Financial Landmine 4: Only caring about saving money and ignoring increasing income
Many workers feel that they are trapped by insufficient salaries and try every possible way to save money, such as using coupons or asking others to treat them to meals, etc. However, these methods may not be as good as strengthening their own functions. Increasing revenue is not a short-term result, but the purpose is to give oneself more opportunities in the future and to make more money.
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Financial Landmine No. 5: Rewarding Yourself with Material Things
Financial expert Jaspreet Singh pointed out that fixed expenses such as food and rent cannot be saved, but more expenses are actually on “want” rather than “necessary” items. Regarding the old-fashioned concept, he proposed the “5-1 rule”, if the available budget cannot buy 5 such “non-essentials” at a time, then you should not buy them; that is, when the price of the “wanted” items exceeds 20% of the budget, it is best to give up the idea.
Financial Landmine No. 6: Obsession with the glamorous world of social media
The glamour and illusion on social media has led this generation to over-consume because they want to impress others on social media. But don’t be led by the glamorous scams. Smart consumers will save their money and buy some unbranded products of the same quality. Showing off your wealth will only make you poorer in the future.
Xin analyzed that many people’s consumption habits are “cliff spending”. They reward themselves and show off their salary immediately after receiving it, and soon the balance in their account is spent to the point where they can only wait for the next paycheck. This is a habit of lack of budgeting. He suggested that workers who are aware of this situation should make an Excel spreadsheet to list their income and expenses and review where their money is spent.
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