TOP 5 Reasons Why MOST People Are Broke

TOP 5 Reasons Why MOST People Are Broke

What is keeping you from getting out of debt? It’s crazy that some people would rather stay in chains instead of living in freedom?  There are so many excuses that people make for not having enough money. Here are some reasons that people stay broke.

Comparing Themselves to Others

So many people are trying to keep up with what your other people are doing.  Trying to keep up with the Joneses, but little do you know, the Joneses are the most broke people in the neighborhood. They have a leased BMW, an underwater mortgage, $50,000 in credit card debt, and Sallie Mae living in their basement. And if you’re not careful, you’ll be following their example straight into a lifetime of debt.  

No Budget

Budgeting is one of those things that everybody knows they should be doing but so many people avoid and then can’t figure out the reason why they’re broke. Making a budget helps you make a plan for your money. If you want to succeed, you need to set goals. Without goals, you lack focus and direction. Creating a budget allows you to take control of your financial direction; it also provides you a benchmark for determining whether you are actually succeeding.   Setting goals gives you a figure to aim at.

If you aim at nothing you will hit it every time.

You Blame Other People

Blaming other people for your financial woes is a really common thing for people who are always feeling broke and aren’t sure how to fix it. People often blame their parents, their college, or their significant other but they are rarely going to take control and take the blame for the financial mess they’re in.

You Can’t Say No

Saying yes to everything is being kind, but not always good. Learn to say no. If your child is crying for a toy and you get a toy for him, he will cry again for more toys. Don’t let it become a bad habit and learn to say no.

If you do not learn how to say no people will take you for granted. Find out good ways to say no to most of the things that don’t matter in your life.  

Credit Cards

The most obvious reason why people stay broke is because of too much debt.  It is hard to build wealth when every dollar you make is going through a revolving door.  Credit cards are the worst. Credit cards make it possible for people to outspend their earnings. The bottom line is credit card debt is DUMB because of its high-interest rates and low minimum payments, and the fact that it isn’t used to buy appreciating assets.

Every day, people are making the decision to get out of debt and change their lives. They’re ready to sacrifice and get rid of their fear of change or their addiction to stuff.

If you haven’t made that decision yet, what’s holding you back?

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