It’s no secret, big wedge of the pole or greater expenses compared to revenues would be bad in your life. However, even though you are not spending more than the revenue does not guarantee you can get rich. There are habits that are not clear but bad for your finances.
“The best way to become a millionaire is disciplined and able to manage priorities in accordance with the purpose,” said financial planner from United Capital, Cary Carbonaro.
According to some financial planners, here are some habits that make it difficult to collect the money:
1. Saving just of residual income
If you save money your residual income, time for you to make a priority. “When I first got the salary you have to set priorities, decide early how much money will be saved in a savings or investment,” said CEO of Bluestone Financial Institutions Fund, Ted Peters.
When creating a budget, Peters recommends starting a savings target. For the first approximately 7 percent to 10 percent should be set aside for savings then adjusted to the remaining priorities.
2. Evaluate regularly
If you get a raise, do not forget to participate also increase the amount of savings or investment.
Therefore, the financial planner of Exencial Wealth Advisors, Neil Krishnaswamy advise you to always review the plans and priorities at least once a year. This is to ensure that your plans can be realized.
3. Investing too conservatively
When investing, investment instruments to adjust your age. If you are still under the age of 40 years, invest in a product that has a high risk because it usually also have a high yield as well.
But if your age is more than 40 years, began to be careful choosing investment products and placed in safer instruments.
4. Too many accounts
Actually, the cost of banking administration will not make you bankrupt. But if you have multiple accounts, if collected and calculated on an annual basis, the cost of administration can be used to buy things that are more important. Therefore properly manage your account.