Top 10 reasons why you're always broke

We often spend a lot to satisfy our 'addictions', whether it's alcohol, cigarettes, coffee... or especially shopping. We tend to think these small items don’t cost much, or that the sales are just too good to miss... forgetting that small expenses add up over time.

It's important to take control of our finances right from the basics, starting with 'kicking the habit'. You'll be surprised by how much you can save.

No one wants to stay at home bored every night or have no relaxation on their days off. We often look to hang out with friends and enjoy some leisure activities to relieve the stress and fatigue from a long day of work and study. These are necessary and encouraged needs.

However, if done in moderation and within reasonable limits, it’s fine. Many people, however, have gone overboard with their entertainment spending, wasting money on unnecessary activities or useless games. To save a good amount of money while staying healthy, we should focus on physical activities like basketball, swimming, football, or badminton. Occasionally meeting friends within a reasonable budget is also a good option.

Today, technology is advancing at lightning speed, and the demand for upgrades seems endless. While purchasing smart electronics is important, chasing the latest trends and always wanting the newest model can be a problem.

If your finances are comfortable, that’s fine, but if you have to borrow or pay in installments just to satisfy the desire for the newest version, this is a foolish decision that could seriously harm your finances and lead to debt. Take responsibility for your life and start your journey to wealth with the most basic step: saving money.

Before making a purchase, you should research and compare prices from different sources. Look for shopping options tailored for students, where prices are reasonable and quality is decent. Additionally, instead of always buying foreign products, consider trying reputable local brands, especially in the cosmetics sector. You might be surprised and gain a fresh perspective. The most important thing is to tighten your spending—buy only what you really need and shop at affordable, reliable places.

Also, shopping off-season can save you a lot. Plan ahead and stock up for the next season—for example, buying swimsuits in spring or coats in autumn. Off-season items are typically cheaper. Be careful before purchasing items based solely on trends, so when the trend fades, you’re not left with things you no longer need.

Studies show that 75% of shoppers take action immediately after seeing an ad, and 84% use the ad information to further research the product. In other words, businesses have successfully influenced us to spend money on their products.

Nowadays, many big brands even hire famous actors, singers, or hosts to be their brand ambassadors, in order to attract their fans and encourage them to buy their products.

Someone promises an exciting job opportunity or a big win next week, or you hear about a salary increase coming soon. Many people, seeing that future income, get excited and reward themselves by spending more than their current earnings allow. When those future promises don't come through, suddenly the debt starts piling up.

It’s fine to plan for tomorrow, but spending money that you don’t actually have is a dangerous trap that often leads to overwhelming debt. The solution is simple: don't spend money until it's in your hands and you know it's yours to keep.

First, excessive spending is often justified by the excuse of "low income". But as the saying goes, "where there’s smoke, there’s fire". Both sides of this need to be reconsidered.

Second, if your income is indeed low but your basic needs are high, try to find additional part-time work that suits you. Students can work in retail or as waitstaff at restaurants, while office workers can take on freelance tasks like packaging, labeling, or online content writing. Personal needs are endless, prices keep rising, and money always feels insufficient.

However, if you learn to set limits, spend wisely, and find ways to earn extra income, life will naturally become easier. Those who stabilize their income early have the chance to rise and seize opportunities, while others may still be struggling to escape debt and scarcity.

In today's society, people often measure success by what someone owns. As a result, in order to showcase our status and appear sophisticated, successful, and elite, we often find ourselves covering the expenses for a team we're not very close to, or spending large amounts of money on expensive and unnecessary items just to fulfill this desire.

Furthermore, because companies recognize this psychology, most phone manufacturers and real estate agencies now offer installment plans, allowing customers to own homes or gadgets without paying the full price upfront. This inadvertently creates a fixed monthly debt that we must repay. It’s crucial to plan your spending carefully and set reasonable payment limits, ensuring you don’t exceed what you can afford.

For many young people, the desire to become successful entrepreneurs by starting small businesses is becoming increasingly common. They have a bit of capital and they want to invest. However, they often don’t know what to invest in or how to make a profit from it. Business has never been an easy equation.

There are too many competitors in the market, and countless obstacles to overcome. If you truly want to succeed in business, it’s essential to thoroughly research everything, think and plan carefully, listen to the advice of seasoned professionals, and seek guidance from those with more experience. Don’t let a moment of impulsiveness lead you to financial ruin or leave you broke.

"I buy what I like."

"They have it, so I must have it too, I can’t be left behind."
"This shirt has to go with these pants, and these shoes… it has to be a complete set. That’s fashion."

And just like that, the money in our pockets disappears following these extravagant thoughts. It’s time to start making a clear spending plan and sticking to it. Prioritize buying the essentials, and don’t let jealousy make you spend on things just because others have them. If you buy something just to match others, it’ll only be to fulfill your own ego.

Managing your money doesn’t require a degree or a finance course. Simply keeping track of your income and expenses daily and monthly will help you understand where your money is going and make adjustments accordingly.