Bad Money Habits You Should Break

Are you aware of what your bad money habits are? Check out these bad money habits you should break now.

1. Budgeting the wrong way. Did you know that most people budget the wrong way? Instead of making spending decisions based on your budget, you spend and then adjust your budget to match. Instead, try budgeting by consulting your budget before making any spending decisions. If your ‘eating out’ budget is empty, you opt to make dinner at home. If you have money left over at the end of the month, you transfer it to savings. This way, you’ll stay on track with your goals without letting impulse purchases derail you.

2. Avoiding worthwhile investments. Pouring all their time, energy, and money back into their businesses while neglecting their own fulfillment and happiness. Make a point to invest in worthwhile education, resources, and even self-care. Your return on investment doesn’t necessarily have to be monetary. Any investment that enriches your life makes it easier, or brings you genuine joy is worthwhile!

3. Neglecting your business savings. Not enough business owners talk about the importance of a healthy savings account. Just like your personal savings can protect you in the event of an emergency, your business savings can protect your business if you run into legal trouble, can’t work for a while, or need to replace a piece of equipment. When you make your business budget, be sure to include a line for your emergency savings.

4. Charging too little. Too many business owners undercharge for their services for fear of scaring away potential customers with high prices. Give yourself what you're worth.

The benefits of raising your prices far outweigh the risks. (a) By raising your prices, you make your services appear more valuable. (b) When you raise your prices, you’ll attract more high-level clients. (c) When you charge your worth, you feel more fulfilled in your work and appreciated by your clients. That means you’ll enjoy and appreciate your work more!

If you want to learn to manage your money without stress, we can help. Being a business owner means you are busy – getting help is easier than you think. If you want to know how we can help you, schedule a call with us today!