If you think that you are alone with your financial problems, think again. On this earth of millions and billions and trillions of people, it is a fact that at least one other person is going through the same financial difficulties as you. I can give you ten common financial problems that are popular.
- Credit card debt – Heard of a lady with over USD $30k in credit card debt. My advice would be to stop using that credit card and concentrate on paying it off. Cut up the card if you have to.
- Overspending – Spending money that you don’t have or that you set aside for something else is a regular occurrence for some people. Someone told me about a lady who was faced with the dilemma of buying a pair of shoes or paying a water bill. She chose the pair of shoes and shortly thereafter, her water was disconnected. Prioritize!
- Not saving – Some people give the excuse that they can’t afford to save. Can you afford to spend?
- Spending more than you earn – If you make $100 per week and you spend $500 per week, you are spending more than you earn. What makes it worse is if you’re spending on things that you don’t need.
- Keeping secrets from your spouse – One of the saddest stories regarding money secrets is about a man that was financially broke due to an addiction to gambling. His wife never knew about it until she saw the notice from the bank saying that the mortgage had not been paid for months and ordering them to vacate the premises.
- Unemployment – No job equals no money. If you can, try to learn a skill or enhance one that you already have.
- Low salaries and wages – Many people are underpaid and overworked and because of the financial climate, that we’re in, it could get worse.
- Defaulting on loan payments – A lawyer once told me that the worse thing that you can do is to default on a loan. Defaulting can cause you additional financial strain and medical issues due to stress.
- Not having an emergency fund – Many people do not have a back-up financial plan. Suppose you lost your job tomorrow, would you be able to survive for at least three months?
- Not planning for retirement – The earlier you start, the better.
What other common financial problems do you know about? Leave your comments below or send us a message on Instagram.