7 bad habits preventing you from making more money

Simple Fixes For Bad Spending Habits

Are any of these 7 common habits putting a stubborn limit on the amount of money you could be making?

Not all of us are materialistic, but we can probably all agree that making more money is a good thing. It's true that setting a strict budget, cutting your expenses, and saving more money save can all go a long way in maximizing your personal financial growth, but all of these strategies pale in comparison to one major variable in your life--your income. Everything else being equal, making more money makes life easier.

Most people realize this, but so many of them neglect key fundamentals that throttle their income potential. For example, take these seven stifling habits that could put a stubborn upper limit on the amount of money you make:

1. Failing to negotiate.

Everything is negotiable. That doesn't mean you'll always get what you want, but you won't get what you don't ask for. Let's consider a salary negotiation. The first offer most employers throw out isn't the highest they're willing to go. If you're confident in your skills and experience and you've done the research to know your ballpark worth, there's no reason why you can't ask for more. The worst that can happen is that they say no and respond with a counteroffer--and it's still more than you would have gotten otherwise. I took a class in college called "Negotiations 101" and one thing I learned really stuck with me - never accept the first offer, even if all you say is "Can you do a little better?" It's one of the best pieces of advice I've ever received.

2. Failing to invest in yourself.

According to famed investor Warren Buffet, "you are your own biggest asset by far." You might invest in stocks, real estate, or some other material possession, but the best investment you can make is in yourself. You are the force responsible for earning money, and you're the one making the decisions in your life. Equipping yourself with greater knowledge, more skills, better health, and more experience means you'll be worth more to your future employers, you'll make more valuable decisions, and ultimately, you'll earn more money.

3. Tunnel vision.

If you're going to invest in something, you might as well invest all the way. This is common for a lot of careers; most people toil away the hours in the office constantly, hoping to climb the corporate ladder, or they might invest every penny they have into their new startup. On one hand, this is admirable, but tunnel vision can interfere with your long-term ability to make more money. It's actually a safer strategy to hedge your bets by setting up multiple income streams, and never relying too heavily on one source; you never know when your business or career might become disrupted. If you have backup strategies, such as a rental property or a side business, such a devastating event won't ruin you.

4. Complacency.

After a few years on a chosen path, you'll probably find yourself losing enthusiasm or motivation. You'll become complacent with who you are, what you do, and where your place is within the organization. Complacency manifests itself in many areas; for example, you might invest less time and energy into your work, resulting in less value for the company. Or you might become complacent with your salary and stop asking for raises as you gain more experience and skills. If you think you're experiencing burnout, take steps to remedy it.

5. Only doing what's expected.

Goals are important for achieving success, but they also have a limiting effect. For example, take the impressive feat of a runner's marathon: 26.2 miles. That's a very specific distance, and I'd argue that the majority of marathon runners out there would have no problem if the bar were raised to 27, or 28 miles. Yet everyone stops at 26.2 miles because that's the target. Setting targets in your own life--with your education, skillset, position, or salary, can trick you into achieving the "bare minimum" you set for yourself. Always strive for more.

6. Excessive loyalty.

Many of us have been in at least one position where we've found ourselves wanting to stay somewhere because of loyalty rather than any objective value. Even if you know that your job is a dead-end that will never give you the potential you seek, you stick around because of a feeling of loyalty to your employer. This is the comfortable decision, and it isn't a bad one--I consider myself a loyal person, and I admire loyalty in others. However, if you sacrifice your goals for your loyalty, it starts to become a disservice to you.

7. Failing to put your money to work.

This follows a similar thread of logic as the "hedge your bets" approach. Once you've accumulated some modest savings, don't let your money just sit in the bank; make it work for you. Invest in stocks, bonds, or mutual funds and start reaping passive income, or use the money to invest in more education and opportunities for yourself. Your money can make you more money--so don't leave it lying around.

It seems so obvious, but making more money is the first step to accumulating wealth; it takes money to make money. Whether your goal is to in pay off your debt, accrue enough money to live independently, climb the corporate ladder, or you just want to be in a better overall financial position, you first have to rid yourself of these seven habits. It helps to choose a field with a high potential salary or move to a high-income area, but these fundamentals serve as the foundation for your long-term financial future.

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7 bad habits preventing you from making more money

5. 5 unnecessary tech purchases that cost you money

When you're building a budget, the first thing to look at is non-essentials you can cut. Music, movies, books, apps and other bits of entertainment often fall into that category. However, you might not want to give them up.

The good news is that you don't have to. You can get all of these things for free if you know where to look. Learn how to get these for free, and more tech purchases you might be making that you don't have to.


4. 3 things you're almost guaranteed better deals online 

When online shopping first started, it was a bonanza for saving money. Online stores didn't have to deal with sales tax, a large chunk of typical retail overhead and you could usually find a free shipping offer somewhere.

In recent years, however, brick-and-mortar retailers have evened the odds with price matching and other savings. So you still want to check both for deals before you buy something. However, there are three things you might buy that are almost always going to be less expensive online. Find out what they are and some good sites to find great deals.


3. 3 secrets to dramatically lower your cable bill

When you're trying to cut non-essentials, your cable bill probably doesn't spring immediately to mind. Even though it's a huge expense every month, many people can't imagine going without their favorite shows.

Just because you're keeping cable, though, doesn't mean you should keep paying full price. Learn three secrets you can use to save big money on your cable bill, plus some cheaper cable alternatives you should consider.


2. Test whether your ISP is slowing down your connection

Your Internet connection lets you check Facebook, send email, browse the Internet, watch online video, play online games and connects you to the single largest source of information in history. You need it to be fast, and you probably pay a hefty amount to get an Internet plan with decent speed.

But are you actually getting the speed you paid for? If you aren't, then you're just wasting money every month. Find out how fast your connection really is so you know your money is well spent.


1. 3 secrets to getting the lowest airfare online

One of the biggest travel expenses is the airfare. Even worse, every dollar you're spending on getting to and from your destination is money you can't spend enjoying yourself while you're there. So, finding a cheap flight is definitely something to shoot for.

Fortunately, getting a great deal is easier than you think. You just need to know what sites to use, when to buy and the value of flexibility. Get the full details so you can save big on your next trip.



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