Developing good financial habits is the key to wealth and abundance. Regardless of how much money you have currently, It’s important to have the right mindset about personal finance. 
It’s time to break these bad habits and begin the work of developing better ones. 

 1. Living Paycheck to Paycheck. 

This situation is dangerous.  The first step to financial freedom is getting out of this cycle. So, first, find a job that allows you to put some money aside for personal development and financial investments. Also, spending everything you earn is going to make you broke and in debt in the long run. 

2. Not taking Control of Your Career: 


Even if you have a good job and all is going steady for you, don’t settle for good, there is always a next level to step into. keep improving your body of knowledge and continue networking. 

3. Hoarding Money and Never Having Fun. 



This was the story of my life, but I have now transitioned from hoarding to being conservative. Hoarding means that you are not using your money as a tool, which is just as bad as not having it. 

“Hoarding” includes not taking care of your home (leaving broken things unfixed around the house), not spending time with loved ones, spending all your time working, and not pursuing hobbies. Being a conservative spender in this context would be following a budget for non-essentials. 

4. Having Too Many Entertainment Subscriptions.


I don’t think it makes sense for anyone to have more than 3 paid entertainment subscriptions including music streaming services (except you work in entertainment or a related industry). It’s not whether or not you can afford them. The question is, are you using them all? Many subscription services now allow multiple users on a subscription. So, find an arrangement that allows you to enjoy more services at the price of one. 

5. Not Reusing Stuff and Reducing Waste.

The more waste you generate, the more money you spend. Having a mindset to reduce waste can help save up to 100, 000 Naira every year. For example, using a water bottle instead of buying bottled water daily can save as much as 40,000 Naira every year. 

Also, if you find yourself clearing out your wardrobe every other month, you are probably spending too much on shopping. 

6. Not Saving for the Future: 



You have to strike a balance between enjoying your life right now (I mean, YOLO right?) and delaying gratification. if you spend all you earn today, what’s going to happen when tomorrow actually comes? You could start by saving as little as 10 percent of what you earn and gradually raise it to 30 or 40 percent. Although It all depends on how much you earn, start imbibing the culture of saving some of your resources for later

7. Not Living on a Budget: 

Budgeting gives you a plan for your cash outflows. Think of it as a navigation system for your personal finance. Start by having a book where you write out how much you are going to save and how much you are going to spend every month and just try your best to stick to your plans. 

In conclusion, I understand that new habits are difficult to form, However, you’ve got to do what you’ve got to do and don’t worry if you fail sometimes, It’s all a process. Time is your greatest weapon. 

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I write about business and project management.
10+ years working in program management. I've worked in health-tech, community health, regulatory affairs and quality assurance.

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