Why you don't have money - Top fuckups almost everybody makes
Not many people know that the only secret to having money is to know where and when NOT to spend them. There are at least 5 totally simple rules which - when followed - will not impact your life negatively in any noticeable way while making you richer and richer every day.
What does it mean to be rich anyways?
Let me ask you this. Who is richer?
a) Steve, who works 10 hours a day and doesn't have almost any free time left, but gets $10,000 / month which he spends on living expenses, cars and other similar stuff
b) Nancy, who works 6 hours a day and has plenty of free time to devote to doing things she loves, but gets only $2000 / month, while her expenses are around $800?
While Steve might be richer on paper, he really isn't. He's living a life that's not really worth living and for what? For a big number on his paycheck?
Being rich means being financially free - earning more than you spend. Your goal is achieving this "Financial Freedom", which you can easily do by avoiding these financial fuckups almost everybody makes.
Fuckup 1: You spend more than you earn
It might sound like a nobrainer, but majority of people don't follow this simplest rule of math. They get lured into fake promises of credit cards, loans, mortgages and suddenly they have to pay back more than they borrowed and ultimately more than they earn each month.
This is really about discipline and sitting your ass down for a while to write every income and expense on paper or into an Excel sheet. You'll be surprised at what expenses you totally forgot about could have been completely removed from your life already and how much more money you could have had at your disposal right now.
If you can't afford something and it's not a life / death situation - DON'T BUY IT. Don't borrow money, don't take loans, don't use credit cards.
Fuckup 2: You don't get paid FIRST
The second most simple and useful rule - that almost nobody follows - is to pay yourself first and only then spend the remaining money. Every time you earn a sum of money, take a cut of 5 - 10% and save / invest it.
You can put it in a bank, into a sock, shares or bonds, I don't care - just don't touch it until you really need it. Keeping them away from you, forcing you to uncomfortable activities and positions if you want to get to it is a powerful motivator.
After a few months, this will become your second nature and what's best - you won't even miss the cash! What's even better - after a few more months you will have much more money than you began with.
Fuckup 3: You get emotional about $$$
Having lots of money or having too little money is nothing to get emotional about. Do you feel proud when you have it and terrified when you don't? Well, both can be completely disastrous for you.
Money is a tool, not a goal. Do you feel emotional about having hammers, nails or scissors? I hope you don't, because otherwise you should be reading something more related to mental issues. It's the same with money. It's okay to feel happy when you can afford all the things you love, but once you get controlled by emotions, there's no telling what you'll do.
Maybe you'll buy 20 000 lottery tickets and lose every penny because you're in over your head thanks to all that success. Maybe you'll miss out on a perfect investment opportunity, because you're too scared to lose all that cash. Maybe you'll spend it on hookers and crack, because you're Charlie Sheen.
What I want to say is: money is money. It's important, but emotions are not a good guide to becoming and/or staying rich, so practice taking them out of the picture.
Fuckup 4: You give in to peer pressure
Ever been in a situation when you saw your Facebook friends going to ANOTHER Bali all-inclusive vacation in a 2 month period and said to yourself "I have to go on such a vacation too, because I'll be damned if I let STEVE think he's better than me"?
Or this one: A coworker starts bragging about the new car they bought and as soon as you come home you start browsing through car dealership websites.
Or another one: You move in to another - more fancy - neighborhood and your partner starts chewing your ear off about how you absolutely must buy a set of glamorous glittering flamingos for the driveway plus a gorilla and a new car of course, because what would our neighbors think about us if we had flamingos and gorillas, but not a new car and God forbid we didn't have those flamingos and a new pool for dinner parties too and then maybe hiring a lifeguard, because at this point you just might have started fantasizing of drowning him / her in that pool a bit, but then the lifeguard could probably save him / her and thus you would not be tried for murder if you played your cards right.
Peer pressure is dangerous and you should not give in for any reason, doubly in financial matters.
If somebody has lots of money and wants to spend it like an idiot or wave it in your face, let them. It doesn't mean you should do the same and ruin your life. Let them ruin theirs and silently laugh with a glass of quality whisky in your hand while sitting next to your comfy fireplace.