Do you think that the beard around the mouth would stop a thirsty person from drinking? Or do you believe that this universe can kill the person who is willing to live?
Well, the circumstances could be different in each case but what you should know is nothing is mightier than the belief of a person. Practically, I have seen my father winning battles over death and keeping doctors in astonishment when his desire to live defeated his growing creatinine in the kidney, reducing heart life, increasing diabetes, painful hernia, and whatnot.
If we observe closely 98% of people around us, have been mistaking their lives with false assumptions about time and money.
"I'll Start Saving Money Later"
And that "later" never comes. Well, delaying saving for the future can have significant financial consequences. Whether you make thousands or lakhs; your expenditures are always growing along with your income. So, it's wise to realize that the power of compounding means that the earlier you start saving and investing, the more you can accumulate over time. Besides, it doesn't matter if you save tiny amounts because it's also about setting a habit and training your mind to not spend.
"I Need to Buy a House to Build Wealth"
The truth is that buying a house can make bigger holes in your wallet than the bulky interest loan from the bank. While homeownership can be a good investment, it's not the only path to wealth. If you keep your emotions of permanent security aside, renting can be financially savvy in certain situations, allowing you to invest your money elsewhere. After all, nothing is permanent on this planet. So, how about giving it a second thought?
"I Don't Need a Budget"
You can be a small job holder and make great financial progress in 10 years. At the same time, you can be a wealthy child and become a beggar in 10 years. No matter your current status, not having a budget can lead to overspending and financial stress. Creating a budget helps you track expenses, save money, and achieve your financial goals. At least you will know where your money is going because many of us have no idea where all our money vanishes within the very first week of the month.
"I Have Plenty of Time to Plan for Retirement"
Time is magical. It neither stops nor waits for anyone. Have you realized how fast you've come to your 20s, 30s, or 40s while you just remember being in the last year of high school? In a similar way, procrastinating on retirement planning can leave you with inadequate savings. That is why, do whatever the hell you wanna do with your life: before it's too late.
"Credit Card Debt is Normal"
The truth is that it has been normalized by credit card sellers to benefit themselves from the loss that they cause you in the name of credits. Carrying credit card debt with high interest rates is undoubtedly costly. However, you can be smarter than such financial loopholes, and pay off credit card balances in full each month.
"Investing is Only for the Wealthy"
This is the most heard voice of middle-class mentality. The truth is that you don't need a large income to start investing. Many affordable investment options are accessible to people with various income levels. even if you have 1 thousand rupees, you can do your research and invest in that IPO. Let me tell you my secret; I paid my semester fee from the return I received from such IPOs.
"I Can Get Rich Quick"
My all-time favorite quote is "Rome was not built in a day." Believing in get-rich-quick schemes often results in financial losses. The truth is that building sustainable wealth usually requires patience, discipline, and consistent effort. So, just pause if you're going to throw away your money on that trending cryptocurrency in the market. Trends are not meant for longer dear; that's why they're called trends.
"I'll Worry About Estate Planning Later"
Again, there's no later. Life has soo many shits to trouble you that you'll never have a fully dedicated time to plan for your dream estate asset. Whilst, having an estate plan can lead to clarity and smooth legal battles for your heirs. It's essential to create a will and consider other estate planning tools sooner rather than later.
This is enough for my readers for the time being. Either agree or disagree, these are the common misconceptions that lead you to poor financial decisions and potentially hinder your financial well-being. Recognizing and addressing them might help make more informed choices and save time and money in the long run.
