18 Things Financially Mature People Don’t Do

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Jaws dropped during that classic scene in the 1995 movie Sabrina. Sabrinas father is revealed to be more than just a quiet chauffeur with a passion for good books. Hes shockingly a millionaire! How did he accrue such wealth on a presumably modest salary? By imitating the investing habits of his prosperous employer. You too can learn from financially mature people. You can avoid costly mistakes by watching what they do and perhaps more importantly, what they dont do.

1. They dont spend more than they make

A recent Yahoo Finance study found that fewer than half of Americans are spending less than they earn. This problem is compounded by high credit card interest rates. If youre finding it difficult to stick to a budget, try switching to cash as your currency. This will quickly stop the bleeding because once cash is gone the spending has to stop.

2. They dont wait until the end of the month to see how their money is doing

Credit card bills should be formalities, not surprises. Expense tracking apps (or a pen and paper) help you stay on top of your money.

3. They dont pay for subscriptions they arent using

Gym memberships, magazine subscriptions, and season tickets to your favorite teams games are great if you actually use them. Spend some time going through your credit card statement and cancel a few forgotten subscriptions. Chances are, you wont miss them.

4. They dont overlook small expenses

Small expenses add up. Look for opportunities to reduce them. Relax the air conditioning when you leave the house, turn off the lights in an empty room, use a refillable water bottle instead of buying a new case every week.

5. They dont automatically spend surprise money

Tax returns and birthday money dont have to be spent the day theyre received. Put some in savings, or use it to pay off debt.

6. They dont use shopping to help them feel better

Shark Tanks Kevin OLeary argues that retail therapy should be avoided altogether. But come on now. Were the species that invented sugarless candy surely we can redeem the post-break up shopping spree? Heres an idea: When heartbreak or frustration beckons you to the mall, think of one item you actually need. Maybe its a new pair of work shoes or a birthday gift for a friend. Set a budget for yourself and take only the CASH for that item. Then, enjoy a little shopping.

7. They dont gift shop at the last minute

It happens to the best of us. We remember a birthday or anniversary with mere hours to spare. Then were off the nearest store in search of a last-minute gift and in our panic, we buy something expensive to hide the fact that we dont have a card and the gift isnt wrapped. Gifts are given to express love and affection. Shopping a little sooner can help you find a thoughtful, less expensive gift that shows how much you care.

8.They dont eat out every meal

A recent experiment conducted by the Boston Globe found one home cooked meal cost half the price of a comparable restaurant meal.

9. They dont waste leftovers

One of the easiest ways to make eating out more affordable is to simply save your leftovers. You can turn one meal into two.

10. They dont let purchased food expire

Throwing away food is throwing away money. If you struggle with stinky fridge syndrome, try making more frequent trips to the grocery store. Buy exactly what youll need for the next 2 or 3 days, instead of stocking up for the week or the month.

11. They dont spend money without stopping to think

Have you ever examined an old purchase and wondered, What was I thinking? Financially mature people ask the right question: Do I absolutely love this? Skip this step, and youll find yourself in need of a garage sale.

12. They dont buy clothes they wont wear regularly

Closet full of clothes yet nothing to wear? Save space and money by searching for versatile pieces you cant wait to show off. Heres a minimalist whos happy to show you how (with photos).

13. They dont buy something just because its a discount

An old episode of The Lucy Show poked fun at this common mistake. Lucy chided her friend for buying a 50lb bag of dog food. Her friend defended herself saying that was half price. To which Lucy hilariously replied, You dont have a dog! If you find yourself thinking These shoes are half off, and theyre not that bad, take the money and buy a pair of shoes you actually like. Youre more likely to get some use out of them.

14. They dont buy anything without asking the price

Its an old trick. Selling stuff without ever mentioning the price and it works, because were often too embarrassed to ask how much something costs. We dont want anyone thinking were poor, but we have it backwards. Poor is what youll be if you dont ask the hard questions.

15. They dont avoid expenses that save them trouble and money in the future

Getting the oil changed may be annoying, but its cheaper than a new car. Getting your teeth cleaned may be uncomfortable, but would you rather have a root canal? When youre trying to cut back on spending, trim from the fat, not the essentials.

16. They dont buy into get rich quick schemes

When people really do strike proverbial gold, they probably dont tell the world about it in a business opportunity seminar. Financially mature people know that wealth comes through hard work and good choices over time.

17. They dont forget to set financial goals

Without a clear goal and a doable plan, people tend to stay right where they are. Good goals illuminate the path between where you are and where you want to be.

18. They dont let past mistakes keep them from improving

Peek at the statistics and youll quickly learn most of us arent very good with money. With practice, patience, and persistence, you can grow into financial maturity. You just have to get started. Theres an old saying. If you want a bigoak tree in your backyard, the best time to plant it was 20 years ago. The second best time? Right now. Use these tips to start imitating the financially mature. Because lets face it. Lifes more fun when theres some money in the bank.

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