See how these 6 habits make you spend more and fail in financial goals

Habits tell a lot about the person and the way he or she lives life. There are bad as well as good habits. No one cares about good habits. Bad habits can affect a lot of our lives. The effect could be on health or finances.

There is a famous saying that what we do is what we become. This is highly applicable to our habits. Habits can make a huge difference in one’s life, especially when it comes to finances.

The majority of us face the financial crunch at the end of the month. It is because we spend a lot as soon as the money gets credited to the account. But inculcating the proper habits to manage the money can solve this issue.

The first step in this process is to identify the reasons that cause higher expenses. These habits could be different for everyone. Some of the habits are common amongst everyone. Here are a few of the habits that one can work on to spend less.

Not saving enough money

This is the core reason why most people end up getting into debt. Most people have a habit of spending first and then think of saving the balance money. Hence it is essential to understand this and start saving money. Saving money might not show immediate results, but it can certainly benefit in the long run.

Hence, experts recommend paying yourself first. This needs to be done on the first day as soon as the money is credited into the account. The amount can vary from 10% to 20%, depending upon the expenses that one has. But it is important not to put the money into the saving accounts only for the sake of doing it. It is essential to let the money grow on its own with the help of investment options.

Not tracking the expenses

Most tend to spend sometimes without even tracking. This might seem small, but it can end up spending huge money in the long run with no accountability. Some of us might feel that tracking money is a daunting task. But if you have not done it before, then the right time is now.

If writing down about each penny on pen and paper is not your cup of tea, then here is the solution. What if you plan to open a business tomorrow? You will never have sufficient capital, and your credit score will also drop.

Yes, business loans for bad credit are available for those who want to try their luck with the business. But that does not allow you to spend carelessly.

There are hundreds of apps available nowadays that help to track expenses and manage finances. Most of these apps are free and easy to use. These apps link the bank account with their dashboard and track every penny that gets debited from the account.

Shopping during sale

No one can say no to shopping. Generally, people spend most of their money on shopping. The amount that one spends on shopping gets higher during the sale. Most of the people tend to shop a lot during the sale, thinking that it can save money.

But instead, they shop for the things that are not required. Hence, they end up spending more. We are not saying no to go to such shopping. Instead, one can do the audit before going for such shopping. Make sure to create a list of the items that you wish to purchase. This helps to stick to the list and avoid overspending.

Working on multiple business plans

Some people keep working on varied business plans because they want to become self-employed. It is not a bad idea, but the point is, if someone is spending a lot of money on every new business idea, neither any business will flourish, nor financial stability will stay. The first rule to avoid financial mistakes in this concern is that you should never use your savings to open a business.

If you really want to open a business, first plan about it and work on one idea. For funds, there is the ample number of affordable deals on unsecured business loans. You can use them, but only if you are determined and dedicated to only one business plan.

Spending on wrong things

Spending money on wrong things can certainly take a toll on your savings or overall money management. These expenses might make one happy for a moment, but a person can get into debt for a long time. Spending money on wrong things also lets a person move slowly towards financial goals. It is very important to set a priority and spot the reasons that make you spend without any reason.

It is essential to identify this habit and get a solution to it. How? Making a list of things that you want and need can solve the issue up to a great extent. Once it is ready, you can go through the same as several questions about it. The questions could be what and why I spend this money on or why I need money in real life. Answering these questions can help to spend less on wrong things.

Not believing in yourself

Your confidence plays a vital role in making you financially stable. If one believes that one can achieve this specific financial goal, it indeed happens after a particular period. But if the person has self-doubt, his or her money management skills or habits, it can get a bit difficult.

Many people go through this self-doubting phase and end up regretting later. So, what is the solution for this? Try the stranger test. With stranger tests, one can make decisions easily about money. Here one simply needs to imagine if the stranger is giving the opinion about spending the money or purchasing any particular thing.


We understand that breaking bad money habits can take time. But the right time is to start now and integrate it into your daily routine. You can always control your expenses if you pay heed to your everyday financial habits.