Eight Ways To Sink Yourself Financially

1. Don't focus on your finances.

The reason most people get into debt is because they don't spend enough time focusing on their finances. You need to get a grasp of where you're at financially, keep track of your income in relation to expenses and spending habits.

2. Failure to develop a good financial plan

No one would imagine going on vacation without planning for it. Yet when finances are concerned, many people don't plan. A good financial plan can be the difference between comfortable living and struggling to get by.

3. Waiting too long to invest

When making investments, time is of the essence. Compound interest earns money over time; so don't wait too long to save for retirement. The longer you wait to invest, the smaller your return on investment.

4. Marrying the wrong person

Who you marry has a huge impact on your finances. Couples with different views on money, create stress in their marriage. Divorce apart from the emotional pain and suffering causes financial heartache.

5. Habits

Although habits seem minor, the prices add up. Buying a $1 coffee each day cost you $365 every year. Imagine how much more money you spend by eating out regularly. If you smoke, the cost of cigarettes along could drive you to quit.

6. Running up credit card balances

If you carry unpaid balances on credit cards, you are already losing money in interest payments alone. Credit card companies have high interest charges that accumulate with unpaid balances.

7. Be under-insured

You need to protect yourself and your family from unforeseen emergencies, sickness, accidents and possible death. The goal is to make sure that you have proper financial coverage incase anything should happen.

8. Investing in things you don't understand

If I had a dollar for every sure fire stock tip? I'd be rich. Then I'd lose that money by investing in those tips. Make sure you know what you are investing in, by asking a lot of questions, don't hesitate to get another financial opinion.

Richmond Acheampong is the Founder of Parent Tree, an online family resource web site. He studied Canadian securities, debt management strategies and investments vehicles. He combines his strong research background with his passion for family health. For more information visit: http://www.parenttree.com

In The News:

Readers Share Tips for Raising Money Smart Kids  Kiplinger's Personal Finance

5 Ways to Absolutely Destroy Your Finances!

Ben Stein has a book called How to Ruin Your... Read More

Top 10+ Ways to Jumpstart your New Year?s Finances!

Of course, these don't have to be done in any... Read More

Basic Bank Accounts Failing the Basic Needs of Consumers

The lists of bank and savings accounts that are available... Read More

How Check 21 Affects You

The Check 21 Law is the new federal law for... Read More

10 Tips To Save Money When Dining Out

Here are some tips that can help you save money... Read More

The Magic Of Compound Interest

Christians are called to be good stewards of God's resources.... Read More

Planning Ahead with Your Finances

If you, like most people, have not seriously considered what... Read More

The Benefits of Banking Online

How many drawers did you have to look through to... Read More

UK Graduates Looking Short-Term At Their Long-Term Financial Responsibilities

With almost two thirds of university entrants from England and... Read More

Why You Should Seek Professional Help With Asset Management

Everyone needs to maintain their lives. What I mean by... Read More

Knowing Me, Knowing You: Why ID Protection Plans Are Flawed For Fraud

ID theft is a major consumer concern, though there is... Read More

Should You Borrow From Your 401(k) Account?

If you have a 401(k) account, it can be very... Read More

College Expenses: Seven Ways to Save on an Education

Many people graduate from college owing thousands of dollars in... Read More

10 Quick And Cheap Ways To Cut Your Heating Bill

When you received an energy (heating) bill last winter, were... Read More

Personal Finance ? Why You Should Compare, not Despair

Sorting out your personal finances can be a tricky and... Read More

Financing Collectibles for Fun and Profit

With the advent of the internet and especially auction services... Read More

If I Had a Structured Settlement, I Would Use It to Pay for Gas

Has anyone been to the gas pumps lately? Soon $3... Read More

Take Control and Master Your Kitchen

Those who keep a watchful eye on where their money... Read More

Make or Break Your Retirement!

The Prudential has dubbed those who refuse to leave home... Read More

Budgeting Your Way to Financial Freedom

Financial freedom cannot be achieved without budgeting. Budgeting involves tracking... Read More

Save Money Off Your Home Utility Bills

Many don't realize that our basic utility bills provide the... Read More

One Income Source Is Not Enough!

My personal opinion is that in today's new economy, it... Read More

Grocery Savings - Your Kitchen is a Goldmine!

Your food budget is the most flexible area of your... Read More

UK Parents Inactivity Harming Their Children?s Future University and Mortgage Savings

The British government at the beginning of this year officially... Read More

Live Green; Save Green!

Have you seen the recent article on a new "green"... Read More