If you want to fix your personal finances, there are common excuses to avoid. Regarding money, people always have excuses for their situation. Circumstances beyond our control do take place, and these can cause financial setbacks. However, if you want to move forward, you have to make decisions that are wise. Here are seven common excuses to avoid financial responsibility.
1. We Only Live Once
If you don't have a savings account and a bunch of debt, you may argue that we only live once -- this is one of many common excuses to avoid. The fact that most people only live 80 or 70 years isn't an excuse to make irresponsible financial decisions. You may not be able to avoid debt altogether, but you can limit the amount of credit card debt you acquire, and you can make an effort to increase your savings.
2. Bad Things Always Happen to Me
The truth of the matter is, bad things happen to everyone. I understand that some people experience more hardships than others. But if you make excuses to avoid financial responsibility, you're only harming yourself. Yes, bad things happen. But in most cases, we can soften the blow by having an emergency fund. This way, you can get through hardships without relying on a credit card or getting behind on expenses.
3. I'm Young and I Don't Need to save for Retirement
I can understand why many 20-year-olds aren't interested in contributing a percentage of their income to a retirement plan. But if you wait until you're 30 to start saving for retirement, that's less money in your account by the time you hit 62 or 65. You can start by only contributing 2% or 3% of your income, and then gradually increase to 6% as your income grows. And if your employer offers a 401(k) match, that's free money for your future.
4. My Parents Were Bad with Money
Parents sometimes pass bad money habits to their children. You have a choice: either repeat your parents' mistakes, or recognize their errors and make better decisions. The choice is really yours. Do you want to be in the same situation as them, or do you want something better for yourself?
5. I Didn't Know
I've heard many people make this excuse, and I also realize that many people didn't learn money management skills from their parents or school, so we're bound to make a few financial mistakes as young adults. But saying, "I didn't know," is an excuse you need to let go. There are resources to research and learn the proper ways to manage your finances. There are article on the Internet, plus you can work with a financial planner.
6. There's so Much Pressure
Family, friends and coworkers might put pressure on you to keep up, but if you feel you have to purchase the most recent gadgets, the best clothes or the largest home, you might end up broke. You need to live within your means. This ensures having disposable income to pay bills, build a savings account and reach financial goals.
7. I Don't Earn Enough
Whether you want to pay off debt or buy a home, saying "I don't earn enough" isn't going to get you closer to your goals. If you want to learn more, look for ways to boost your income. Invest in yourself and take courses that can help you qualify for higher-paying positions, or use your talents and skills to start a side business.
There are many excuses people use to avoid accepting financial responsibility. If you need to fix your money, letting go of excuses can empower you to make better decisions. What other excuses do people use to avoid financial responsibility?