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Ten Pitfalls to Financial Success

Assess your money barriers.

Assess your money barriers.

Take a look at each of the following pitfalls to financial success.  Read each one and take a minute or two to think about which ones are descriptive of your money behaviors.

 1.       Being careless with money. It takes planning and good management to accumulate wealth.  If you have a careless attitude about money, and you fail to budget, take on too much debt or fail to monitor your investments or balance your checkbook you may find yourself living in a state of financial chaos and stress even though you earn a high income.

2.        Self-doubt and deep seated fears concerning money. You may consider yourself unworthy to be rich. You may be afraid of losing money so you never put enough money at risk to let your money grow.  You may be afraid having too much money will hinder you spiritually.

3.       Lack of investment knowledge. You listen to market hype about how some people are making money by investing in gold or buying options and you want to get in on the rush to riches.  But if you fail to understand the nature of the investments you make, you may be unprepared for the ups and downs and make decisions based upon emotion rather than logic and discipline.

4.       Failure to take responsibility for your own success or failure with money.  It’s okay to listen to the investment advice of others but in the end, you must know enough to make your own investment decisions.  You must be willing to be accountable for your success or failure. Relying exclusively on a broker can get you into trouble.

5.       Falling for “get rich quick” schemes. You are unable to separate the scammers and schemers from legitimate money-making opportunities. Unfortunately, the world is well-populated with the Bernie Madoff’s who prey on the tendencies of others to fall for their schemes. You must have the wisdom to discern the difference and the fortitude to overcome the tendency to covet money. Click on this link for my “Buyer Beware Checklist”.

6.       Lack of clarity with goals. Clarity is powerful. It is nearly impossible to acquire wealth if you have no specific, written goals. Without clear goals, you could wander aimlessly. Clarity leads to focus. Focus leads to execution.  Execution leads to intentional results. Click on this link to learn more.

7.       Bad money habits. Bad money habits like overspending, impulsive spending, failure to budget, failure to plan ahead and failure to live a frugal lifestyle and save money will lead you into poverty regardless of how much income you make.

8.       Impatience. You would rather buy something with your credit card than wait until you have enough money saved to pay cash. Or you don’t give your investments enough time to gain in value. Slow and steady wins the race when it comes to building wealth with investments.

9.       Trying to keep up with the Joneses and other toxic emotions. If you have “shiny new object syndrome” and you are trying to impress your neighbors or friends, you are wasting your money buying things that make banks rich instead of making yourself rich by putting your money to work for you. Seeking approval from others, unresolved guilt and anger toward others will sabotage your efforts to build wealth.

10.   Weak career development and/or life purpose. Staying in a job for which you are unsuited or lack passion for may keep you from advancing.  Lack of life purpose often leads to indecision, wasted expense and poor money choices.

Now that you have become aware of your money accumulation barriers, take a few minutes to think about and act on the following Millionaire Wealth Challenge:

 Make a decision about what financial results you want; create the circumstances to make your vision a reality then take bold, decisive action on your plan. Keep moving forward toward your vision. Don’t quit. Keep trying until you hit the mark.

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