Ignite FB Tracking PixelSome Possible Reasons Why You are Always Broke - Connie Dunlap
Some Possible Reasons Why You are Always Broke

by Connie Dunlap 03/04/2019

Have you been wondering lately about why you are always broke? You will need to ask yourself a lot of important questions to know exactly what you are doing wrong. These are the questions that will help you point out the primary reasons for your financial woes. 

Going by data made available by the World Bank, a considerable number of workers can hardly survive through the month and also there is an increasing gap between the rich and the poor. At this point, you need to take measures so that you do not join the league of people who never have savings. Here are some reasons why you go broke always:

Reduced Income 

The mistake people make is that they base their spending plans on their gross income instead of their net income. The outcome is spending more than your earrings. In order to avoid being broke due to this situation, it is advisable to adjust your lifestyle according to your disposable income.

Medical Expenses

Medical expense is one of the reasons why many people go broke. Do you pay your medical bills from your pocket or you have medical insurance? It has been discovered a lot of people go bankrupt as a result of substantial medical bills. The best way to minimize your medical expenses is by choosing the appropriate insurance coverage.

Overspending 

When you spend more than your income, there is a high tendency of going broke. You should try and minimize some lifestyles that attract lots of spending. Examples of such lifestyle are driving posh cars, going on frequent holidays, dressing in designer clothes and many more. Such an expensive lifestyle can make salary earners go broke if they don't take care.

Costly Housing 

Many young adults spend nearly half of their income on housing. To avoid massive spending on housing, you should look for affordable housing that should not be more than 20% of your income. Staying in the city outskirt, getting a roommate, or renting a room that is smaller will help you save on housing.

Lack of Saving

Many people go broke today because of lack of money. A good practice that all workers should cultivate is saving for a rainy day. When you don't save money, you are likely to incur enormous debt when there is an emergency. Saving can put an end to debt and brokenness. You should know that nothing is too small to save.

About the Author

Author
Connie Dunlap
Personal I am originally from Ohio but please don't hold that against me. :) I moved here with my husband in 1978 and we raised three sons who all graduated from Grosse Pointe South High School with an excellent education. I received a Dental Hygiene certification from Ohio State University and a B.A. degree in psychology from Wayne State University. My current hobbies include spending time with my family, needlework, learning French, and volunteering with the Junior League of Detroit, Operation Smile, and Grosse Pointe Memorial Church. Professional I have been a licensed Realtor since 1987 and an Associate Broker since 1990. I specialize in representing my clients in the purchase and sale of single-family residences and condominiums in the Grosse Pointe communities. I truly love this area and pride myself on my knowledge of current transactions, school districts, neighborhood information, and related services, including mortgage, insurance and inspection information. I am a customer driven Realtor dedicated to achieving results and providing exceptional service. If you are in the market to buy or sell a home, I will put my 31 years of real estate expertise to work for you! Certifications and Recognitions [email protected] certification [email protected] Graduate, [email protected] Institute ABR - Accredited Buyer Representative CRS- Certified Residential Specialist RAM- Real Estate Alumni of Michigan e-PRO- Advanced Training in Technology