I have been trying to help someone that I know improve her financial future. Unfortunately, she seems to be stuck in a self-inflicted financial ineptness that’s beyond rescue. Somehow, she always come up with some lame excuses when it comes to money.
“Hey, I can always make more money.”
She embodies the paycheck-to-paycheck lifestyle. It seems that whenever she wants to spend money, she’ll say something like this. I’ve tried to explain to her that this line of thinking is foolish. Her income will come to a grinding halt if she loses her job, gets sick, becomes disabled, etc. I shared several ideas on how she might protect her ability to earn money, but none of them seems to matter.
“There are just two more things that I want, and then I will start saving money.”
Oh, really? Every time we have a conversation, it’s always one or two more things and then she will start to save. For some people “wants” are a bottomless pit, no matter how small they make it appear. The truth is, if you don’t make “saving first” a priority, it will never happen. There is no such thing as saving unspent money; especially, if she doesn’t believe in budgeting.
“It’s only $10 a month.”
Little things do add up. This is one of the reasons why she can’t save any money. Sure, each membership and monthly fee only costs $10-20 per month, but she has about a dozen of these going — e.g., premium channels, web-access for her cell phone, an online movie membership, satellite TV, satellite radio, magazines, Xbox Live, etc. Sometimes, you just have to say enough is enough. Do you really need all these things to keep you happy?
“The new model just came out.”
Why is it that some people feel the need to upgrade every time there’s a new model? To me, her “old” stuff works just fine. Heck, some of the stuff she wants to replace is newer and better than the things that I own.
Does this sound like anyone you know?