7 Sure Ways to Reach a Dead End with Your Finances

This is post #11 from the 30 Day Personal Finance Challenge: Boost Your Financial Health with a Daily Tip!

Hello there, this blog helps you get your finances in shape and live a free, simple life. I never asked you if this is what you’re after though…

I am new to this blogging biz so I figured I need to address the rest of the audience who are not in such pursuit. No worries, I got you covered! Without further ado, here are the 7 ways to get yourself in BIG financial trouble:

1. Live in oblivion without any kind of visibility

   You know the feeling of everything being quiet and alright? You don’t know for sure, but somehow you manage to cover the rent, you paid for the overseas trip and even the extravagant wedding (yours or of a friend). It sure made a dent in your savings, but you still made it!
   You feel like you must be doing great. You are even thinking of buying an apartment (or house).

   Well, trust your feeling. Don’t bother tracking your expenses or calculating your net worth. These are just numbers anyway. You have always had a good fortune. Just follow the flow.

2. Avoid the topic of finances altogether

   Since you have a good feeling, why bother thinking about finances? There are much more important things in life. Like love, health, and television. Or complaining and minding other people’s business.
   All these financial advisors, books, and blogs are for losers. They want to get your money anyways. They’re full of empty promises. It’s a dirty business and below your level.

3. Rely on other people to take care of your financial well-being

   Your partner has been proving for yourself and the family? Great! They’re better at numbers anyways.
   Your parents subsidize you so you have enough time to study and don’t need to go to work? Excellent! They will always be there and you can always count on free shelter, food, and laundry service.
   You’re waiting for the trust fund or inheritance from your grandma? Lucky you!
   Your tax advisor and financial planner offer you great deals? They surely look for your best interest! No need to have second thoughts, just agree to anything they offer.

4. Don’t set goals

   5 years from now is too far anyways. Not to mention the 30-40 years or more to retirement. Things will be different then. We would have outsourced all the work to the robots and everything will be for free. The state might even cover your pension. After all, you would have been paying taxes all your working life!
   So, as you don’t know where you’re are standing financially, don’t set goals either.

5. Overspend

   You are keeping up with the Joneses, I understand. Your highly paid job requires it – you can’t drive a second-hand Honda and at the same time have the status you deserve.
   Every birthday, Christmas, St. Valentines (oh! it’s my favorite <3), anniversary, Thanksgiving,  buy tons of material presents for yourself and your beloved ones! It’s important to show them how much you actually love them.
   And of course, follow the latest fashion and tech gadgets. If a new version of your phone comes out, you should be the first one on the queue! It’s also perfectly reasonable to pay a 4 digit price for a fur coat. After all, you will wear it forever.

6. Buy liabilities, not assets

   First, don’t even bother to find out what the difference is.
   Second, buy items which require constant maintenance costs and depreciate quickly with time.
   Third, avoid by any means investing, building passive incomes or growing your career.
   Also, on any possible occasion take loans, credits, and a mortgage – it’s free money after all.

7. Don’t work on your financial literacy

   You are not a professional finance guy/gal. These numbers and accounting are boring the hell out of you. You know how to use your credit card and this is enough!
   Avoid reading financial books, blogs or even researching on better deals for your banking services.
   If your broker gives you a contract, just sign it. It’s not a biggie. Pay taxes to the fullest, and don’t search for ways to reduce them.

With these 7 rules, you will be well off in debt. You will be working well in your 80s. You will never be bored and your nights will be full of nightmares.
Extra bonus: Lack of money makes for great conversations with your partner!

Good luck!