Managing money is something that changes according to the experience and wisdom have acquired. If there is an exact manual that will be explained what to do and what not to do in each situation of life, with money, savings or investments, life would be much easier. But when financial problems occur and you seek the advice of people, you will encounter a variety of suggestions and, despite thank them, you may not be satisfied with any of them because it does not fit completely to your expectations, habits and yes, to what you are.
That’s why the keys on money management can sometimes be as basic, because there is no formula for success for everyone and that each case is totally unique and different from any other person; It is making a formula that applied to be successful and millionaires, not work entirely for you, who has worked both in save but did not consider, for example, invest.
What is certain is that there are common behaviors in humans, ingrained bad habits and individual visions of life that occur only at certain stages of life. Sure, it’s human to make mistakes, and life itself is made to learn the experience but if you manage to be aware of particular aspects and prepares for them, you may have more success than others.
This, especially because it can take decisions without considering or reaching project the true impact it can have in the future and that although someone might warn of this, will always think “it will never happen to me me.” So, here we let these common mistakes, age, according to business studies…
Although until now is beginning the financial life, if you have student loans of too high fees and you are spending more than they are winning, you do not feel alone. It is the most common mistake at this age. On the one hand, while education is a necessity that helps to have a better future, you should consider that the debt is not always the best option and that alternatives such as grants or part-time jobs can be quite useful to bear costs college.
In addition, you also have to do calculations what the average wage can receive once you graduate and on that basis, estimate the time it will take to pay; to have a greater awareness of their debt.
As corresponding to spend more than you make, it just happens because it did not consider the budget as a basic tool of financial planning. So if you just start tallying how much you can really use your salary and not borrow, will pass big advantage compared to peers of the same age. In this the advice is simple: do not live appearances.
Although it is at the age where stability is beginning to look, take mortgage loans cannot stand and completely combine your finances with your partner; they are the worst things that can make during this stage of life. Perhaps the pressure to have “a place to put your head” and start building equity, may be taken to consider buying housing. In itself because it is a very good investment. But you have to be aware of its possibilities: make calculations, because this involves compromise your salary for more than 15 years and check if you are willing, even when you have children and you need to respond to their needs.
Another aspect is that it also has to be realistic. Although wishing to be ambitious yet have the flame alive, getting into a house north of the city, just by the value that can have or that has some unique finishes, it is not the smartest decision you can make.
With regard to relationships, although it may have found the love of your life, you must also learn to take your financial independence, handling your own conditions, but acting family. This means you cannot compromise your entire salary for the things of the house, you should always think about you and your future, especially since this age in the pension.
The error is based on quote to pensions as “just necessary”. You have to accept is that you will already leaving little time to retire, making it important to start doing the calculations: how many weeks leading listed? Are resources sufficient to achieve a ‘decent’ pension? Should pension system changed?
Start your 40s with this information will be a valuable gift you can give to his old age, and allowing you to have adequate time to take necessary actions and start to correct the course, if that’s the case.
Another mistake at this age is committed for loans and that the desire to travel, to gain new life experiences or products that had not when I was younger because he had no resources, considering that debt is something that can always bring. The problem is when you start to add up the charges and fees and realize that those little tastes of fine dining and expensive shoes are not so useful after all. So, if you learned to your 20 the importance of saving, avoid this error will know in full.
Resigned to not be able to retire and withdraw your funds to open a restaurant or a bakery. Currently there are several mechanisms that are facilitating the way peoples pensioned, so new options to receive an allowance that allows a person to open. Consider making extra efforts, get advice very good about it and check what options you may have to continue to contribute to achieve the pension terms, but never use this money to make investments whose future may not be as promising as it sounds.
That’s why at this age do not consider an extra income is also one of the biggest mistakes you can make. Many people reach this age enjoying the investments made throughout their lives, while others decide to take on what life dreamed of, because we have financial stability. There has to be a business for yourself, but to find alternatives that do not require much time and that can help, at least with the basic expenses of your sustenance such as food or transportation.
And the last error, at this age, is becoming co-signer or guarantor worldwide. It is risking all you could get to build in your life and, more confidence you get to be the person who is asking for a favor, you have to seek ways to ensure your financial life is not seen at all affected.