FMOOD 0237: Beliefs That Keep Us Broke

You have to establish your own belief system and not rely on those established by others. Here's why.

 

Over time, there have been financial principles that have been set up to affect how we spend our money. We've been led to feel guilty, ashamed, or out of the loop if we're not following these belief systems. We then spread the same false premises as a justification for why we are doing what we are doing.

 

For example, we've been told to spend three months of salary on an engagement ring. Who do you think came up with this plan? I'm pretty sure that it started with some jewelry store conglomerate as a catchy advertising campaign with a goal to increase revenue. I'm not saying that you can't spend that much on an engagement ring if you wanted to, but you shouldn't be putting yourself in the poorhouse based on this self-propagating belief as your justification.

 

We are also pressured by society to find the biggest home possible that is based on what we can get approval for from the bank. When it comes to your home, spend what makes sense with your own personal financial situation and not what the bank tells you that you are able to borrow. You can always move up in house someday when it's appropriate and once you are ready to do so.

 

When it comes to how we get from point A to point B, we're also looped into the belief system that we need to go out and buy a brand-new vehicle. The belief system justifications are usually that they are reliable and covered for repairs under warranty. If you can't afford to buy it, we're told that we should lease the vehicle instead because the payments will be lower.

 

Never mind the fact that we're essentially paying to borrow a vehicle that we must return in pristine shape, or we'll be required to pay even more money once we return it. Buy a newer used vehicle instead, preferably one that just came off of a lease.

 

The bottom line is this. Do your own thinking, buy based on your personal financial situation, and don't give in to the belief systems that try to keep us broke.

 

Do you like to read but don't always have time to do so? Get a free 30-day trial and two free audiobooks just for checking Audible, an Amazon company. Go to http://followmeoutofdebt.com/audible to learn more and get your two free audiobooks today!