Everyone wants to be financially successful, yet some obstacles obstruct. Overcoming these obstacles is a challenge, but first comes the need to identify them and evaluate an approach to prevail and move ahead. Creating a financial plan along with developing goals is an excellent way to promote good financial habits.
The obstacles that hold me back are not people; the obstacle that holds me back is financial illiteracy. The financial world uses its own vocabulary and there is an assortment of terms. Quite frankly these terms can get very confusing and intimidating. It is important to learn these terms especially when making important financial decisions. Many of life’s big purchases include this vocabulary and no one wants to make a poor choice.
My parents played an important role in developing great financial habits. They provided me with a weekly allowance which was the only source of money that was provided to me so I had to decide how and on what I would like to spend it. I remember shopping with my parents and wanting to purchase items I did not have enough for. They would bargain with me and say I’ll give you $10 and you put in the rest. This upbringing has taught me to be careful on what I spend things on and not rely on credit cards. If do not have enough to purchase the item I wait till I do. I really hate paying interest on credit cards but I hang on to them in case of an emergency.
Everyone has a weakness and my financial weakness is spending money on dining out. I really only dine out when I know I have a coupon or am cashing in some rewards but when it is time to pay bills later in the month I am wishing I had a few extra bucks to spare. I could have easily taken those $50 and buy groceries for the week but instead I spend them on one meal. To change this I can reevaluate my financial plan and see how much I really spend on eating out monthly. Seeing this in the big picture will give me a greater impact and see that those dollars could be going...