5 Financial Mistakes You Should Not Make (That No One Tells You)

 

5 Financial Mistakes You Should Not Make (That No One Tells You)

Hey Guys : 

Lots of you might know not what are the financial mistakes you are doing and the biggest reason for that is no one had told you about it not even your school college or university and not even your parents had told you about it and for this reason you guys end up wasting lots of money if thats the situation then you should no longer worry about it because you have reached the right place where you will learn more about financial mistake that people make and there was a time when i used to make a well and then worry a lot finally i took the step and thought what are the financial mistakes i was doing and finally came out with these mistakes which i am going to mention over here and i hope that after reading out this article you will also not make the same mistake again in your life because the things which i am going to tell you will change your life as it had changed mine you can thank me later after reading this and also don t forget to share it with your friends and family if you really really care about them 

so without further due let deep dive into it .

Do you ever feel like you’re working hard, saving a little, avoiding big debts, but still... something’s not right?

You’re not alone.

Millions of people in countries like the UK, USA, Canada, and Australia are silently making financial mistakes that don’t seem dangerous — but they can destroy your long-term wealth without you even noticing.

These aren’t the typical “don’t buy coffee” tips. These are the real, painful, hidden traps that nobody tells you about — not even your school, your bank, or your favorite finance YouTuber.

Let’s uncover the 5 biggest financial mistakes you should not make if you truly want to build wealth, feel financially free, and stop living paycheck to paycheck.


1. Treating Your Salary as Your Only Source of Income

This is the biggest trap — and almost everyone falls into it.

We’re taught to go to school, get a job, and rely on that job for our money. That’s it. But here’s the painful truth:

If your salary is your only source of income, you’re one step away from financial disaster.

One medical emergency, one job loss, one company shutdown — and everything crashes.

Relying only on your job means:

  • No backup when things go wrong

  • No passive income while you sleep

  • No freedom to stop working even if you hate it

What to do instead:

  • Start a side hustle (freelancing, blogging, online store)

  • Learn a high-income skill (copywriting, coding, design)

  • Start investing early — even small amounts monthly

  • Build a second stream of income before you need it

Surprisingly, many people earning over $100,000 per year still live paycheck to paycheck because they never built income outside their job.


2. Thinking That Debt Is Normal — Because “Everyone Has It”

In countries like the US, UK, and Canada, people think it’s normal to have debt:

  • Student loans

  • Car loans

  • Credit cards

  • BNPL (Buy Now, Pay Later)

Debt is now sold like a lifestyle. It's advertised in TV shows, banks offer it with a smile, and friends say, "Don't worry, everyone has debt."

But here’s what no one tells you:

Every dollar of debt you take today is stealing from your future self.

The problem isn’t just the interest rates — it’s the mindset. When you borrow easily, you spend easily. When you spend easily, you stop saving, and when you stop saving, you stay stuck forever.and this is what lead s you depression and you end up having lots of debits .

What to do instead:

  • Pay off your high-interest debt first

  • Avoid car loans — buy used and reliable

  • Stop credit card spending unless you pay in full every month

  • Live below your means, not at the limit

Freedom starts when debt ends.


3. Confusing Assets with Liabilities

This one is so sneaky, even rich people get it wrong.

Let’s test you:

  • Is a car an asset?

  • Is a house an asset?

  • Is a phone bought on installments an asset?

Most people say yes — but in reality, they’re often liabilities.

Here’s a simple rule:

Assets put money in your pocket.
Liabilities take money out.

So if your car requires gas, maintenance, insurance, and loses value daily — it’s not an asset, it’s a liability.

Buying big expensive things on loan — cars, gadgets, even luxury furniture — might feel like "success," but they often keep you broke for years.

What to do instead:

  • Invest in real assets like index funds, stocks, REITs, or small businesses

  • Avoid large purchases unless they’re paid in full and don’t lose value fast

  • Track every big spending and ask: “Does this make me richer or poorer?”

Being honest about your financial decisions is the first step to building wealth.


4. Saving Money Without a Purpose or Plan

We’ve all been told to “save money.”

But no one tells you why, how, or where.

Here’s what happens:
You save a little, keep it in your bank, and months later — you spend it all on a vacation, gadgets, or something random.

That’s not saving. That’s temporary holding.

Surprising truth?

Saving without a goal is just delayed spending.

Smart people don’t just save — they save with purpose.

