The Worst Financial Mistake You Can Make

I'm better than yesterday

I love how this isn’t clickbait and the answer is given within the first few minutes

No commercial will ever tell you that you are good as you are and you already have everything you need...

A wise history teacher once said: “it’s not about how much money you make, it’s about how much you can keep.”

Ah, now I have a word for what I've been going through: Lifestyle deflation. Started to work, realized how expensive shit is when measured against my precious time and energy, and started spending a lot less. Each month I save more money. Material possessions just create more chores & stress anyways, because you have to manage and maintain them.

you never make the same mistake twice. the second time you make it, it is no longer a mistake. it is a choice Lauren Conrad

This is so important especially for youngsters who just started their career joirney

People underestimate being frugal by suppressing short term cravings to gain long term wellbeing.

I never understand how people can feel comfortable running out of money every month, having to rely on your next payment in order to be able to spend again. I've always focused on having more money on my bank compared to last month, and always have done so.

First time I got 100k per year I ended the year with a 10k debt lol. So true.

This is something I've learnt from my dad's lifestyle AFTER he passed away. When he was on a higher position in government, we would go to his office only to see his colleagues spending money extravagantly on shiny cars and gimmicky brands whereas our dad kept his and our necessities economical which would sometimes infuriate us as children. Now that he's gone, his savings in investment schemes and real estate are proving to be fruitful whereas his retired colleagues are living off of monthly social security.

“It is not the man who has too little, but the man who craves more, that is poor.” -Seneca

My father always reiterated “always save money every paycheck” the older I get the more I realized how much ahead he helped me become.

I think my parents watched this video 20 years ago lol. They stayed humble their whole life, while they both have really good job. Now they can truly relax and help others with the money they gathered.

Suddenly he needs to cover his medical bills. Me: Laughs in Europe

I would argue that one of the points of making more money is to improve your lifestyle. Yes don't waste money on stupid stuff or to impress others. Yes you should ideally always save money. Yes still take advantage of deals etc. But please do enjoy your wealth. Spend on yourself and your loved ones.

I vividly remember a conversation I had in a small church group where they joked that someone had a $15,000 medical bill and who has that money? I did not want to say, me, the international student living on a $1,500 monthly stipend I actually have that because during the years each month I saved a bit - and I live in a cheap rental place and I drive an old cheap car and when I eat out it is an all you can eat buffet that is cheap. However life is not about saving money, you should upgrade a bit when things get better, just do not start with the upgrades. Start with the savings part and the goals: you need to have a rainy day fund for medical emergencies and for living off of it if things go bad at work. I would say you need to aim to have $20,000 saved + enough money for living for a year at least. Also you need to build up towards a fund you do not touch but invest for retirement. If you meet these goals you can spend a bit more if your salary increases but not to the detriment of these goals. Also rainy day fund means MAJOR emergencies like medical or something ... not a bigger TV. That is not an emergency. I knew some of the guys in the group were dead broke, in debt and then bragged about the bigger TV they bought ... and I was like ... with what money? You do not need that.

Therapist: What do we do when we feel miserabel? Me: Add it to the shopping cart Therapist: NO !

I like the other Fight Club quote "the things you own and up owning you"

I need to say that this is a really good video, in fact, it's actually one of the best advice videos I've ever seen. When it comes to managing our finances, it's very important to be smart about it. I know it, I myself have done certain bad financial decisions in my life and it was just so painful to see what I could have spent my money on instead (things that could have been so much more useful to me and could have improved my life in a much better way). I hope that this video is going to be useful to a lot of people. It definitely was useful to me, you can always learn something new when it comes to managing your finances.