Put plain and simply, a money master has defined do’s and don’ts. In your journey to become a money master, there are habits and practices that you will adopt, discard and modify. However, when it comes to the don’ts, there are simply certain behaviors that change, which become attributable to the fact that you are transformed, that you have evolved and become more serious about your financial life. Here are 15 money mistakes a money master will never make:
1. Have a limiting mindset. Money masters adopt positive motivating mindsets. While everything is not always peaches and creams, having a motivating mindset will help you navigate the ups and downs in your financial journey.
2. Not have a budget that you consult. Money masters have a budget, that is up-to-date and informs her about what she can afford and cannot afford to do or have.
3. Saving nothing, spending everything, all the time. Money masters do not do this. Saving is a priority. Paycheck to paycheck living becomes a behavior of the past. It’s important to pay yourself first if you pay no one else at all.
4. Paying down debt and not saving. Money masters do not prioritize debtors before self. It’s important to save and pay down debt simultaneously. It’s too risky not to do so.
5. Paying less than the minimum payment due. Money masters always pay at least the minimum payment due. If not, their credit is jeopardized.
6. Not checking credit reports at least once a year. Money masters realize the importance of checking their credit reports at least once a year, especially with identity theft on the rise.
7. Foregoing life and/or disability insurance. Money masters understand the importance of income replacement. Life and disability insurance create lifelines when life’s unexpectancies occur.
8. Not having a will or living trust. Money masters build wealth and legacy. In order to protect their wealth and legacy, they use such vehicles to ensure their wishes remain in order, in life and death.
9. No advance directives or health proxies in place. Money masters prepare for the unexpected. Advance directives and health proxies help keep their priorities front and center in the event they cannot act on their own behalf.
10. Putting off retirement savings and taking advantage of company matches. Money masters understand that they are 100% responsible for their retirement lifestyle. Therefore, they save now and never leave free money on the table. If company matches are available, money masters contribute what’s necessary to take full advantage of the match.
11. Not working with a financial professional. Money masters know when to ask for help, know that not asking for help is costly and know they don’t know everything there is to know about how to achieve their financial goals. Enough said.
12. Failing to self-educate at least once a week. Money masters stay educating themselves. Financial education and literacy is important for their financial success and legacy.
13. Fearing investing. Money masters realize the power of investing. Investments vary and money masters explore every investment opportunity based on their needs, desires, interests and knowledge.
14. Go M.I.A and stop communicating with bill collectors and creditors. Money masters know this is the worst tactic to employ. Instead, they make contact with their creditors and make arrangements that are affordable for their situation.
15. Taking financial advice from individuals who don’t practice money mastery. Money masters know better than to take advice from someone who isn’t on their financial level. They surround themselves with other money masters who are on their level and beyond.
These mistakes are common and we all succumb to them at some point or another. However, a money master slowly and surely eliminates these mistakes from their behavior, with an occasional slip, here or there. We’re all human. If you found this article helpful, and you want more helpful resources like this, then you should join our community of money masters and wealth builders. You will get just what you need to promote money mastery in your financial life and begin to master your money.