There is one very intoxicating feeling that we all fall victim to from time to time. The feeling of owning our money results in the tendency to do as we see fit with it. But the thing here is that money is a tool not only for the present but for the future as well. And we have to think about it when dealing with money.
And of course, there are certain things that you should never do with your money if you want to preserve and even multiply it.
What are the things that you should never do with your money?
1. Never cash your paycheck in its entirety
2. Never live above your means
3. Do not spend money on gifts that no one needs
4. Never shop when you’re emotional
5. Never forget about your retirement plan.
6. Never hire a financial advisor you can’t trust
7. Never lose track of your money
1. Never cash your paycheck in its entirety
When you cash your paycheck right away, you are more likely to spend all the money that you just got and in the end you will not have anything to save for the rainy day.
Rather than cashing it in and spending it all right away, it is best if you think about the future and only take what you need in cash. The rest will be transferred to your savings account and trust me – that is the best thing that you can do.
2. Never live above your means
Living above your means is one of the worst things that you can do to your money and your financial future. When you start spending more that you are earning, you are not only eating through your savings, but also getting inside some debts that might take time to pay off. And the more you are living like that. The more you are going to suffer in the future.
Think about it – is it worth it? Never live above what you can afford.
3. Do not spend money on gifts that no one needs
This might be the best time of the year for this advice – when everyone is looking for a perfect present for the best and closest people. Think about everything that you are planning to give and think – is this really needed? Will this come in handy? If the answer is no, then you should really rethink your choice of present.
Only give what you know is right and needed. After all, you want to give a good gift that will remind people of you in a good way, right?
4. Never shop when you’re emotional
Just like you should never buy food when you are hungry, you should never buy things when you are emotional. Bad and hard day at work? Got dumped? Tired? Stay away from the shops. Just come back to it when you are stable and for sure know what you need.
5. Never forget about your retirement plan.
Whether it is choosing a job that doesn’t take care of your pension fund or simply forgetting to top it up, that is something that you should never leave behind. There is nothing more important in your present then taking care of your future.
6. Never hire a financial advisor you can’t trust
If you decide to hire a financial advisor, you should never hire the one that seems shifty to you. Best case scenario – you will have to drop him a bit later and renew the search. Worst thing – you are left without your money and without an advisor.
While the latter is infinitely worse, both of the perspectives are unpleasant. Hire a good financial advisor from the get-go. This way you will ensure that your money and your funds are safe.
7. Never lose track of your money
Always follow your personal, or if you have a family, your joint spending. Always-always ensure that you have everything under control and that all of your funds are right in front of your eyes. If you lose track of how much you have and how much you are spending, you may just spend much more than you have. Andthatisarealriskhere.
