10 Bad Money Habits That Will Ruin Your Life

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Stop! These 10 bad money habits will ruin your life.

One thing on all of our minds lately is how to save money and live the kind of life we want.

If you want to be financially successful, you have to get rid of the bad habits that are keeping you back.

Don’t let bad money habits keep you from getting ahead.

If you have any of these 16 bad money habits, you need to get rid of them ASAP.

10 Bad Money Habits To Break Now

1. Impulse Buying

Going to the grocery store without a list is a recipe for disaster. Impulse buying happens when we don’t have a clear view of what we want or need, so we get whatever strikes us at the moment. Unfortunately, that cart full of quick snacks won’t last long, and we’ll be forced to do the walk of shame back to our supermarket for actual food.

2. Not Budgeting or Tracking Expenses

In line with the first statement. Lists are your best friend when trying to save money. Lists for what food you need, what bills you have to pay, any debts you owe, and how much to add to your savings account. When looking into your bills and normal expenses, you might also find ways to cut costs or even switch where you shop.

3. Ignoring Debts and Not Paying Them on Time

We get it; staring at the letters in the mail can be very overwhelming. But debt doesn’t go away; in fact, it can grow to much more than you ever owed. If you can’t make the monthly payment, you can always call and see if you can have it lowered. Or, if you have the money, see if you can save some by paying it off in full!

4. Relying on Credit Cards Excessively

Early 2000s TV really convinced us that multiple credit cards were the way to go. While we love slapping down our platinum card on the department store counter, it really is a bad money habit that puts us into credit card debt.

Credit cards require us to pay back more than what we spent, and can get overwhelming when we are maxing out multiple at one time. Not to mention the havoc late payments and overutilization have on your credit score.

5. Spending Beyond One’s Means

Social media has many of us thinking we need to stay up-to-date on trends and attend multiple events, spending beyond our means. Meaning, becoming used to a lifestyle that we simply don’t make enough to support. Don’t get us wrong; treat yourself to a designer dress or an overpriced macchiato every once in a while, but be truthful to yourself about what you can afford often.

6. Not Saving for Emergencies

While emergencies don’t happen often (knock on wood), they can cost us a pretty penny.

Most Americans simply cannot afford unexpected expenses. If you aren’t saving for the worst case, then when it happens, you will find yourself unable to fix it. If it’s something you simply need, like, let’s say, a new AC in the summer, you might also find yourself signing up for a 5-year payment plan. Emergency funds save us money in the long run.

7. Neglecting Retirement Savings

Retirement is a long way off for a lot of us, but that doesn’t mean we shouldn’t worry about it now.

The sooner you start saving towards retirement, the more money you will have.

Most retirement savings plans rely on compound growth, adding to your savings every year you have your account open before needing to use it. That means that even if you can only add a small amount as a young adult, what really matters is keeping money in there for as long as possible.

8. Frequent Dining Out or Ordering Takeout

This is on every list of bad money habits because it is so true. When it comes to our pocketbooks, we think we’ll stick with home-cooked food. Fast food has grown in price over the past few years, and sit-down restaurants require leaving tips.

Don’t even get us started on the delivery fee, restaurant fee, plus tip that makes our $30 dollar Uber Eats order double in price.

9. Buying Expensive Coffee or Drinks Regularly

Remember what we said about living outside our means? You might not notice it in the short term, but our daily coffees add up to a pretty penny. Don’t worry; we aren’t here to convince you that omitting your pre-work Starbucks will mean you can suddenly buy a house. But a penny saved is a penny saved, and relatively small purchases can add up when done every day.

10. Not Negotiating for Better Deals or Discounts

Now, we’re not recommending you haggle at your local grocery store. However, many places can actually give you a deal if you know how to ask.

If you pay your credit card bills on time, you can ask for a lower interest rate. Your internet service provider might be inclined to offer a discount if you mention loyalty but that you found a better deal elsewhere. Big purchases such as cars can be haggled over. You’d be surprised how much money you can save by simply asking if there are any specials at the moment.