“Are You Breaking the Money Rules? Discover the 19 Lies That Could Be Costing You a Fortune!”
10. Investing in Mutual Funds is the Best Option
While mutual funds provide diversification and less risk, they come with high fees and low control over your investments. Investors are usually advised to invest in mutual funds, but investing in mutual funds only can be a huge miss out on many other high-yielding and low-fee investments like individual stocks and ETFs. According to Forbes, ETFs are a more passive strategy providing greater liquidity at cheaper rates.
11. Don’t Switch Jobs Frequently
Switching jobs frequently is perceived to be a negative phenomenon that results in lost money and experience. Still, according to a study by Tilburg University, there aren’t many negative consequences for a job-hopping individual. Instead, it gives them more benefits regarding their career, like career advancements and salary increases. Job hopping is no longer a stain on your resume, but it means taking charge of your career and giving yourself the things your current job is not offering.
12. A Higher Income Automatically Results in Wealth
Earning more is awesome, but wealth isn’t about what you make. It’s about what you keep. Lifestyle inflation can eat away at any salary increase. The key is to pair earning potential with smart spending and saving habits.
13. Pay High-Interest Debts First
High-interest debts can cost you more and more if kept longer. But you’ll feel discouraged if these debts are substantial and take longer. On the other hand, starting with paying small debts can create momentum and motivate you to keep going. Moreover, prioritizing big debts based on their interest rates means ignoring other financial factors. For example, focusing solely on interest rates overlooks the emotional burden of credit card balances that should be paid first to remove financial stress.
