As a quick heads up, tonight is the deadline to enter the scholarship program to win enrollment to Best Money Class Ever, my four-week signature personal finance class. Winner will learn how to get out of debt in 36 months, invest like a pro, make yourself recession-proof, and save to buy a home or car. Enter to win enrollment here. Or click below.
Here are three signs you’re in financial survival mode.
Financial Survival Mode Sign #1: Living Paycheck-to-Paycheck
Financial Survival Mode Sign #2: Spending What you’ve Saved
When you’re consistently unable to save long-term you aren’t growing financially: you’re simply surviving. You’re underestimating your expenses and overestimating how much you can realistically save. This is like having a propane tank for an emergency to stay warm, but running out of gas.
Financial Survival Mode Sign #3 Relying on Debt for Major Purchases
Instead of viewing the total cost of an item, your brain is wired to buy in terms of low monthly payments. If every time you buy something more than a couple hundred dollars you need to rely on debt, then you’re in financial survival mode.
When you buy a laptop, washer and dryer, set of tires, or new phone with a payment plan it doesn’t initially feel like survival mode. However, one low monthly payment, can quickly turn into ten low monthly payments. Before you know it, as soon as your paycheck comes in, it goes straight out the door to pay off what you owe.
Low monthly payments don’t “hack” the financial system. You’re spending money on interest versus earning interest on your investments. Stop surviving on debt and start building wealth.
- 8 Copy-Worthy Habits of Debt-Free People
- What to Do if you Can’t Pay the Monthly Payments on your Debt
If you know of friends, family, or coworkers who also geek out on personal finance, then share the class info with them too! When you enroll by March 10th, you can bring a friend for free!
