Ariah Rastegar, a wealthy Texas businessman, is building an empire for himself and his family through professional and monetary strategies. Though we all hope to succeed financially, not everyone takes the time to check for – and fix – the mistakes that are holding them back.
If you’re in your twenties, you might not feel ready to manage your money yet, but there’s no better time to get started than now. Many twenty-somethings make mistakes like the two outlined below, complicating their financial futures through poor money management. Instead of becoming a statistic, make sure that you’re not…
Living Beyond Your Means
Whatever you think you need or deserve does not matter as much as what you can afford. If you spend more than you make each month, you are living outside of your means. “It’s very important as a family, or as an individual, that you look back on your previous year, certainly your previous three months, and have a systemized budget,” says Ariah Rastegar. Your income after taxes is the maximum amount that you can afford to spend each year, and you shouldn’t even be spending all of it. It’s simple math, and it cannot be circumvented.
Believing in Fixed Expenses
One reason that many twenty-somethings live beyond their means is because they believe in fixed expenses. There is almost always a way to lower your “fixed” expenses, however. You can renegotiate your phone and insurance bills, sell your car and opt to use public transport, cancel your television service and more.
It’s never too early to schedule an appointment with a financial advisor for guidance on your personal situation. In fact, successful professionals like Ariah Rastegar often recommend it as the first step to achieving financial security.