7 Reasons Why You're Always Broke at the End of the Month ...

One of the most significant reasons why you're always broke is that you're blowing the cash before you deal with essentials such as rent and bills. It then makes it harder to afford the essentials, so by the end of the month you're absolutely broke. Budget to take out essentials first. Once you've done that, you know how much is left for fun and treats, and you won't be derailed by bills.

How much have you spent on nights out in the last month? If you can't remember, that could be a sign that you're spending too much. Try to work out how much you spend on going out in an average month, including months with special occasions like Christmas and birthdays. It all adds up. You could find that you're going out a lot. Cut down on your nights out, or go for cheaper options.

Here's where expenditure can really rocket without you realising. You might think that a daily coffee isn't that expensive, but over a week it adds up. Over a month you could be spending quite a lot on that one "treat". And you probably don't just have one treat. So put them all together and you're spending a lot of cash on your treats …

Here's another budget buster that many people fall foul of. Do you claim you don't have time to make lunch at home and take it to work? Then you pick up takeout or a snack. That's even worse for your wallet than a daily coffee. You could be spending a frightening amount on lunches. Find the time to prepare a sandwich or a snack to take to work.

Credit cards are good to have in case of emergencies, but if you use them too much they can be a problem. If you never pay off your bill, the interest will keep stacking up. And if you keep using the card the bill will become even harder to pay off. So you're going to carry on being broke at the end of the month. Only use your credit card if you know you will be able to pay it off in full.

Then there are the budget busters that mop up any cash that remains in your account. Maybe your car needs repairs or an essential appliance breaks down and needs replacing. If you don't have money put by for times like these, sudden unexpected bills can wipe out your reserves or leave you in a bind. Always have an emergency fund so that you don't end up completely broke (or worse).

Then again, you could be making the mistake of wasting cash on a combination of any of these. If you're always broke, it's unlikely that a daily coffee is the culprit. You are most likely spending your cash in more than one careless way. Take a good look at your spending patterns and find out exactly where your money is going.

Being broke at the end of the month is not uncommon. It can happen to anyone. But if it happens to you repeatedly, you need to review and rethink your spending habits. Your money isn't just vanishing! What are your attitudes to spending - are you a careful saver, or a shopaholic?