With the new year upon us, I know that many of your resolutions involve saving money and building wealth. But before you begin creating your plan of action to achieve your financial goals it’s important to make sure that you aren’t unknowingly holding yourself back from your own financial independence. There are five common mistakes that prevent the majority of Americans from becoming wealthy
Let’s talk about them one by one. First at the top of the list it is that it never occurs to them to become wealthy the average person has grown up in a family where he’s never met or known anyone who was wealthy, he goes to school, socializes with people who are not wealthy, birds of a feather flock together, he works with people who are not wealthy, he has a reference group or a social circle outside of work who are not wealthy and he has no role models who are wealthy. Now if this has happened to you throughout your formative years up to the age of 20 or so you can actually grow up and become a fully mature adult in our society and it may never occur to you that is just as possible for you to become wealthy as for anyone else.
So the first reason why people don’t become wealthy it’s because it never occurs to them that it is possible for them and of course if it never occurs to them then they never take any of the steps necessary to make it a reality.
The second reason that people don’t become wealthy is that they never decide to the primary cause for underachievement and failure is that the great majority of people don’t decide to be successful even if a person reads a book or attends a lecturer or associate with people who are financially successful nothing changes until he makes a decision to do something different even if it occurs to a person that he could become wealthy if he just did certain things in a certain way if he doesn’t decide to take the first step he ends up stain as he is, if you continue to do what you’ve always done you’ll continue to get what you’ve always got.
The third reason that people don’t become wealthy, this procrastination, people always have a good reason not to begin doing what they know they need to do to achieve financial independence it’s always the wrong month, the wrong season, or the wrong year there always seems to be a reason to procrastinate, as a result they keep putting it off month by month year by year until it’s too late . Even if it’s occurred to a person that they can become wealthy and they have made a decision to change procrastination will push all their plans into the indefinite future and nothing will ever happen.
The fourth reason that people retire poor is what economists call the inability to delay gratification. The great majority of people have an irresistible temptation to spend every single penny they make and whatever else they can borrow or buy on credit. If you can delay gratification and discipline yourself to refrain from spending everything you make you cannot become wealthy.
W. Clement Stone once said: “If you cannot save money than the seeds of greatness are not in you”. If you cannot practice budgeting as a lifelong habit it will be impossible for you to achieve financial independence.
The fifth reason that people retire poor is perhaps as important if not more important than all the others, it’s a lack of time perspective.
Time perspective is defined as the amount of time that you take into consideration when planning your day-to-day activities and when making important decisions in your life. The young couple of it begins putting fifty dollars a month aside in a scholarship fund so that their newborn child can go to the college or university of his choice is a couple with long time perspective. They’re willing to sacrifice in the short term to assure better results and outcomes in the long term.
People with long time perspective almost invariably move up economically in the course of their lifetimes.
Well, that’s it for the five reasons why most people don’t become wealthy. I hope you found this helpful if you did please visit Brian at www.briantracy.com