What to do instead:

  • Build a 3–6 month emergency fund

  • Save for specific goals: house deposit, business startup, travel, education

  • Use separate savings accounts or apps to organize goals

  • Don’t let savings just sit in cash — invest long-term savings to grow

You don’t need to be rich to start saving. But you’ll never be rich if you don’t.


5. Ignoring Financial Education Because “It’s Too Boring”

This is the deadliest mistake of all.

Schools don’t teach us money. Most people spend 16+ years studying math, science, and history, but spend 0 years learning about taxes, budgeting, or investing.

And when we grow up, we think:

  • "I’ll learn about money later."

  • "It’s too complicated."

  • "I’ll figure it out when I earn more."

But guess what?

The less you know about money, the more likely you are to lose it.

Not learning about money is like entering a war without weapons. You will lose — slowly, painfully, and silently.

What to do instead:

  • Read simple books like:

    • Rich Dad Poor Dad by Robert Kiyosaki

    • The Psychology of Money by Morgan Housel

    • I Will Teach You To Be Rich by Ramit Sethi

  • Follow 1–2 trusted finance YouTube channels

  • Spend 10–15 minutes weekly reading blogs (like this one!)

The sooner you start learning, the faster your money grows — and the less stress you feel.


Final Thoughts: The Truth Nobody Told You

Let’s be honest — financial mistakes don’t always come from laziness or greed.

They come from:

  • Lack of knowledge

  • Bad habits passed down from others

  • Peer pressure and social media

  • Feeling like "you’re behind" and trying to catch up

But the truth is: you are not behind.
You are exactly where you need to be — because now you know what to fix.


Quick Recap: 5 Financial Mistakes You Must Avoid

  1. Depending only on salary — Build more income streams

  2. Believing debt is normal — Get out of it as fast as possible

  3. Thinking liabilities are assets — Only buy what grows your money

  4. Saving with no plan — Save with purpose, not just for the sake of it

  5. Ignoring financial education — Learn little by little, every week


FAQ: Financial Mistakes That No One Tells You About

1. Is student loan debt always bad?

Not always. If it leads to high-paying skills and you have a payoff plan, it can be worth it. But borrowing too much for a degree with no job demand is dangerous.

2. Should I stop using my credit card?

No — just don’t carry a balance. Pay the full amount every month, and only use it for what you’d buy with cash anyway.

3. What’s a good first investment?

Start with index funds or ETFs through a platform like Vanguard or Fidelity (in USA/UK/Canada). Even $20–$50 per month is a good start.

4. Is renting a waste of money?

Not always. Renting gives flexibility. But make sure you're also saving and investing, not just paying rent and spending the rest.

5. How can I build multiple income streams?

Start with freelancing, blogging, YouTube, selling digital products, or investing in dividend-paying stocks.


One Last Thought:

You don’t need to be perfect.
You just need to be aware.
You don’t need to be rich to make smart choices.
You just need to avoid the silent traps that others fall into.

Start small. Stay consistent. Your future self will thank you.


And this is what ladies and gentle mans are the most common financial mistake we are doing without even realizing about and time to time or by the time it becomes very painful for us if we did not take care of finance now because first of all nobody is gonna save you i mean when you are broke or poor not even your friends not even your family you yourself have to take care whenever you are broke and for that you have to take care and study about finance and investment and yes you have landed in right website https://www.mindsetmasteries.org/ will teach you more about finance and investments and if you are broke and have no money at all you can search for starting a business with no money at all in this website and also yes stop impressing others by buying costly or high price liabilities no one is gonna impress form you 


i hope that you will take care of yourself from now and onwards and will stop impressing and wasting your money and will take a good good care of your wealth from now and onwards Don t forget to send it to you friends and family and also don t forget to read out : 


if you want to know how a poor man became millionaire just by selling old books 

https://www.mindsetmasteries.org/2025/07/how-man-sold-old-books-and-became.html

if you want to know how to start a business with no money you could read 

https://www.mindsetmasteries.org/2025/07/how-to-start-business-with-no-money-at.html 

if you want to know what digital products to sell or how to sell you can read out 

https://www.mindsetmasteries.org/2025/07/best-selling-digital-products-in-2025.html 

Thanks a lot for reading out these and i will caught you in another post till then take care and 


PEACE 


YOUR WELL WISHER 

SAAD UR REHMAN HEAD AND FOUNDER OF PAGE MINDSET MASTERY 


Comments