Innovictor
New Member
Contrary to popular opinion, the state of being broke is not only when your account balance reads zero and you don't have cash on you. Rather, being broke is a state in which you do not have enough funds to cover an immediate/pressing concern. It might interest you to know that you could still be broke irrespective whether you earn N10,000 per month or N10,000,000 per month.
Hence, everybody experiences the feeling of being broke at different times in his or her lives. However, some people are always broke and they can't seem to escape the tyranny of wondering when the next paycheck will arrive.
If you keep any of the three habits below, you're most likely always broke, if you keep the habits and are not yet broke, you are very well on your way to 'Brokeville'.
I hope you are able to spot the danger associated with these three habits and overcome the habits before you become a permanent resident in 'Brokeville'.
#1. No Idea Where Your Money Goes
Have you ever stopped in the middle of the month, stared at the minimum account balance left in the bank and wonder where all your money went? It looks as if some devils are poking holes in your account because you have made plans for what you wanted to do with the money in your head, and here you are on the 17th of the month, you haven't done those things and the money is gone.
Taking notes of expenses and writing them down is one of the hardest things to do, especially when you have to write down the number of times you told the lady at the store to keep the change. However, if you don't know where your money is going per time, you'll not be able to plan a budget not to talk about plugging budget leaks- and that's a ticket to 'Brokeville'.
#2. Mistaking Extra Money for "Free Money"
If we'd be honest with ourselves, all of us get some extra/unexpected monies a number of times in the month. However, since we have already made a budget for the "expected" money, it is very easy to take the extra money on a spending spree as you order that sushi you've been promising yourself since last month.
I don't have issues with pampering yourself or even deviating from your budget to do something if it really makes you happy. However, the extra money might be put to better use paying down debts or increasing your investments so that you could have all the sushi you can ever want somewhere down the road.
#3. Jumping on Offers to Buy Two, Get One Free
Retailers often use enormous price slashes, discount offers, and promotional gimmicks to get you into their stores and they often succeed incredibly well. Many people will rationalize that deviating from a budget or getting into debt (God Forbid) to buy items that are some 30% off is a smart investment.
However, the fact that an item is available at a discount does not mean you should buy it now especially if it wasn’t on your budget. You don't necessarily need to replace your TV just because a store is offering 30% off on new TV sets. Of course, ask yourself if you really need the third item, when they dangle the "Buy Two, Get One Free" offer before you.
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