Because my life essentially revolves around finding interesting articles on the internet, I think I came across a pretty insightful article surrounding the reasons that most of us never become rich.
The article, written by Jeffrey Strain and published on TheStreet.com – a site dedicated to personal finance, but is mostly about stocks and mutual funds – lists the top 10 reasons why most of us never become rich.Â Most of the reasons Strain lists are pretty common sense, but it certainly isn’t a bad thing to be reminded about some of these things every now and then.
While I’m not going to list out all ten reasons, I am going to talk about two in particular that were particular favorites of mine:
You have bad habits.Â This is something that I’ve written about on several occasions, specifically when I wrote about the financial burdens of smoking and playing the lottery.Â It really is amazing how quickly these seemingly small costs can add up over time and put a rather large dent in our savings.
Whether we smoke, drink, spend money we don’t have, gamble, etc., we’re putting a lot of money towards something that’s not that productive.Â I’m not saying you can’t indulge every once in a while, but once these things start becoming habitual, you’re setting yourself up to be in a financial mess.
You have no goals:Â Telling yourself that you want to become a millionaire (or in my case, a billionaire) is nice, but it’s never going to happen unless you come up withÂ a plan on how to get there.Â Are you going to start a business?Â Stash away 10% of each paycheck?Â Contribute the maximum to your 401k so that you can take advantage of employer matching?
While I don’t think you need to have every minute detail planned out, I think you’re definitely putting yourself at a disadvantage if you don’t write down your goal(s) and your plan of action to make sure you get it done.
Anyway, now that I’m down off of my soapbox, I really do recommend that you read Strain’s article.Â I doubt you’re going toÂ see anything that you haven’t read before or don’t already know, but a little friendly reminder never hurt anyone.