The Honest Truth Why You are Broke and Might Remain Broke
Being rich or broke can be our fault in most cases, although, there are certain points where being broke is more of a decision to a choice. First, have you noticed a situation where 2 or more generations are continually poor, and then you wonder why they remain at that state? There are a few reasons why a lot of people would be broke, and these reasons could be as little as;
Not having enough money coming in as income. Either you have a high percentage of saving, or a big dream, you cannot be financially capabler than your income. If you receive low incomes, you will live within that range, you wouldn't live above it. In other to get a bigger income, you need to first increase your marketable skills. When you are going to apply for a job, you would be asked what you can offer and when this is asked, your marketable skills are expected to do the talking for you. If you have a low income then you cannot go to the next phase but when you overcome the low income plague, then the next step will be to start saving.
Savings have been the way a lot of people hit their millionaire status. Being able to save, gives you a edge over a lot of financially unseen problems. You could decide to save 10%, 20%, or any amount, depending on the percentage you want. When you are done with savings, you start to invest your money instead of purchasing cars. When you start to buy into assets that you understand, you start to grow your finance.
You could remain broke because you spend most of your time at the club purchasing drinks. Unless you are the Club owner, going to the club doesn't profit you. You are going to spend the money you do not have just to enjoy the time you spend at the club.
Buying too much of everything can make you poor. When I mean too much, I mean using most of your earnings, to purchase something that you can't purchase with less than 20% of your income. Buying a house with your entire income is a bad one, as it will keep you at the same spot, and you will still have to pay for home maintenance.
Finally, being too comfortable will keep you at the spot where you have been since you started feeling the comfort. When you become comfortable, you start to remain at the same position. You do not go forward, but you could be retarding gradually.
Which of these habits do you have, being financially free is an important goal, and any of the habits above will just keep you below the ladder.
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