At Super-Advice we are about all things financial, but more importantly, helping people understand so they can get ahead financially.
Today we are talking about twenty-six things poor people blow their cash on and how to manage that.
This is part one.
New vehicles
Let’s be honest, we all like to be seen in a nice car, but unless you can pay for it up front, you cannot afford it. This also includes toys like motorbikes, boats, or even jet skis, etc.
Buying a house house that you can’t afford
Sure, you may be able to afford the repayments of that big bougie new house, but just remember that deal could have you slaved to a massive debt for decades. Over-committing to your mortgage leads to being what we call being house-poor. You have a nice house, but you’ll be broke for years.
Remember, you only live once and overcommitting to a mortgage payment for decades could be debilitating financially
Expensive holidays
I think these are okay if you’ve planned for them and saved for them. Do not see the world on a credit card because you’ll be going nowhere for decades while you pay it all back. Anyway, our own backyard is packed with wonder and it’s a lot cheaper.
Furniture on credit
Store cards are for broke people.
Sometime in the last 40 years Harvey or Norman figured out how to sell furniture to people with no money. Give them credit. Be modest with your stuff until you can pay up front. Access to easy credit and the ensuing debt that follows keeps way too many people down.
High-Cost mobile service plans and phones
Most of us use less than 10% of our device’s functionality. Phones can be a status symbol for some younger people as well. But like we like to say with everything, including vehicles, appliances, gadgets, devices and furniture, unless you can pay up front, stay humbl.
Unused gym memberships
You know you are just giving the money away. You know it. And the gym will keep taking it. It is better to use the membership than to cancel it. Make time. Get up earlier. I can tell you, any of these changes that we’re talking about are ten times easier when you are fit and strong.
High interest credit cards
Don’t you hate being stuck on a minimum credit card payment – basically just giving money away – they’ll keep taking it too!! Ude the Debt Snowball to destroy these debts and never use them again. Save you own 6 month Emergency Fund.
Alcohol and cigarettes
Do I really need to say anything here?
Probably not.
Excessive streaming services
Monthly fees add up over the years, so this is a good place to look for savings.
Designer baby clothes
These items have a high initial cost with a very short usage period. It’s worth a thought knocking these out.
Constantly buying clothes
I’ve got to have trendy clothes, buying constant clothes, and constantly updating your wardrobe to keep up with fashion trends.
It’s a great place to save if you can ease up on the fashion spend.
High end makeup
Premium brands can be significantly more expensive over time. Ask yourself, where can I save with my look?
Premade meals delivered.
Regularly opting for convenience over home cooking will be costing you.
It is often a time-saving decision to have these premade meals delivered.
Could you save money by buying or doing your shopping online from your local supermarket and having it delivered? Is it much different? No.
That’s a wrap
It’s important to note that you can save money in all sorts of different areas in your life, and with this list of things, do a check and see where you can relate, to start swapping, saving, and changing things so you can reach your money goals.
Stay tuned for part two.
If you need any financial help or advice please get in touch with us at Super-Advice.
