, you understand only in that precise moment how irresponsible you were.

Stress and depression are the biggest enemies when money becomes an issue.

The question like

How I pay my bills? I need to pay my car, what I will do? Am I losing my house?

You need to calm down. Take a deep breath and start working to solve your problems. There is no other way. Yes, it is a stressful situation, but as long as you can work, any problem is manageable.

2. Start from the basics

If you have a job, try to work harder, to get promotion and start to pay debts, credit cards, and loans.

If you don’t have a job, then start to search for one.

I mean it!

Don’t wait for that job will magically find its self. You must to work your tail and find a job that will bring you an income.

Let’s see. I hear a lot from people that I know, and even from some friends of mine or their children, or in the internet, facebook groups and social media that it is hard to find a job.

People often bring up an issue that there is no workplace; there are a crisis and high disoccupation.  And you can apply these issues or better say excuses in every country.

It isn’t any more a geographical problem.

But let me be honest. For me, most of the people want to find an excuse, because maybe they don’t like the job that is on the market. The biggest issue of the majority of adults and young people is that they search for a purpose.

Purpose and value that they can bring in this world.

Well let me be heartless for a second, a purpose won’t pay your debts.

So start from the basic. Find a job, an honest job that will let you earn money. You will be able to provide for your family, pay bills and debts, and at the end, enjoy your financial freedom.

Create a CV

The necessary steps that you must to write an excellent written CV.

And I can bet that you have already heard that a hundred times. However, you need to have a CV.

 

Above is an example of a resume that I create for free on Canva. Start there. You can find more template that is completely free. You don’t need to pay more to make your resume. Create your own.

Moreover, be smart when you create your resume. Find keywords that you need to include to get an interview. It is crucial, because today, many companies use an applicant tracking system. I put a link on ATM. Read it. It is beneficial.

Apply

Don’t wait for a dream job. Find a workplace and then start to identify what could be your dream job.

You can start by searching on the internet, reading books, upgrading your skills, and never stop learning.

But before that to get a job, you need to apply. Search on the internet. Many platforms are working quite well.

As you know, I’m working in fashion and my current workplace I found through a platform called Fashionjobs.com.

I send dozens of my resume.

I knew that, as I can’t and do not want to work in medicine, I hade no skills and degree. Or become a teacher. No skills, even in the teaching area. So what can I do? What are my skills?

A fresh from failing, I struggled with money, and I was so depressed to find one. Bu to succeed, I listed what qualities I had and where to apply to accomplish quickly. I need to get a job fast! Because a mistake I made with my money brought me here. And I need to solve them!

Ask your self, what can you do well and get a job. For example, I am good in languages, I am passionate about fashion, and I love to work with people. So I put my effort into searching for a job in retail. And it worked.

 

 

 I wanted to include this link because I was noticing how my grammatical mistakes I’m doing. Yes, I’m not an English native speaker. But if I start my blog in this language, I must try to be excellent in my writing. For this reason, I use Grammarly Premium. And it worth every cent. Try to use it for your resume and a cover letter. You won’t regret it.

 

3. Never give up and save money.

You know, I get what you’re going through. I know how hard it is to have no money, to be not only in a tricky but better say desperate situation. I know what it is like when you don’t see a way out.

But you have to to work your tail off.

You need to prioritize.

I get you, maybe the job you’re doing now isn’t a dream one, but you are paid. You charge money for the service and time you give. So it is ok for the moment. Until you don’t get on your feet, you must greet your teeth and take one day at the time.

In case you are good with your debts.

What can say, for me you’re a unicorn. ( Joking!)

I’m very proud of you, and you should be too. Because you managed not to have debts of any kind and it is so difficult in our day’s life.

But still, you don’t know how to save.

And it should be pretty straightforward. You have some choices. If you’re a spender and like shopping, buying, and spending, then you need an automatization for you.

Just ask your bank, or you can do it by yourself on your online banking to put an amount of money to a savings account. Tha you have to forget that exists.

How much should you save?

Well, as much as you can.

But honestly I did some research, and if you want to save for your retirement,t then it should be 15% of your incomes.

For everything else, you need to keep the money.

Let me clarify.

If you want to go on vacation, then you must save and then go.

Otherwise, you don’t go and wait until you can.

Or you want to buy a new purse, or watch, or pay kids camp. For all the good things you need to pay cash. Save and then go and buy.

If you need more information about this method, I suggest you read the book that kind of changed my mindset and my thinking about money.

4. Mistakes I did with my money

In the end, I want to say that it doesn’t matter where are you now, or where were you. But as long as you work hard and try your best, you worth all the success of this world.

I hope you found this post useful and maybe you can avoid some mistakes that I made with my money. Or if you’re reading the post to confirm that you already made, then we are in the same boat. And I get you.

So work hard, be kind, and believe in yourself.

What mistakes did I make with my money that you can avoid?

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about me

about me

Hi, everyone! I am Viktorija. And this is a short intro about me.