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[Must Read] 10 Reasons You Might Never Get Rich

1. Overspending
If you have a ferocious appetite for
spending beyond your means, you’re not
alone. According to a survey, of the 52%
of people who habitually overspend,
many balance the shortfall by taking
from their savings, and 22% rely on
credit cards. Blowing all your money
each month is not a realistic pathway to
wealth. Start tracking where your
money goes each month, check where
you can cut back, and create a ‘realistic’
budget that allows you to pay your bills
and invest in a retirement account or an
emergency fund. Continue after the cut.

2. Not Saving Enough
Welcome to the club The personal
savings percentage in the US is a
measly 4.9% of disposable income.
Saving should become a priority if you
want to accumulate wealth. Start with
an emergency fund. Once your
emergency fund is substantial, you can
redirect small amounts toward other
goals like purchasing a home or paying
for college.

3. You Have Too Much Debt
Certain debts are a precursor to
financial success, like purchasing real
estate or starting a business; however,
a high-interest credit card balance is
not. Pay off credit cards with the
highest rates first.

4. You Don’t Have a Plan
Without a definite, clearly defined plan,
becoming rich will seem like an
unbelievable dream. This alone will
solidify your excuses for overspending
and not saving. As the saying goes,
“Those who fail to plan, plan to fail.”
Putting together a financial plan may
seem tedious, but it doesn’t have to be,
and you can get used to it.

5. You Don’t Have an Emergency Fund
Experts say you need at least six
months of income saved in case of an
emergency. Life is tricky, and not having
some type of safety net can turn a
comfortable situation into a disaster.

6. You Started Late
Time is slipping by. Just like starting an
exercise routine, the most difficult part
about saving is getting started. Even if
you have debt, a small income, or many
expenses, you can save something,
even if it’s only a small amount.

7. You Complain Rather Than Commit
“I don’t earn enough money”; “Life is too
expensive”; “It’s hopeless, I’ll never get
out of debt.” Have you uttered any of
these statements before, or perhaps all
of them? Old habits die hard; however,
as long as you do nothing to change,
nothing will change. Stop complaining
and making excuses. Instead, take
responsibility for your non-productive
habits and concentrate on how to
change them – and then do it

8. You Live for Today, and Forget About
It’s no fun getting serious and thinking
about retirement and all that stuff.
Nonetheless, eventually it has to be
done. The problem is that impulsive and
unregulated spending leads to debt…
period Do yourself a big favor: Get rid
of the ‘buy now, worry later’ attitude,
and switch to a ‘save now, get rich later’
way of thinking.

9. Putting All Your Eggs in One Basket
You might get lucky by wagering all your
money on one type of investment. Just
like you might get lucky winning the
lottery. But that’s not a strategy to live
by, or for getting rich. Putting all your
money in one place is not advised
because it puts you at too much risk.
Your investment portfolio should include
multiple investments with varied levels
of risk and ROI potential and liquidity.

10. You Just Don’t Get It
You may be one of those people who
believe that somehow something will
come along and save you, so why bother
with saving or trying to get out of debt?
Maybe you will get lucky and land a
fantastic job, receive a big pay raise,
inherit money, hit the lottery, or
whatever But ‘whatever’ won’t cut it if
you really want to become rich. Yes, life
is uncertain. No one knows what will, or
will not, actually happen; therefore, why
not focus on what you can control
today? Get it together now and save
yourself, in case someone or something
else won’t.
One thing you can be sure of: You are
already rich. Think about it. If someone
came to you and offered you a million
dollars for your arm, would you give it
up? Why not, you have two; you can
surely spare one of them Of course the
answer would be no Being rich is more
than physical ownership; it’s a state of
happiness and well-being, while wishing
the same for others. So while you are
working on getting rich materially,
remember to be happy along the way

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Posted By kellychi On 10:46 Tue, 29 Apr 2014

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