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Do You live beyond your means?

 

Everyone wants to live well and not worry about finances. Often people try to live the way they would like to live, not the way they can afford to live, which results in reckless shopping and debt. Not sure if You fall into the category of people who spend more than they spend? Here are a few signs.

You cannot distinguish between desires and needs

People's desires are constantly changing or growing. Every new thing can be fascinating and there can be so many things You would want to buy. If You often buy things that seem interesting or fashionable in a moment and after a while they are not even used, then You need to start focusing more on what You need rather than what You want.

You have no savings

Saving is an effective way to ensure that in case of an emergency, You will have access to financial resources or with your savings You will be able to meet a set goal or make a large purchase. If You are not able to make savings because You simply do not have the financial resources to do so, then You are definitely spending more money than You need to.

You live in difficulty from salary to salary

Saving can be a cumbersome process even if Your salary is good enough. But if Your income is almost insufficient until Your next salary, then it is already an indication that You are spending too much money. Create a budget and try to understand which expenses You don't need and which You can give up completely.

You borrow money to repay other debts

When choosing a loan, You need to carefully consider how long You will enter into the agreement so that the monthly amount You will have to pay to the lender will not be burdensome to pay. As a result of improper planning, monthly payments can be cumbersome, which can lead to late payment. Many people, for fear of it, take out another loan to be able to cover their initial debt. If You are in a similar situation, then you are recklessly evaluating your finances.

You are easily lured by promotions

If you find it difficult to miss out on items that are on sale, then it means that You are likely to buy more items than You need. When You buy goods at a lower price, it may seem possible to buy more things, as a result of which You will most likely buy things that You do not need at all.

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